Sydney Windows Azure June 20 th 2013 David McGhee Regional Technical Specialist.
20 th June 2014
description
Transcript of 20 th June 2014
![Page 1: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/1.jpg)
20th June 2014
Charis PapacharalambousDirector General
Cyprus Investment Promotion Agency (CIPA)
Investing in Cyprus, an ideal gateway to Europe for the Arab world
![Page 2: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/2.jpg)
Cyprus FactsLocation: 35 N and 33 E
Total area: 9,251 km2
Population: 866,000 (2012)Time Zone: GMT+2
Currency: EuroCapital: Nicosia
Languages: Greek, Turkish, English for businessPolitical System: Presidential Democratic Republic
![Page 3: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/3.jpg)
Cyprus Investment Promotion Agency (CIPA)Promote Cyprus as an attractive international investment and business centre in key priority economic sectors
Provide investor facilitation and support to new and existing investors
Advocate reforms in order to improve the regulatory and business environment and infrastructure
![Page 4: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/4.jpg)
Recent facts about the Cyprus economy
• All four TROIKA assessments - “Program is on track” - ECB, IMF, EC
• Resilient economy: Contraction of 5.4% v initial est. of 8.7%
• Return to growth by 2015 - European Commission’s forecast
![Page 5: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/5.jpg)
Economic Indicators
Source : Cyprus Ministry of Finance * estimated forecast
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
-8
-6
-4
-2
0
2
4
6 5.1
3.6
-1.9
1.30.4
-2.4 -5,4 -4.80.9
1.9
GDP Growth (% change)
*
**
![Page 6: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/6.jpg)
Economic Indicators
Source : Cyprus Ministry of Finance * estimated forecast
![Page 7: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/7.jpg)
• All four TROIKA assessments - “Program is on track” - ECB, IMF, EC
• Resilient economy: Contraction of 5.4% v initial est. of 8.7%
• Return to growth by 2015 - European Commission’s forecast
• Fiscal deficit is much lower than originally expected
• Private consumption decline was less than originally expected
• 40% of Foreign Investors planning to expand investments within the next 3-5 years - CIPA survey Dec 2013
• Cyprus successfully returned to the markets 18 months before forecasted
Recent facts about the Cyprus economy
![Page 8: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/8.jpg)
• In November 2013, Standard & Poor’s first upgrade for Cyprus• On 22nd March 2014, Moody’s has upgraded Cyprus’ Government and
financial institutions credit worthiness from negative to positive, citing the Cyprus stronger-than-expected fiscal and economic performances in 2013 and the authorities’ track record of meeting conditions under the Troika funding program.
• On 25th April 2014, Standard & Poor's raised the long-term foreign and local currency sovereign credit ratings on Cyprus to 'B' from 'B-'.
• S&P affirmed the short-term foreign and local sovereign credit ratings at 'B'. The outlook remains positive.
Ratings
![Page 9: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/9.jpg)
Cyprus 10- Year Government Bond Yield
Source: Ministry of Finance
![Page 10: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/10.jpg)
Economic Sentiment Indicator (ESI)
Source: Eurostat last update: 28/05/2014
![Page 11: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/11.jpg)
39th out of 189 countries Ease of Doing Business
32nd out of 161 countries Best Countries for Business
31st out of 176 countries Corruptions Perceptions Index
29th out of 140 countries The Travel & Tourism Competitiveness Report
27th out of 145 countries Best Countries for Business
27th out of 142 countries The Global Innovation Index
21st out of 140 countries Best Travel & Tourism Environment & Infrastructure
1st out of EU28 Bathing Water Quality
11
2013 Global Competitiveness
![Page 12: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/12.jpg)
Cyprus, the Gateway into Europe and beyond!
Strategic Location: Cyprus has been an important trading hub since antiquity!
![Page 13: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/13.jpg)
Cyprus
![Page 14: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/14.jpg)
Cyprus, the Gateway into Europe and beyond!
Strategic Location: Cyprus has been an important trading hub since antiquity!
