Cypriot technology companies need greater financial backing to compete abroad, while businesses across the island require faster access to funding if they are to keep pace with digital change, according to the Cyprus Information Technology Enterprises Association (CITEA).

These two issues were at the centre of a meeting between a CITEA delegation and Trade Minister Michalis Damianos, where discussions focused on business digitalisation and the international expansion of Cyprus’ technology sector.

CITEA called for faster and simpler procedures under digital transformation support schemes, alongside larger budgets that would allow more companies to invest in modern technologies, improve productivity and remain competitive.

Demand for such assistance has already proved strong. The most recent digital scheme carried a budget of €14 million and offered grants covering 50 per cent of eligible investment, up to €50,000 per company. It opened on May 20, 2025, and closed the following day after the available amount was exhausted.

However, the discussion went beyond helping businesses adopt technology. CITEA also raised concerns over whether Cypriot technology companies receive enough practical support to take their own products and services into international markets.

Participation in major exhibitions can give smaller companies access to new clients, investors and commercial partners. Nevertheless, the cost of exhibition space, travel, accommodation and promotion can place those opportunities beyond the reach of many local firms.

CITEA president George Malekkos, who has placed international cooperation among the association’s priorities since taking office, said, “Cypriot technology companies have developed valuable products, expertise, and strong growth prospects abroad.”

“Today, however, financial support for participation in international exhibitions covers only approximately 10 to 15 per cent of the actual cost, which is not sufficient to substantially support the sector’s international expansion,” he added.

With technology companies waiting for clearer commitments from the government, Malekkos said, “At the same time, as CITEA, we expect a specific announcement before the end of the year regarding new and increased funding for digital transformation schemes.”

The association described the talks with Damianos as constructive and said it would continue working with the relevant authorities on proposals aimed at supporting innovation, business growth and the international reach of Cyprus’ technology sector.