The Council of Ministers approved the review of the strategy for attracting foreign companies, with the aim of further increasing these companies, which, as he mentioned, as they create new jobs, know-how and significant added value to our economy.
"Recognizing the importance of this strategy, a review of this strategy has been made", said the Ministry of Finance, adding that the Council of Ministers approved new actions.
According to the Ministry of Finance, the new actions that have been included in the strategy and will be promoted by the competent Ministries concern the review of the validity period of the residence permits of these companies when certain data are different, the implementation of the blue card directive, which is related with the condition of entry and residence of third-country nationals, while promoting the issuance of entry visas for visitors with the purpose of travel (visa card business), which concerns a new section with the provision of facilities to cover the educational needs of the children of foreign workers in Cyprus .
A new section is also being promoted, which aims to deal with housing problems faced by foreign companies, said Mr. Keravnos, noting that this section is related to the new build-to-rent housing incentives and the revision of some urban planning incentives.
The Government is proceeding with the establishment of a National Development Organization
The Government is proceeding with the establishment of a National Development Organization, which, in conjunction with the Equity Fund, will seek to cover gaps observed in the financing of small and medium-sized and start-up businesses, announced the Minister of Finance, Makis Keravnos.
He added that a consulting firm has already been commissioned to carry out a study to demonstrate the Organization's activities and tools, with the aim of submitting the relevant proposal to the Council of Ministers in March.
At the same time, Makis Keravnos announced that the strategy for attracting foreign investment companies to Cyprus has been revised, incorporating new actions that resolve issues faced by these companies.
Regarding the National Development Organization, Mr. Keravnos said that the Cabinet has approved the relevant proposal with the aim of further strengthening entrepreneurship.
"The National Development Organization is the result of the finding that there are gaps in the financing of small and medium-sized and start-up businesses, as well as in some cases the self-employed," said the Ministry of Finance, adding that the Ministry has approved the assignment of a relevant study to a house in order to create this the organization and its activities and the tools it will use "to help SMEs".
As he said, the relevant proposal is expected to be submitted within March for approval by the Council of Ministers.
At the same time, Mr. Keravnos mentioned that the Ministry also approved the Cyprus Equity Fund.
He reminded that the Fund, the management of the fund and its size is expected to reach €37,5 million has been assigned to the European Investment Fund of the European Investment Bank (EIB), adding that the formation of the fund has been completed and its operation is expected to begin in the first quarter of 2024.
Mr. Keravnos said that the state contribution amounts to €30 million with the rest coming from private funds.
"The Fund will mainly invest in start-up and innovative Cypriot businesses with the aim of covering the financing gaps found in the Cypriot market due to the high investment risk of these start-up companies", said the Ministry of Finance, adding that the Republic of Cyprus has signed a financing agreement with the EIB which was entrusted with the monitoring of the operation of the Fund.
Source: KYPE