Attracting Foreign Investment remains key to a Sustainable Development Model
Vasilis Zertalis – CEO of Prospectacy LTD
The emergence of Cyprus in recent years as a competitive business center in no way allows for complacency. On the contrary, experience teaches us that through attracting foreign investments we should build a sustainable development model that can cope with crises over time.
In the highly competitive environment that has formed internationally due to successive crises, attracting foreign investment remains key to the recovery of the economy and a condition for the creation of a sustainable development model.
The extraction of know-how and capital in different sectors will lead to the growth and diversification of the productive base of the economy, creating quality jobs for the population.
Already, the establishment of headquarters in Cyprus by a number of foreign companies has brought significant know-how to our country, while at the same time contributing to the opening of thousands of jobs, creating horizontal multiplier benefits for the economy in the midst of crises. Major investments in the technology sector have paved the way for the creation in Cyprus of a regional hub between Europe and Asia.
With flexibility and telecommuting now taking on a central role in the labor market, headquartering and attracting foreign investment are not just additional benefits for our country’s economy, but components that ensure stability and sustainable growth her.
The new investment attraction program announced by the government, after the cancellation of the Cyprus Investment Program, strengthens the competitiveness of Cyprus, while it will also contribute to redefining the country’s development model.
In particular, the new investment attraction program focuses on facilitating the relocation procedures of foreign companies, expanding the tax incentives offered to foreign companies, as well as providing employment permits for personnel from third countries working in international companies.
At the same time, it focuses on a sector that is emerging as an important pillar of our economy, that of higher education.
Strengthening private and public institutions of higher education will contribute to the development of the country’s workforce, attracting researchers, students and resources from abroad, while effectively linking education to the labor market. Strengthening the labor market with specialized personnel also implies strengthening the comparative advantages of Cyprus as a business center.
We must build on this effort that has already begun, in order to further upgrade the country’s infrastructure to attract more innovative companies and established professionals, while strengthening Cyprus’ accessibility to new European and regional markets.