Press Releases

It is a pleasure to be here, at the inauguration ceremony of the operational centre of MUFG Investor Services in Cyprus. This is an important moment for the financial services industry of our country. The presence of MUFG Investor Services, a global leader in its field, exemplifies your trust to Cyprus’ economy. Your presence brings with it job creation, knowledge transfer, and economic growth, while your company’s decision to expand your presence faster than initially planned, is a resounding testament to the relentless efforts and dedication of Cyprus in fostering a conducive environment for financial services and investments.

The creation of favourable conditions for the financial services sector are at the cornerstone of our governance program and our Government’s vision for the economy. We are well aware of the potential of the sector, which despite the numerous challenges at national and global level, has significantly expanded in recent years. Our aim is to further support its growth by bolstering the relevant regulatory framework, by strengthening supervision and by ensuring effective enforcement.

As you are well aware, a necessary pre-requisite for any sector to thrive, is a stable, resilient and sustainable economy. In these challenging times for the global economy, the Government remains committed to a three-pillar policy approach: fiscal discipline with government budget surpluses, a stable and healthy banking sector, and continuous structural reforms in order to increase our competitiveness.

Our actions are guided by Vision2035, the long-term strategic plan for the economy, aiming to promote entrepreneurship and innovation, and attract investment in high-growth sectors.

At the same time, the safeguarding of the reputation of Cyprus as a credible financial centre is a matter of highest priority. In this regard, following the secondary sanctions that were imposed by the US and the UK last April, our Government took immediate action, amongst these being the Council of Ministers decision on five specific measures, based on a zero-tolerance policy.

Moreover, the Government will prepare a study, providing recommendations for the enhancement of the governance and supervision of administrative services providers. Within this framework, the establishment of a Single Supervisory Authority for these services will be examined.

Understanding that a strong and positive reputation is a valuable asset, as it instils confidence and trust among investors, both domestic and international, we are working on a comprehensive and coherent brand for Cyprus, showcasing Cyprus as a reliable, forward-thinking, and attractive destination for diverse opportunities and experiences.

We also strive to maintain open channels of communication with the existing investors in Cyprus, aiming to create a truly attractive business environment that promotes transparency, efficiency, and a level playing field for all. That is why, immediately following assuming the Presidency, we organized the first roundtable discussion with investors; the Managing Director of MUFG Investor Services, Mr. Ioannis Matsis was there, together with other industry professionals. We took note of the challenges mentioned during the discussion; to mention a few, these concern the reputation of Cyprus, difficulties in attracting and retaining talent to Cyprus, the lack of schools and the lack of affordable residential options.

In this regard, the Presidency is working in close collaboration with the competent Ministries on all these issues, in order to provide tangible, effective solutions. Next month, we will revert to the issue and report on the steps we have taken to streamline doing business in Cyprus. We place significant emphasis on the satisfaction of existing investors in Cyprus, because ultimately, we consider you as our best Ambassadors.

Our efforts in improving the business environment are in the framework of the Strategy for Attracting Investment and Talent, which was launched by the previous Government in 2022. The Strategy has been critical in the impressive growth of the technology sector in Cyprus in the past year, through the establishment of the Business Facilitation Unit, the provision of incentives and implementation of reforms. As with all strategies, we are constantly evaluating its implementation and we are looking for ways to further improve it. In this respect, we will be approving soon, changes to the Strategy in order to make it even more attractive.

In conclusion, as we strive to establish the conditions for a resilient and thriving economy, guided by a long-term vision and a commitment to actively support investors in our country, I am optimistic and confident in what we can achieve. Especially when global leaders like MUFG Investor Services, recognize the immense potential of Cyprus. With the invaluable cooperation of the private sector, we are setting the stage for a flourishing and rapidly growing financial services sector.

(RM/IS)