Cyprus, an island situated in the
south-eastern corner of the Mediterranean sea, at
the crossroads of Europe, Asia and Africa, has established
itself as a reputable international center for offshore
business, commercial regional activity and professional
services. (More information about the island of Cyprus
is given at the end of this report under the section
“ Cyprus the island, general characteristics. ”)
The strategic position of the island, the general
business environment and supporting facilities, its
modern, high standard and efficient legal, professional
and banking services, the commercial infrastructure
and its excellent telecommunications, the European
living of standards, combined with the generous tax
incentives and concessions available to foreign investors,
have been the major factors in shaping the development
of the island as one of the booming international
business and financial centers.
We would like to stress out that Cyprus is a low
tax jurisdiction and not a tax heaven like most of
the other offshore centers. This is very significant
because as a tax incentive country Cyprus is free
from suspicions usually associated with the tax heavens.
The encouragement of foreign participation in the
island’s economy is a policy which is strongly endorsed
by all official bodies and authorities and the government
is committed to creating conditions favourable to
both offshore entities and those seeking an operational
base in a low- cost, low-tax and upgraded business
area. . This open and liberal approach has successfully
generated a growing awareness among foreign corporations
and individuals of the unique advantages of using
Cyprus as a business base. A synopsis of the more
significant of the advantages offered to international
business companies is given
