CIPA
International Investment Awards 2014
Welcoming Address by the President of the Republic of Cyprus
Mr.
Nicos Anastasiades
Distinguished guests, Dear Friends,
It is with great pleasure that I
welcome you all to the Presidential Palace for the celebration of the
3rd International Investment Awards,
organised by the Cyprus Investment Promotion Agency and Gold Magazine.
This event provides us with the
opportunity to honour extroversion and investment; the companies and individuals
who believed, trusted and invested in Cyprus, and to express our deepest
appreciation and gratitude to all of you who have chosen Cyprus as a base for
your business activities.
At the same time, I could not but
praise CIPA and express my Government’s sincere appreciation to its efforts and
hard work in contributing to Cyprus’ recovery, restoring confidence in the
economy and promoting Cyprus as an attractive destination for foreign
investors.
Thank you all for your presence here
tonight.
Dear Friends,
Today - a year and a half since the
Memorandum of Understanding was signed with the Troika - I feel obliged to
remind that my
Government, as had promised, has so far demonstrated full commitment and
compliance with the terms and provisions of its economic adjustment
programme.
This is widely acknowledged and evident through Cyprus’
four previous impeccable records of positive reviews and would not have been
made possible without the individual and collective sacrifices endured by all
segments of our society, and the responsible attitude demonstrated by the social
and professional organizations of our country.
It is for these exact reasons that I once more call on
everyone involved to realize the imperative need of maintaining our unity and
solidarity in satisfying the requirements of troika’s programme.
I do hope that we will be able to overcome the current
critical juncture we have reached, not only through the efforts that the
Government is undertaking towards this cause, but, and most importantly, through
appreciating that the only way for our country’s bailout exit from troika’s
programme to take place sooner than predicted is via our compliance and
implementation of the relevant provisions of the programme, while at the same
time, as we have proven, safeguarding the interests of the vulnerable groups of
our society.
In this respect, I wish to emphasize
that it is anticipated that our bailout exit can take place earlier than
initially expected. This is a path we should not derail from.
Dear Friends,
Cyprus’ economy is slowly but steadily recovering, as
proven by the so far positive assessments by troika, the upgrading of the
country’s economic outlook by international credit rating agencies, the prudent
management of public finances and the country’s return to international markets
after a three-year exclusion.
Moreover, Cyprus’ banking system is already much
stronger than it was a year ago. Banks have been recapitalised, mainly through
international investors. Restructuring plans are at an advanced stage of
implementation, while supervision and oversight have improved significantly,
leading the banking system to a more efficient functioning.
Stability is returning but, without doubt, it will take
time and effort for confidence to be fully restored.
As such, emphasis is now shifting to proceeding with
much needed structural reforms and the government is already in the process of
reforming the public sector, the welfare and health care system, tax
administration and public finance management systems.
At the same time, one of the most important priorities
of the Government is to promote growth, through, amongst others, offering
favourable incentives for existing or new companies doing business in Cyprus,
encouraging foreign investments, increasing Cyprus’ competitiveness and creating
a more effective and business-friendly environment, particularly through the
simplification of administrative procedures.
A government’s role is not to substitute businesses but
to create optimal conditions for businesses to flourish, by eliminating internal
barriers, bureaucratic dysfunctions and distortions that halt or hamper growth.
And I would like to assure you all present here tonight
that the Government of Cyprus will exert its utmost efforts to support and
facilitate your efforts in enhancing your investments and business
operations.
Our determination and commitment towards this goal is
evident through today’s decision of the Ministerial Council which provides for
the public sector reform and the development and growth policy strategy to be
undertaken by the Presidency itself, and specifically by the Deputy Minister to
the President, Mr. Constantinos Petrides.
The above-mentioned structural reforms are combined with
an ambitious privatisation programme that we consider as vital and necessary and
which we believe will attract sound and sizeable foreign investment. It is
through these reforms that we aim to create solid foundations for a more
multi-dimensional and viable economic model for Cyprus.
In addition, new sectors of economic activity are
emerging. The energy sector is a strategically important multi-billion project,
not only through the discovery of offshore natural gas, but also through the
renewable energy sector, especially that of solar energy.
Promising opportunities for growth also exist across
many other sectors, such as shipping, tourism, large-scale development projects,
education, health, research and innovation.
Further, the procedures for the licensing and operation of an
integrated casino resort are underway and already investor interest has been
being registered.
Your contribution to the Government’s efforts to
demonstrate that we are well-equipped, determined and able to overcome the
challenges which lie ahead, is vital. We consider you to be our best ambassadors
in conveying to international clients and businesses all the measures and
decisions adopted by the Government towards encouraging foreign investment and
promoting growth.
As such, it is of paramount importance to demonstrate
the overall advantages that Cyprus has to offer to international businesses, and
especially to underline that these have not been undermined by the financial
crisis. This can be conveyed through the country’s following attributes:
(a) Almost 52 double tax treaties in force,
(b) A steady increase in the companies registered over
the past six months
(c) A highly qualified and professional workforce,
(d) A fully EU harmonised tax and legal system and,
(e) One of the lowest and most competitive corporate tax
rates in Europe at 12.5%, making it an attractive investment destination and a
highly competitive centre for international businesses, offering them a platform
for their operations and preferential access to markets like Europe, Middle East
and North Africa, Russia, China and India, and Asia in general.
The prospects for Cyprus remain bright. We acknowledge
the difficulties. But we have a plan and we are implementing it. We are
convinced that with the right measures and the cooperation of a more
business-friendly state we will succeed and we will pave the way for greater
growth, both for you and for our country and its people.
My Government will offer you all assistance deemed
necessary towards this shared goal and will facilitate and accommodate any
feasible business and investment ideas put forward by you all.
I would like to once more thank you
all, for your positive contribution, but mostly for your trust and faith in
Cyprus, and congratulate the organisers for this wonderful event.
Last but not least I would like to congratulate all
seven companies that are being honored today for their commitment to the Cyprus
economy and of course Mr. Zakheos for his life-long contribution to his country.
