The opportunity provided by the Republic of Cyprus for companies from abroad to transfer or establish their headquarters in Cyprus, attracts the interest of international companies.
According to the Minister of Energy, Commerce and Industry, Natasa Pileidou; ‘We have companies that have approached us with questions. Amongst those companies, six have already applied, out of which three have been approved and proceed with their applications”.
The beginning for this movement were the fast track procedures of establishing new companies in Cyprus since October 2020, which is providing the possibility to receive residency and work permit for a number of employees with skills and expertise that do not exist in Cyprus.
Ms. Pileidou noted that ‘Mainly these are Technology Companies, which are based in Lebanon, Israel, Eastern Europe as well as the U.K. That means there is interest from various countries and we expect to see which ones will proceed with the applications.’ The companies closer to a decision to proceed with the transfer are three large Technology Companies from Bellarus, Lebanon and the United States, as was brought to light by Sigmalive, a few months ago.
According to the minister, this plan aims to attract companies that are capable to add value to the economy and will also employ Cypriot Citizens in order to establish and operate in Cyprus as they can not just depend on incoming employees.
With the improvement of the fast track procedures of establishing new companies in Cyprus, it is expected that all companies will benefit when in contact with the state.
When it comes to the real estate market, usually the size of such international companies is very large for the Cyprus norms and will need large offices and warehouses for rent to accomodate their needs. Except for their need for office space for rent, their employees coming from abroad will need apartments and villas for rent.
With a volume of 100 to 300 families arriving from abroad for each company, RE/MAX expects a scarcity in the availability of office spaces for rent as well as a rise in the rental prices of apartments and houses for rent due to the limited supply. Nonetheless, this will be a positive development and a success in boosting the real estate as well as all segments connected to this vital part of the Cyprus economy.