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Great expectations from Moscow

25/02/2015 09:09
Two of the most important sectors of the economy expect substantial benefits from the president's visit to Russia, despite the difficult time at which it happens.

Bodies of professional and tourist services are hoping to strengthen relations with Russia, which are affected by the geopolitical isolation of Russia and the economic challenges it faces.

The president of the accountants’ association Giannis Harilaou emphasizes the political will of both sides to deepen the cooperation.

In his statement to StockWatch he noted that "this visit enhances the political cooperation by further deepening the economic relations between the two countries."

"This visit further strengthens the relations between the two countries as it reflects the political will of both countries for cooperation," said Mr. Harilaou.

The board member of Cyprus Investment Promotion Agency (CIPA) Angelos Grigoriades says “the visit of the President of the Republic in Russia is an important political and economic event, and I think that happens at the best time."

"Russia supports the Cypriot economy over time, especially in the field of services, tourism and investment, although the Russian economy is currently facing its own problems. The cooperation between the two countries opens up major economic prospects and we hope that during the visit, in addition to political issues, the economic ties between the two countries will be further strengthened," he said.

Tourism boost

In addition to strengthening the political and economic relations between the two countries, the president's visit is expected to help the flow of Russian tourists to Cyprus.

The President of the Association of Travel Agents Dinos Kakkouras notes that "given that tourism from Russia to Europe and Cyprus will decline this year, the time of the President’s visit is important”.

"We hope," he said that "the the tourist decline will be lower in Cyprus than in the rest of Europe, given the relations between the two countries and the preference shown by the Russians towards Cyprus."

President of the Republic will have meetings with officials of the Russian government as part of his visit to Russia. The subject of the President’s meetings will be Cyprus, the Cyprus-Russian Federation relations and ways to further deepen these, the EU - Russian Federation relations, the Ukrainian issue and regional developments in the Eastern Mediterranean.

Moreover, it is expected that a series of agreements of bilateral cooperation in various areas will be signed.

The relations between Cyprus and Russia were strengthened in the late 1990’s. In the early ‘90s Cyprus welcomed much of the wealth of the Soviet Union which was channeled abroad. Today it hosts a large community of Russian millionaires and is the base of Russian offshore companies.

Despite the negative economic developments in Russia, Russian tourist arrivals to Cyprus increased by 4.6% in 2014 reaching 636.8 thousand compared to 608.6 thousand 2013.