EMCC European Monitoring Centre on Change

Cyprus Investment Promotion Agency (CIPA)

Cyprus
Phase: Anticipation
Type:
  • Access to finance
  • Attracting investors
  • Matching/Networking
  • Support of companies' growth
  • Support of internationalisation
Sidst ændret: 27 August, 2020
Lokalt navn:

Κυπριακός Οργανισμός Προώθησης Επενδύσεων (ΚΟΠΕ)

Engelsk navn:

Cyprus Investment Promotion Agency (CIPA)

Coverage/Eligibility

International businesses interested in doing business in Cyprus.

Main characteristics

The Cyprus Investment Promotion Agency (CIPA) operates as a full-service centre for companies exploring investment opportunities in Cyprus. It constitutes the central agency of Cyprus for information, support, and foreign investors' relations. Moreover, recognising the importance of serving the established foreign-based companies, the centre also provides aftercare and development services aimed at anchoring existing investors in Cyprus.

Its objectives are as follows:

  • to play a vital role in attracting foreign direct investment in Cyprus;
  • to constitute itself as a central agency for the provision of information and support to interested investors;
  • to develop and implement an investment promotion strategy;
  • to liaise with any governmental, semi-governmental, municipal, local or other departments, services, agencies and authorities, with a view to facilitating the process for granting any necessary permits, approvals, consents or other authorisation, as may be required under any applicable law.

Cyprus government has developed a scheme for promoting start-up business. The scheme is promoted via CIPA on a special dedicated platform called ‘Launch in Cyprus’. The website provides information on incentives, on how to set up a start-up business in Cyprus as well as information on special arrangements for a start-up visa for Cyprus.

Funding

  • National funds

Involved actors

National government
Established as a registered not-for-profit company limited by guarantee, funded by the Cyprus government and reporting to the Ministry of Energy, Commerce, Industry and Tourism.

Effectiveness

CIPA, besides attracting new investors, assists local business to overcome financial difficulties by providing access to investments by international players. In its 2016 annual report, CIPA points its role in the facilitation of foreign direct investments in Cypriot owned companies, such as the €40 million recapitalisation of Piraeus Bank (now renamed to Astrobank) or the €260 million purchase of a local pharmaceutical company by the South-African Ascendis Health.

Strengths

CIPA fulfils a policy advocacy role; its institutional framework and operational structure allow the government to adopt flexible procedures to effectively respond to changing demands and challenges.

Weaknesses

No information available.

Eksempler

The ‘Launch in Cyprus’ complementary website of CIPA provides highlights in brief of two case studies of tech companies who have either relocated or expanded in Cyprus. These are Wargaming Group and Viber. Wargaming, an online gaming portal, was founded in 1998 in Minsk, Belarus. In 2011 the company moved its headquarters and main offices to Nicosia. The company offered a relocation program to help employees move and take advantage of the high quality of life in Cyprus. The company is meanwhile employing in Cyprus more than 500 persons and is a highly regarded investor in the country, as it has expanded its business activities to other sectors of the economy. The company is one of the biggest shareholders of the Hellenic Bank. Viber is a calling and messaging app that connects people All Viber calls and chats are protected by built-in end-to-end encryption, so users can be sure that their conversations are always secure. The company was founded in 2010 by a team from Israel led by Talmon Marco. Viber's main offices are in Cyprus and Belarus. The company’s main Research and Development team is in Israel. Viber has been acquired in 2014 by Rakuten (Rakuten Viber) for $900 million.
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