President sees huge business opportunities between Greece and Cyprus

President Nikos Christodoulides on Wednesday reaffirmed the country’s commitment to expanding trade and investment ties across the wider Middle East.

Speaking at the 3rd Greece–Cyprus Intergovernmental Summit in Athens, Christodoulides said that forging stronger business links with the region would be a priority during Cyprus’ upcoming Presidency of the Council of the European Union.

He further stated that “Cyprus is the gateway for investments not only in Europe but also for the wider Middle East region”. 

The president added that this includes India, “a country from which, especially recently, after Modi’s visit to Cyprus, we see an increased interest from Indian companies to approach our country as an entry point to Europe.” 

Christodoulides also noted the government’s focus on deepening cooperation with Greece, calling it Cyprus’ largest trading partner.  

“Beyond issues of national importance, we emphasise the need to strengthen our relationship in many other areas with added value for our citizens,” he said, adding that within this context, “the business opportunities between Greece and Cyprus are enormous. There are prospects that we can and must clearly exploit more.”

He welcomed the progress achieved through recent Intergovernmental Conferences, pointing to advances in mutual investment and know-how exchange.  

President Nikos Christodoulides

“I am happy because I see an increased interest from Greek companies to invest in Cyprus. We see the same from Cypriot companies to invest in Greece,” he noted. 

Turning to the domestic economy, the president said that Cyprus remains among the Eurozone’s top performers, with one of the highest growth rates, public debt below 60 per cent, and investment-grade “A” status restored for the first time since 2011.  

“We have an unemployment rate that reaches the levels of 2008, below 5 per cent,” he said, adding that there is a steady inflow of quality foreign investment from Europe, the United States and the Middle East. 

Part of his speech, delivered earlier by Deputy Minister to the President Irene Piki, referred to the broader economic landscape.  

“We live in an era in which the international economic system is being rearranged and uncertainty is widespread,” he said, noting that in this environment, “new trade policies and protectionist tendencies, changing balances in supply chains, high energy costs and the challenges of the green transition are creating a more complex and competitive environment for all economies.” 

He linked this to the European debate on a new ‘Competitiveness compass’, saying that “the next decade will be judged by our ability to combine resilience, innovation and, of course, social cohesion.” 

Christodoulides welcomed the EU Council’s decision last week to postpone the start of the Emissions Trading System for buildings and road transport (ETS2) by one year, calling it a practical step towards maintaining competitiveness.  

“I am glad that together with Greece we promoted the idea of postponing this obligation in order to avoid further damage to the competitiveness of our economies and the sustainability of our households,” he said. 

He also referred to the comprehensive tax reform recently submitted to parliament, the first in two decades, describing it as one that “encourages productive activity and attracts investments.”  

It is, he said, “a reform based on our ideological orientation of social liberalism, one that promotes entrepreneurship and private initiative, while ensuring a fair distribution of national income and targeted support for those truly in need, with a focus on the middle class, families, the younger generation and Cypriot businesses.”  

What is more, the president said that cooperation between Greece and Cyprus within the framework of the Intergovernmental Summit serves as a foundation for addressing shared challenges.  

Christodoulides concluded by saying that this partnership aims “to reinforce our economies and societies against emerging challenges, from the climate crisis and technological transition to the broader need for sustainability, cohesion and competitiveness in a rapidly changing world.”