ExxonMobil “happy” to be in Cyprus

An ‘Invest Cyprus’ forum organised at Bloomberg’s new offices in London gave the opportunity to political and business leaders to thoroughly present the country’s comparative advantages to members of the UK investment community.
 
The well-attended forum was addressed by the President of the Republic of Cyprus Nicos Anastasiades, who noted that these advantages of Cyprus as an attractive investment destination and a highly competitive center for international businesses, “not only have been time-tested, but have been further enhanced and expanded, setting them apart from most investment destinations.”
 
The forum also provided the opportunity to ExxonMobi to declare its commitment to its exploratory activity in Cyprus’s EEZ despite Turkey’s warnings.
 
President Anastasiades mentioned  as advantages for investors the bilateral agreements for avoidance of double taxation with more than 60 countries; the highly qualified and professional workforce; the robust and attractive tax and legal system; one of the lowest and most competitive corporate tax rates in Europe, at 12.5%; the safe environment which Cyprus provides; traditional hospitality; and an all-year-round good weather.
 
He also stressed that “the positive repercussions of an ambitious reform programme and the careful management of state finances are being reflected through, among others, successive budget surpluses, a dynamic growth rate of 4%, a drastic reduction in unemployment, as well as a significant reduction in taxation charges in an array of areas.
 
“The combination of the above, in conjunction with the reforms in the public sector and the enhancement of the overall tax and legal frameworks, have resulted in renewed substantial investments in a wide range of sectors.”
 
The President of the Republic provided as evidence that his government’s efforts “have borne fruit” the operation of oil and gas giants in the Cypriot Exclusive Economic Zone, the licensing of the first integrated casino resort, the “impressive” increase in investment funds’ registrations, the record numbers of the tourism industry in both arrivals and revenue, as well as the commercialization of the Limassol port.
 
He also said that a testament to the above-mentioned as well as “a confirmation of our economic management, with obvious positive repercussions as regards the country’s financial potentials and the investors trust in Cyprus” is the return of the country’s economy to investment grade ratings.
 
“The challenge now is to keep up the momentum and ensure that Cyprus remains on the path of sustainable growth,” commented President Anastasiades, pledging to continue with the sound governance of public finances.
 
“We also aim to continue with the policy of tax reductions and providing new incentives in order to further boost entrepreneurship and attract new investments, with emphasis placed on innovation and start-ups. The new Investment Law to fast-track licensing procedures for large investments and the establishment of a new enhanced Investment Funds Framework are crucial steps in this direction,” he added.
 
On Brexit he assured of Cyprus’s commitment to the dialogue for a mutually beneficial future partnership between the EU and UK. At the same time he declared his determination for an “even closer and reinforced bilateral relation” between Cyprus and the UK.
 
Finance Minister Harris Georgiades, speaking at the same event, said that “Cyprus has recovered, but we are not complacent”. He said there are challenges to be dealt with and that he recognises that crucial sectors need improvements, before offering the government’s commitment to sound public finances management and implementation of a full reform agenda.
 
As a member of one the panels the Minister of Energy, Commerce, Industry and Tourism Yiorgos Lakkotrypis referred to increases in trade exports, tourism arrivals and revenue and to recent developments as well as future planning in the energy sector.
 
At the same panel discussion, Tristan Aspray, Vice-President of ExxonMobil Exploration for Europe, Russia and Caspian noted that the firm was aware of the “particular” geopolitical conditions for the beginning and that dealing with Turkey’s reactions is a matter for governments, not a commercial entity. “We are happy to be in Cyprus,” he commented.
 
He, along with other big foreign investors in Cyprus, also elaborated on the reasons why the country is a good place to do business.