Cyprus Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in cyprus, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Market Overview
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Αs the eastern-most member of the European Union (EU), situated at the crossroads of three continents – Europe, Africa, and Asia – Cyprus occupies a strategic place in the Eastern Mediterranean region.

The Republic of Cyprus (ROC) welcomes foreign direct investment (FDI). The ROC is a member of the Eurozone.  English is widely spoken, and the legal system is based on UK common law. Legal and accounting services for foreign investors are highly developed. With a skilled, highly-educated, English–speaking workforce, the ROC offers professional services at competitive prices compared with the EU average. The ROC has a low corporate tax rate of 12.5 percent, and a liberal investment regime with 67 double taxation treaties, including with the United States. Invest Cyprus, an independent, government-funded entity, promotes investment in traditional sectors including shipping, tourism, banking, financial and professional services.  

New sectors for FDI include information communication technology (ICT), fintech, gaming, emerging tech, energy, defense, investment funds, education, research & development, start-ups, and regional headquartering. The ROC established a Business Support Center (BSC) in May 2025, to streamline services and cut red tape and to serve as the main point of contact that assists both companies that are already active in the ROC, and those who wish to enter the market. The Business Facilitation Unit (BFU), established in January 2022, is also available to assist investors and operates under the auspices of the Ministry of Energy, Commerce, and Industry (MECI).  

The discovery of hydrocarbon deposits in Cyprus’ Exclusive Economic Zone (and in the surrounding Eastern Mediterranean region) has driven major new FDI by multinational companies in recent years. The ROC is further developing an advanced telecommunications network and corresponding infrastructure. Although there are currently no direct flights to the U.S., the ROC otherwise has first-rate air connectivity. U.S. products, services, technology, and brands are well-regarded. 

The ROC is an import-dependent economy, with no significant barriers to U.S. exports. Key statistics for 2024 include: population: 966,365; per capita GDP (current exchange rate) $33,414; unemployment 4.9 percent; and inflation 2.3 percent. In 2024, U.S. exports of goods and services to Cyprus were $2 billion, up 15.8 percent from 2023, and imports from Cyprus were $2.4 billion, up 8.5 percent from 2023. As a result, the trade deficit with Cyprus decreased to $415 million.

Political Environment

Visit State Department’s website for background on the country’s political and economic environment: https://www.state.gov/countries-areas/cyprus/

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