Ease of Doing Business: Introduction of numerous structural reforms
EU and Eurozone: Full harmonization of EU legislation and Directives
Tax System: Possibly the most attractive tax systems in Europe - Double Taxation Treaties
![Page 15: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/15.jpg)
Cyprus: Attractive Tax SystemExempt from tax:
Dividend income Profits from overseas
permanent establishments Profits from the sale of securities
No withholding tax on:
DividendsInterest
Royalties paid from Cyprus
Most international transactions are exempt from VAT
Double Tax Treaties with 50 countries Intellectual Property (IP) regime with
an effective tax of less than 2%
![Page 16: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/16.jpg)
Cyprus, the Gateway into Europe and beyond!
Strategic Location: Cyprus has been an important trading hub since antiquity!
Ease of Doing Business: Introduction of numerous structural reforms
EU and Eurozone: Full harmonization of EU legislation and Directives
Tax System: Possibly the most attractive tax systems in Europe - Double Taxation Treaties
Robust Legal & Regulatory Framework: Based on English Common Law Principles
![Page 17: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/17.jpg)
Cyprus: Legal System
• Based on the English Common Law Principles
• Transparent
• Fully harmonized with international standards
• High quality legal services
• Collaboration with international law firms
• Application of EU Directives
![Page 18: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/18.jpg)
Cyprus, the Gateway into Europe and beyond!
Incentives: Wide range of investment incentives for foreign companies
Infrastructure: Well advanced and modern Infrastructure
Value for Money Services: “Centre of Excellence” – First country in the world to train
“UK Chartered Accountants and “CIMA Accountants” outside the UK
Human Talent: Highest tertiary education percentage in the EU
Quality of Life: Weather, History & Culture, Gastronomy, International schools - More than
85% of existing foreign investors value the high quality of life in Cyprus - source: CIPA survey Dec.
2013
![Page 19: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/19.jpg)
Cyprus ranks 5th best country to relocate
Source: www.knightfrank.com
![Page 20: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/20.jpg)
Key Economy drivers
• Professional Services Market has created opportunities
• Banking & Financial Services Niche sectors like ship financing, energy project financing
• Tourism Well developed infrastructure. World’s most Blue flags per coastline km & cleanest waters in the EU (100% success)
• Research & Development Innovation in Medical Research projects
• Renewable Energy 2 projects awarded the EU funding NER300 program and over 20 new licenses
![Page 21: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/21.jpg)
• The ONLY EU approved tonnage tax regimewith benefits for ship-owning, ship-management
and crew management
• Largest Ship Management Centre in EU
• 2nd largest Ship Management Centre globally
• 3rd largest merchant fleet in EU
• 10th largest fleet worldwide More than 1,022 registered vessels with 21 million
gross tonnage are registered under the Cyprus flag More than 140 ship owning and ship management
related companies are operating from Cyprus
International Shipping Center
Key Economy drivers
![Page 22: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/22.jpg)
Large ScaleDevelopment Projects
Potential Opportunities:
Luxury Real Estate Developments
Marinas
Leisure & Theme Parks
Luxury Resorts & Golf Courses
Health & Wellness Tourism Projects
Education & Universities
Key Economy drivers
![Page 23: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/23.jpg)
Upcoming opportunitiesin Privatizations
Ports
Energy
Telecommunications
Key Economy drivers
![Page 24: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/24.jpg)
Hydrocarbons in Cyprus
Note: 60 tcf NG would fully cover Cyprus’ domestic energy needs for approximately 6,000 years- There are also indications for the existence of oil
Key Economy drivers
![Page 25: 20 th June 2014](https://reader035.fdocuments.net/reader035/viewer/2022062411/56816972550346895de14707/html5/thumbnails/25.jpg)
Existing Foreign Investor survey by CIPA – Dec. 2013
2014 2015 2016 2017 2018 2019 20200
1
2
3
4
Confidence Index Outlook on Cyprus’ Economy
Sentiment