Here are the top business stories in Cyprus from the week starting February 3:
Non-profit social venture and think tank CyprusInno, powered by SocialTech Lab, has successfully concluded the 2024 Academy for Women Entrepreneurs (AWE) in Cyprus, according to an official announcement.
Now in its second year of support from the US Embassy in Nicosia and, for the first time, backed by Chevron, the programme provided free training to aspiring and established women entrepreneurs to help them launch or scale their businesses.
More than 40 women graduated from the programme, having received hands-on mentoring and training at The Base by CyprusInno. Using the DreamBuilder online platform, participants developed key business skills, including strategic planning, marketing, financial management, and pitching.
“During the programme, participants connected to a supportive community of entrepreneurs, drawing inspiration from successful leaders, and receiving targeted mentorship from both industry experts and 2023 alumnae,” the announcement mentioned.
Meanwhile, the National Bank of Greece (Cyprus) recently presented its activities in the Cypriot business environment during a conference held in Athens. In a speech delivered at the event, Marilena Sevastidou, Head of Corporate Banking, highlighted the “exceptionally positive momentum” currently characterising Greece-Cyprus bilateral relations.
She explained that this “fosters a mutually beneficial growth environment” and provided an in-depth analysis of the Cypriot economic and business landscape.
Moreover, she focused on recent European Central Bank (ECB) projections, which foresee continued positive economic growth for 2025 and 2026, exceeding the European average. Sevastidou also highlighted the financial and tourism sectors as key drivers of the Cypriot economy.
Additionally, she pointed out that Cyprus currently “has an attractive investment climate,” citing targeted tax incentives and a “specialised, multilingual workforce.”
The report, which covers the first half of 2024, provides an overview of key trends in non-cash payment methods in Cyprus, offering insights into the usage of payment cards and terminals by the public.
Non-cash transactions are classified into six categories: credit transfers, direct debits, payment cards, e-money transactions, cheques, and remittances. The data is collected from all Cyprus-based payment service providers, including credit institutions, electronic money institutions, and payment institutions.
In parallel, Deputy Shipping Minister Marina Hadjimanolis strengthened Cyprus’ maritime ties with Oman by signing two crucial Memoranda of Understanding (MoUs) this week in Muscat.
These agreements focus on maritime cooperation and mutual recognition of certificates of competency for merchant ship officers and were signed with Sultanate of Oman’s Ministry of Transport, Communications and Information Technology.
The MoUs affirm the mutual intent of both Cyprus and Oman to bolster cooperation at a bilateral level and within international maritime organisations.
Simultaneously, both apartment prices and rental costs in Cyprus increased during the fourth quarter of 2024, rising by 1.3 per cent and 1.5 per cent year-on-year, respectively, according to real estate analytics firm Ask Wire.
In its latest report, the company explained that this latest increase in prices is a reflection of strong demand.
A closer look at the firm’s fourth-quarter report reveals growth in specific segments, with annual sale price changes showing a 1.3 per cent rise in apartment values and a 0.9 per cent increase in holiday apartments. “However,” the company pointed out, “other property categories recorded declines.”
Moreover, despite Cyprus’ relatively modest trade volume with the US, the island could still experience indirect effects of US tariffs on European goods, warned Sofronis Clerides, professor of economics and dean at the University of Cyprus.
Clerides explained that while the direct impact on Cyprus might be limited, the broader economic slowdown caused by these tariffs could still affect the country.
Commenting on recent statements by US President Donald Trump about imposing tariffs against European products, Clerides explained that such measures have already disrupted the international economy, as seen with previous tariffs on Canada, Mexico, and China. “This tariff war is not good news; it might lead us into unpredictable complications,” he said, emphasising the difficulty in foreseeing the full consequences at this moment.
According to an official announcement, the meeting aimed to strengthen cybersecurity cooperation.
The conference, titled ‘Protecting Today, Organising Tomorrow,’ featured maps of Greece and Cyprus, reflecting the ongoing collaboration between the two countries in the field. Damianou discussed the coordinated efforts taking place.
“This is consistent with actions that are being taken both at the level of the leaders of our two countries and individual actions that we are planning and discussing with minister Papastergiou,” he said.
Concurrently, Energy Minister George Papanastasiou is at the forefront of government initiatives designed to strengthen support for small and medium-sized enterprises (SMEs). These initiatives primarily focus on enhancing their access to finance, as well as the streamlining of procedures through the better use of technology.
Currently, the Ministries of Finance and Energy are collaboratively advancing procedures to develop effective financing solutions for SMEs. As part of these efforts, the Ministry of Finance is set to establish and operate the National Promotion Agency.
