NEWS AND EVENTS
Republic of Cyprus
The Republic of Cyprus is an island in the north-east of the Mediterranean Sea, which many people name the heaven on earth. Mild climate, sun that shines 365 days a year, warm sea breeze, untouched nature – it will take awhile to enumerate all the values of the island.
Starting from May 1, 2004 the Republic of Cyprus has been a member of the European Union and since then Cyprus has undertaken significant economic and structural reforms that have transformed its economic landscape. Being a full member in the EU, Cyprus has brought its legislation in compliance with the EU requirements.
Cyprus offers a unique basket of advantages to foreign investors utilizing Cyprus as a base for conducting their business activities worldwide. Its competitive advantages derive from its strategic geographical location, favourable business climate, fiscal regime, stable macroeconomic environment, high educational level of the labour force in conjunction with the comparatively low level of graduates’ remuneration, modern legal, banking and financing systems, excellent infrastructure with advanced transport and telecommunications network, as well as the widespread knowledge of English.
It is also worth mentioning that real estate purchase on Cyprus apart being profitable capital investment can serve as a base for residence permit processing.
Requirements
There are several types of residence permit – temporary and permanent.
In order to process a temporary residence permit it is required to present the abstract of title for real estate property and account statement from a Cypriot bank. Such a residence permit is issued for 1 up to 4 years and is subject to annual extension / approval. Foreign nationals residing legally on Cyprus for more than 5 (five) years, have the right for permanent residence permit application.
The following categories of foreign nationals are eligible for permanent residence permit:
1. Foreign nationals intending to open a representative office of the international company on the island of Cyprus.
2. Foreign nationals intending to carry out the entrepreneurial business on Cyprus provided the activity does not affect the Cypriot economy. Whereby, the minimum amount of the charter capital required for these purposes shall be 255 000 euro.
3. High net worth individuals not intending to carry out any activity on the island, provided their annual income coming from overseas resources is not less than EUR 4 500.
Procedures and Timeframe
The procedure of residence permit obtaining takes about 2 months. Initially a foreign national should apply to the immigration department of the local police department. The following documents should be filed along with the application to the department of foreign nationals’ registration: passport and its copy, documents for real estate property, bank statement confirming sufficient means for living on the island within a year.
Upon completion of this stage, the applicant should turn to the authorized medical institution for medical examination confirming absence of inflectional diseases such as HIV, hepatitis and tuberculosis.
Advantages of Cypriot residence permit
Cyprus is a country with preferential tax treatment, while advanced banking system is valued worldwide. Therefore many high net worth individuals prefer to keep their money in Cypriot banks and carry on their business through Cypriot companies. Whereby, the government of the Republic of Cyprus guarantees confidentiality of all financial transaction and real estate activities.
Here it should also be added that foreign nationals holding the residence permit have equal rights with EU citizens in the following areas of life:
- employment (except for work in state institutions) and entrepreneurial activity
- social security services
- tax incentives
- education (including grant of scholarship)
- recognition of educational professional documents, diplomas and other certificates
- unlimited entry into local associations and organizations
- visa free travel within the territory of residency.