Cyprus recorded a record-breaking €3.2 billion in foreign direct investment (FDI) for 2023, according to Invest Cyprus, the agency tasked with driving investments to the island.
This figure was reported during the organisation’s annual general meeting on November 14.
The meeting took place at the premises of the Finance Ministry in Nicosia, where it unveiled and outlined its strategy for 2024.
The event was attended by Finance Minister Makis Keravnos, ministry officials, and other key stakeholders.
Despite global uncertainties, including economic instability and geopolitical tensions, Cyprus demonstrated resilience in attracting investment, the agency mentioned.
“The year 2023 was one of significant challenges but also great successes for Cyprus and its investment initiatives,” said Invest Cyprus Chairman, Evgenios Evgeniou.
Key achievements included the creation of over 2,500 jobs and a 129 per cent surge in FDI, the highest among EU countries, according to FDI Intelligence of the Financial Times.
“This remarkable increase underscores Cyprus’ growing appeal as a destination for foreign investors,” Evgeniou stated.
The agency also stressed that the technology sector continued to thrive, with over 800 technology companies now operating in Cyprus.
It should be noted that more than 250 of these firms were established between 2021 and 2023.
“The influx of these companies has strengthened the technology sector and enhanced the skills of our workforce,” said Evgeniou.
The information and communication technology (ICT) sector contributes more than 10 per cent to the country’s GDP.
Sustainable investments also saw a boost, focusing on health, education, and the green transition.
The agency added that strategic investments supported the economy’s sustainability goals.
The financial sector also reported growth, with managed investment funds exceeding €10 billion, of which €3 billion was invested locally.
In terms of global outreach, Invest Cyprus said that it increased Cyprus’ international visibility by participating in major global conferences and hosting roadshows in strategic market.
These included events in London, New York, Abu Dhabi, Zurich, and several Middle Eastern countries.
In the same context, agreements were signed with Saudi Arabia and Jordan, strengthening bilateral investment ties.
“The actions taken have reinforced collaborations and built relationships with international investors,” Evgeniou explained.
He also said that Cyprus’ robust economic performance has been recognised by both the European Commission and credit rating agency Moody’s.
Looking ahead, Invest Cyprus aims to further digitise investment processes and enhance the regulatory framework to foster a more favourable investment climate.
“We are aiming to attract even more investments in cutting-edge sectors, ensuring Cyprus remains a top destination for international investors,” said Invest Cyprus CEO Marios Tannousis.
The agency highlighted the fact that collaboration with the Finance Ministry remains pivotal.
“I am deeply satisfied with the work of Invest Cyprus,” said Finance Minister Makis Keravnos.
“Their efforts have significantly boosted investments in Cyprus and, by extension, our economy,” he added.
Invest Cyprus also said that it plans to expand the Invest Cyprus Project Bank, which offers transparent access to high-interest investment projects, and to continue supporting investors through tailored aftercare services.
“Our focus is on fostering sustainable investments that align with Vision 2035,” Evgeniou affirmed.
Furthermore, Evgeniou highlighted the importance of the government’s support for initiatives to attract specialised companies and talent.
He said that the most recent company attraction programme has contributed to the country’s technology ecosystem by adding 300 companies.
“These companies are making significant contributions to our economy,” he stated.
Keravnos also acknowledged Invest Cyprus’ role in maintaining the country’s economic stability despite global challenges.
“We have exchanged views on where to focus further efforts to ensure positive outcomes and sustain our strong economic position,” he said.
The AGM concluded with a commitment to continue strengthening Cyprus’ position as a business and technology hub.
“Invest Cyprus is dedicated to promoting sustainable investments and ensuring long-term economic growth,” Tannousis stated.