This strategic development is scheduled for launch by the third quarter of 2025, with financial support for businesses and self-employed individuals expected to commence in 2026, subject to parliamentary approval.
This strategic development, supported by approximately €106.8 million from the government and a €59.5 million loan from the European Investment Bank (EIB), is designed to enhance financial access for SMEs, start-ups, and self-employed individuals.
Additionally, the Cyprus Property Developers Association has called on banks to revise their lending policies, stressing the need for alignment with European standards. The issue was raised during a meeting earlier this week with the governor of the Central Bank of Cyprus (CBC) Christodoulos Patsalides.
According to an official statement, the discussions centred on delays in the disbursement of housing and construction loans, particularly when building permits are pending.
Association president Yiannis Misirlis highlighted the importance of ensuring that banking regulations, especially regarding the monitoring of incoming funds, are in line with EU standards. “This alignment is crucial for the smooth functioning of the market,” he said.
The programme is part of the bank’s Pronomia scheme, aimed at supporting customers who have been affected by previous increases in interest rates set by the European Central Bank (ECB) and the Euribor.
According to a statement released by the bank, this marks the second time it has taken steps to support its borrowers in response to rising interest rates. A total of 13,000 eligible customers will benefit from the scheme, with rewards amounting to €2 million in points and cash incentives.
Further, lending criteria for businesses and households in Cyprus remained unchanged during the third quarter of 2024, when compared to the previous quarter, according to the bank lending survey published by the Central Bank of Cyprus (CBC).
The survey data highlights changes in lending criteria and loan demand recorded in Cyprus during the third quarter of 2024 relative to the second quarter. It also provides insights into expected trends for the fourth quarter of 2024.
January’s total sales reached 1,275 properties, according to the land department, marking a significant uptick from the 1,056 properties sold in the previous year.
Limassol led the way, recording 429 sales this January, up from 315 in the same month last year, accounting for about one-third of the total sales and reflecting a 36 per cent increase—the highest among all districts.
According to the foundation, the planned programmes aim to strengthen Cyprus’ innovation ecosystem. The plan, the foundation explained, involves pioneering funding initiatives that support the development of production lines for innovative products and artificial intelligence (AI) solutions to address challenges within the public sector. Additionally, a fast-track development programme will provide backing for the rapid creation and commercialisation of innovative products and services.
Furthermore, the environment department has officially approved the expansion plans for both the Larnaca and Paphos international airports, it emerged on Thursday.
The approval follows an agreement signed on December 23, 2024, extending Hermes Airports’ management until 2033, a move that paved the way for major infrastructure upgrades.
With an investment of €170 million, these expansions are designed to elevate Cyprus’ aviation capabilities to accommodate up to 17 million passengers annually, marking a significant boost from the current capacity.
“When it comes to global shipping, Cyprus is bigger than it looks,” Stork told the Cyprus Mail. “It has built a reputation as one of the world’s top ship management hubs, home to more than 1,000 vessels and a growing number of international maritime companies.” Stork explained that beyond Cyprus’ traditional strength in ship management, the island is also increasingly becoming a base for technology and innovation in the sector.
“For companies in maritime tech, bunker trading, and chartering, Cyprus offers something unique,” Stork said.
“It combines a strategic location, a strong shipping community, and a business-friendly environment with an exceptional quality of life,” he added. He pointed out that “this mix is drawing in firms looking to operate globally while enjoying the advantages of being based in Cyprus”.
“At the moment, Cyprus does not seem to be affected to a great extent,” said Keve secretary general Philokypros Roussounides during a call-in interview with a local radio station. However, he pointed out that the real concern is whether the US will pressure Europe to impose increased tariffs on imports from China.
In addition, Central Bank of Cyprus (CBC) governor Christodoulos Patsalides praised the resilience of Cyprus’ economy in the face of global challenges on Thursday, during a monthly meeting of the Cyprus Shipping Chamber (CSC).
In his address at the meeting, Patsalides stated that Cyprus is well-equipped to sustain its growth despite risks stemming from climate change and geopolitical turbulence, Speaking on the topic ‘Cyprus and the Euro Area: Navigating Growth, Stability and Opportunities’, he explained that the economy remains strong despite external pressures. “Geopolitical risks, such as the ongoing war in Ukraine and conflicts in the Middle East, alongside rising international tensions, have increased economic uncertainty,” he observed.
He also said that “amid these challenges, the Cypriot economy has consistently demonstrated remarkable resilience and flexibility.” This resilience, he continued, is clearly reflected in the recent upgrades by international credit rating agencies to category ‘A’, which further strengthen Cyprus’ reputation in international financial markets.
“These upgrades,” he noted, “reflect the growing confidence in Cyprus’ fiscal policies and the stable prospects for its financial and banking systems.”
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