Cyprus Business Now: weekly wrap-up
Here are the top business stories in Cyprus from the week starting July 1:
Energy Minister George Papanastasiou recently pointed out Egypt’s pivotal role as a key partner for Cyprus during his interview with the Cyprus News Agency (CNA) on Sunday. This statement was made in the context of the EU-Egypt Investment Conference in Cairo, which unfolded a day earlier. Set against the backdrop of the ongoing Israel-Hamas conflict, the event aimed to fortify strategic cooperation between Europe and Egypt. Papanastasiou said, “This conference aims to enhance the strategic cooperation between Europe and Egypt, an anchor of stability in our turbulent region.”
Meanwhile, in the realm of real estate, Cyprus is witnessing a surge in high-value transactions. According to a report compiled by the real estate analytics firm Ask Wire, the top ten most expensive property sales exceeded €39 million in May of this year. Notably, Limassol continues to lead, with the priciest transaction, a single commercial development, fetching €17.65 million. The district accounted for half of the top ten sales, with Paphos and Nicosia each contributing two, and Larnaca one.
Transitioning to gender equality issues, Josie Christodoulou, the Gender Equality Commissioner, highlighted significant disparities within the technology sector at the recent ‘Women in ICT’ event. This initiative was a collaborative effort involving the Deputy Ministry of Research, Innovation and Digital Policy, the non-profit TechIsland, and the Digital Cooperation Organisation (DCO). Christodoulou emphasised the pronounced underrepresentation of women, particularly in STEM (Science, Technology, Engineering, and Mathematics) careers, pointing out a crucial area for workforce improvement.
In financial developments, Eurobank has announced its intention to assume full control of Hellenic Bank’s share capital and voting rights. As detailed in the bank’s public offer document, Hellenic Bank shareholders are given the option to sell part or all of their shares under the same conditions as Eurobank’s recent acquisition of 107,726,260 shares from both institutional and independent shareholders. Should the offer meet specific legal conditions, Eurobank plans to acquire 100 per cent of Hellenic Bank’s shares, consolidating its position in the banking sector.
Furthermore, the Cyprus Chamber of Commerce and Industry (Keve) has voiced its intention this week to explore the establishment of the Cyprus–Baltic States Business Association. Such an association would aim to bolster economic and trade relations between Cyprus and the Baltic region. “We are pleased to announce that the Cyprus Chamber of Commerce and Industry is exploring the possibility of establishing the Cyprus – Baltic States Business Association,” stated Keve. This initiative is expected to open new markets and foster collaborations, significantly benefiting its members.
Moreover, the Cyprus Economy and Competitiveness Council (Soak) announced an upcoming update to Vision 2035, the long-term strategy for the sustainable development of the Cypriot economy. During a press conference, Soak president Takis Clerides highlighted that the strategy encompasses a comprehensive set of actions, reforms, and institutional changes aimed at fostering a sustainable economic model. The development of this strategy, which began in 2020 and was ratified by the Cabinet in 2022, includes a monitoring mechanism and has already seen several of its provisions implemented, some of which are part of the National Recovery and Resilience Plan.
Moreover, the Cyprus Hoteliers Association (Pasyxe) has reaffirmed its full alignment and excellent collaboration with the government during its annual general meeting, attended by President Nikos Christodoulides and representatives from six ministries. This strong partnership emphasises the government’s commitment to maintaining tourism as a robust pillar of the economy. The significant presence of government officials at the meeting was described as “clear evidence of this fruitful collaboration.”
Lastly, President Nikos Christodoulides also addressed the crucial role of foreign investors at the 12th Invest Cyprus International Investment Awards in Nicosia. He portrayed these investors as essential partners in fostering innovation and driving sustainable growth, aiming for a resilient economy characterized by high competitiveness and ease of doing business. “Our target is clear,” Christodoulides stated, emphasising the importance of maintaining a stable macroeconomic environment through responsible fiscal policies to allow flexibility in addressing external economic shocks.