Business & Economy

CYPRUS: President committed to keeping conditions for high economic growth

12 April, 2019

Cyprus President Nicos Anastasiades said his government is committed to maintaining and broadening conditions to enable fiscal surpluses and the generation of high economic growth.

Addressing the 15th CFA Forecasting event, organised by the CFA Society Cyprus, Anastasiades recalled that Cyprus from a downturn of 6% in 2013 returned to consecutive high growth of 4%, from deficits of €1 bln in 2012 and 2013, generated surpluses for five consecutive years, unemployment fell from its peak of 16% in 2013 to 7.5% with a declining trend, while Cyprus’ credit rating returned to investment grade status.

These achievements, he said, were the result of prudent fiscal policy, the strengthening of a stable and competitive tax and legal regime, the implementation of measures which facilitated economic and investment opportunities and the adoption of significant structural reforms.

“It was the combination, of the above-mentioned in conjunction with the patience and hard work that the people of Cyprus demonstrated, as well as the co-operative stance of the majority of the political partners, the social partners, and in particular the professional business organisations and the private sector,” said Anastasiades.

 He reiterated the government’s commitment to remain focused on maintaining and broadening the conditions under which surpluses and high growth rates can be generated, improve the country’s business environment and reforming pensions, welfare, the health care system, tourism, research and innovation.

“At the same time, we will of course continue to actively support the thriving financial services sector, one of the most important and productive pillars of our economy, which has proven truly resilient at challenging times.”

Anastasiades said that in addition to numerous tax and legal incentives, the government has actively supported the development of the industry by strengthening the national regulator, the Cyprus Securities and Exchange Commission, while enhancing the regulatory framework according to the European legislation and on best international practices.

“These initiatives, as well as the hard work of professionals in the industry, have resulted in the strong growth of the sector, especially as regards fund management.”

The President said the CFA Institute and its regional societies have a key role to play in equipping professionals with the appropriate skills to competently advise clients but even more importantly, in instilling an ethical culture in its members, for the protection of investors and progress of the industry as a whole.