International business centre
Cyprus became an independent sovereign republic in 1960 after 82 years of British Rule on the island and under its Constitution it has a presidential system of government. The economy of Cyprus is based on the free market system with the private sector forming the backbone.
Cyprus offers a high standard of living, it has a well developed and highly organized banking system and a well trained and highly skilled workforce as it has a large number of university graduates and persons with professional qualifications.
In the last 30 years Cyprus has developed into a reputable international business and financial centre due to the very favourable tax regime that the island offers. The admission of Cyprus to the European Union (EU) as full member in May 2004, established Cyprus as a prestigious, stable, and attractive jurisdiction. The EURO replaced the Cyprus Pound, thus becoming the island's currency, on January 1, 2008, further integrating the island's economy to that of the EU's core economies.
Though the offshore company status was abolished as from January 1, 2003, the favourable tax regime for the international investor has been maintained. In addition, the liberalization of investments coming from non-EU countries and the abolition of maximum and minimum participation percentages in investments in all the sectors of the economy in October, 2004 (with some exceptions), has transformed Cyprus into a major destination for the location of international holding companies and worldwide investments.
The tax advantages Cyprus offers may be enhanced when, under certain circumstances, are combined with those of other jurisdictions' in appropriate legal structures. Contact us to provide you with a free consultation regarding your individual circumstances.