Cyprus Business Now: weekly wrap-up
Here are the top business stories in Cyprus from the week starting March 16:
The federation said the proposed amendments had been submitted by the Health Ministry, with the objective of addressing staff shortages in the healthcare system by easing procedures for recruiting nurses from outside the European Union.
In a statement, Oev said that “at a time when the country’s healthcare sector is facing serious shortages of nursing staff“, the failure to take decisions that could help alleviate the problem is causing “enormous dissatisfaction” among affected healthcare service providers.
The federation stated that healthcare providers believe the delay undermines efforts to address pressing workforce gaps that are already affecting the delivery of medical services.
Speaking to the Cyprus News Agency (CNA), Yiasemides explained that as an externally driven economy, Cyprus is highly susceptible to major geopolitical and economic developments in the broader region.
Responding to questions regarding the economic consequences of the war in the Middle East, he warned could have multiple implications for the national economy.
“The priority is to safeguard the image of Cyprus as a stable and safe destination, both in terms of tourism but also for investments,” Yiasemides said.
During the session, Zenonas Apostolou, the chairman of the organisation’s board of directors, highlighted the strategic importance of Cyprus’ ports to the national economy and broader economic activity.
“Our ports constitute infrastructure of national importance, as they are directly linked to trade, energy, shipping and tourism while also serving as a key gateway for economic activity,” said the Apostolou.
The chairman also referred to the authority’s strong financial performance in recent years, explaining that the organisation has recorded steady improvement in its economic results.
“In recent years the Ports Authority has shown a particularly positive financial course, with a steady strengthening of its financial results,” Apostolou stated.
The event saw investors, officials and business leaders discussing opportunities across sectors, ranging from agribusiness and energy to shipping, tourism and financial services.
The high-level forum was organised by the Embassy of Ethiopia to Cyprus in collaboration with the Honorary Consul of Ethiopia to Cyprus, on March 13, bringing together entrepreneurs, diplomats, institutional representatives and senior government officials from both countries.
Participants examined prospects for cooperation in agribusiness, critical minerals, pharmaceuticals, energy and renewable resources, information and communication technologies, tourism and hospitality, infrastructure and construction, shipping and maritime services, as well as financial and professional services.
The package, which includes two bills due to be sent to the legal service on Tuesday morning for legal drafting, seeks to widen the commissioner’s role in debt disputes and give borrowers earlier access to the process.
Keravnos said the first measure would upgrade the existing debt confirmation mechanism by adding the possibility of debt restructuring.
In practice, this would allow a borrower to go to the financial commissioner earlier in the process, by receiving the standard 1st priority letter mail for general correspondence (Type I) instead of the registered mail to ensure legal service, often as a second notice (Type IA) currently in place.
Speaking at the ‘Real Estate, Property Development and Construction’ conference in Nicosia, the minister stressed that affordable housing remains a top priority for Cyprus, particularly during its Presidency of the Council of the European Union.
“The interventions of the government move along four axes to address the housing issue,” he said.
“Through the proposed actions, emphasis is placed on increasing supply, reducing bureaucracy, strengthening investments in the housing sector and supporting the most vulnerable groups of the population,” he added.
Another key point conveyed during the conference included a warning that bureaucracy, infrastructure gaps and housing distortions continue to weigh on the market.
Opening the conference, Cyprus Property Developers Association president and Imperio Group president Yiannis Misirlis said the sector can no longer be seen only as a barometer of economic activity, but increasingly as a force shaping the way people live.
“We are currently in a period of transformation,” Misirlis said, adding that the market and construction sector now serve not only as indicators of economic activity, but also as “tools of development, social policy and urban planning.”
Presenting an analysis of 2,500 registered projects, Ask Wire chief executive Pavlos Loizou said the market is showing clear changes in buyer behaviour, with newer properties continuing to attract the strongest interest.
At the same event, association of Cyprus building contractors (Oseok) president and N. Gavriel & Sons managing director Stelios Gavriel said the future of construction in Cyprus will depend on credibility, innovation and stronger cooperation across the industry.
Loizou said the bulk of transactions now concern new apartments, while older properties are seeing weaker demand and more stable prices.
The minister stressed that decisions on foreclosures must be reasonable and balanced, warning against measures that could create further economic problems.
“We are being monitored by rating agencies, we are being monitored by the European Union and the institutions from which we have borrowed and which assess us,” he said.
He made clear that broad interventions regarding foreclosures are currently off the table, specifically ruling out any attempt to implement a universal freeze.
Official project material and recent reporting show the organisation is advancing sale and rental schemes as part of a wider affordable housing programme.
The first of the two contracts concerns Adonis III in Pano Polemidia, Limassol, which will include 29 three-bedroom semi-detached houses.
