In an effort to attract foreign investments and enhance economic prosperity in Cyprus, the Government has liberalized the Foreign Direct Investment (FDI) Policy for both EU and non-EU nationals. Administrative procedures are simplified and no limitations apply in most sectors of the economy, as per the minimum level of investment and the foreigners’ participation percentage.
Consequently, foreign companies have the opportunity of investing and establishing business in Cyprus on equal terms with local investors and there is no distinction between foreign and Cypriot companies.
- Direct Investment
Foreign investors have the opportunity of participating in most sectors of the economy, with equity participation of up to 100% in any Cypriot enterprise without a minimum level of capital investment. Foreigners considering of registering companies, acquiring shares of existing companies, or setting up business activities in Cyprus do not need an approval from the Central Bank of Cyprus.
- Exchange Control
As of 1st of May 2004, the Exchange Control Law has been abolished and thus residents and non residents of Cyprus may hold and manage assets and liabilities in any foreign currency and in any country including freely convertible and transferable balances on the island.