The second concerns Alexandra in Lakatamia, a three-storey block with 18 apartments.
Both projects are intended for sale at affordable prices to eligible beneficiaries under Koag’s criteria.
The survey, which gathered responses from 77 business leaders in Cyprus, points to mounting unease over the speed of business transformation, while also outlining the opportunities and pressures shaping companies in an increasingly volatile environment.
According to the findings, 43 per cent of CEOs in Cyprus say they are concerned about whether they are transforming their business “fast enough” to keep up with the scope and pace of technological change, including artificial intelligence.
Similar concerns are being expressed in the Eurozone and globally, where CEOs are likewise questioning whether their organisations are adapting quickly enough to match emerging technological realities.
The scientific and technical chamber (Etek) described the publication of the regulations as particularly important, saying it answered a long-standing request for a substantial upgrade in the way electromechanical installations are designed, implemented and monitored.
According to Etek, the new framework lays stronger foundations for better building control and quality, safer installations, stronger protection for citizens, an upgraded role for engineers and the promotion of more energy-efficient buildings.
Speaking to the Cyprus News Agency (CNA), Georgiadis warned that the island’s image as a safe destination should not be undermined by loose messaging, particularly in international media, at a time when perceptions can shift quickly and carry economic consequences.
“Statements or images associated with warships or military bases may create a feeling of insecurity, even if this is not the intention,” he said.
He said the government should move quickly on reassuring tourist markets that Cyprus remains safe, preparing contingency plans in case the regional crisis deepens, and protecting air links.
Specifically, the Bank of Cyprus held meetings with 30 investment funds from Europe and the United States in a single day, reflecting significant engagement from global institutional investors.
This marked the first time such strong interest was recorded from major funds, with around five to six funds attending each meeting.
The discussions were described as highly positive and of strong qualitative value, with investors focusing on the bank’s strategic direction.
In a statement issued at the International Maritime Organisation’s (IMO) 36th extraordinary council meeting, Kazakos said the attacks pose “an unacceptable threat” to the safety of international shipping.
He added that they undermine the stability of global trade and place “innocent seafarers at grave risk”.
The meeting was held to address the impact on shipping and crews of the situation in the Arabian Sea, the Sea of Oman and the Gulf region, particularly in and around the Strait of Hormuz.
Kazakos said the attacks “have resulted in fatalities and caused serious injury to seafarers”. He added that around 20,000 remain trapped in the affected area.
“The loss of the Russian tourism market due to European Union restrictions has caused losses in Cyprus of more than €1 billion annually, according to experts,” said the Russian ambassador in comments to Russian news agency TASS.
“Tourists from the Russian Federation continue to be eagerly awaited in Cyprus,” he said.
“They are eagerly awaited by hotel owners, restaurant operators and other businesses in the services sector and leisure industry,” he added.
The ambassador said these businesses “sincerely wish for the return of a large flow of Russian tourists“.
Speaking at a press conference for the Deputy Ministry of Shipping’s 2025 annual report in Limassol, Hadjimanolis said the closure of the straits had become a matter of major concern for global shipping, particularly because of the risks facing seafarers stranded in the area.
She said the passage is one of the world’s most critical maritime energy corridors and also important for agricultural trade, adding that the government and the deputy ministry had been closely monitoring developments from the outset.
“At the moment, as you know, the straits are essentially closed,” she said, adding that ship movements were very limited.
Nicolaou, who leads an association affiliated with the Cyprus Chamber of Commerce and Industry (Keve), joined a panel discussing the Limassol real estate market over the next decade.
The discussion focused on developments and prospects in Limassol’s property market, emphasising the main trends shaping the sector and the challenges and opportunities expected in the coming years.
Participants examined issues concerning the dynamics of Limassol’s real estate market, the trajectory of the luxury development sector in residential and commercial properties, and the sources of demand from local and international buyers.
“The developments in Iran are quite likely to exert significant pressures on the Cypriot economy,” the council stated.
“Although important parameters remain uncertain, immediate preparation is required to address the consequences,” it added.
“With the possibility of the conflict continuing over time, and even evolving into an asymmetric war, the response to developments should take into account the high degree of uncertainty that characterises current data,” the Fiscal Council continued.
The minister stressed that developments are being closely monitored, as authorities assess how the situation may evolve and affect Cyprus.
“At this moment, the finance ministry is processing scenarios and we are monitoring developments,” Keravnos said following a meeting with Edek president Nikos Anastasiou.
“Depending on these developments and the duration of these crises, we are preparing plans to mitigate any problems that may arise,” he added.
The statement came amid growing concerns over the economic impact of the Iran conflict, particularly on businesses and households in Cyprus.