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US Tech Company Tenstorrent Takes First Step Toward Cyprus Expansion

Global AI chipmaker Tenstorrent took its first concrete step toward establishing a presence in Cyprus during a strategic visit hosted by the office of the Chief Scientist for Research, Innovation and Technology.

According to an announcement released on Tuesday, the high-level delegation marked the company’s initial direct engagement with Cyprus’ innovation ecosystem, following a meeting in California between President Nikos Christodoulides and Tenstorrent CEO Jim Keller.

Leading the delegation were Eric Duffy, Senior Director of Business Development, and Isaac Salameh, Senior Director of Corporate Development at Tenstorrent.

The announcement mentioned that the visit reflects “Cyprus’ ambition to become a regional hub for advanced technology and research“.

MOREOVER, it pointed out that Tenstorrent is recognised for its open-source hardware design approach, which differentiates it from competitors.

This approach has the potential to support Cyprus’s long-term strategy to adopt an AI-first policy after 2028.

FOUNDATION FOR COLLABORATION

Chief Scientist Demetris Skourides described the visit as a “first snapshot” of collaboration, laying the foundation for what could become a meaningful and executable partnership.

“This visit confirms that strategic partnerships demand more than vision—they require commitment and execution,” Skourides said.

“Tenstorrent’s decision to engage directly with our ecosystem is not only a statement of intent, but the laying of a foundation to realise a joint ambition,” he added.

The visit began with a meeting at the Presidential Palace, hosted by Deputy Minister to the President Irene Piki.

Also present were Deputy Minister of Research, Innovation and Digital Policy Nicodemos Damianou, Chief Scientist Demetris Skourides, and Chairman of Invest Cyprus, Evgenios Evgeniou.

During the meeting, the announcement mentioned, Duffy acknowledged the strong level of research excellence in Cyprus.

He confirmed that Tenstorrent executives and engineering teams would return in the coming weeks.

The programme was curated and led by the Chief Scientist’s office in close collaboration with the Deputy Ministry of Research, Innovation and Digital Policy.

The office explained that the agenda was tailored to Tenstorrent’s interests and aimed at identifying and engaging with Cyprus’ talent base and research capacity.

The visit offered Tenstorrent an in-depth view of ongoing research in fields such as hardware, systems design, robotics, autonomous technologies, AI, and digital twins.

The delegation held meetings with the University of Cyprus, the Cyprus University of Technology, and Centres of Excellence, including KIOS, CYENS, and CMMI.

These meetings focused on key industries and sectors relevant to the company’s mission.

MOREOVER, Tenstorrent’s team engaged with academic leadership, heads of engineering schools, and engineers showcasing products, solutions, and digital twins developed locally.

The delegation also met the Nicosia mayor, Charalambos Prountzos. According to the announcement, Prountzos shared his vision for the digital transformation of the city and expressed interest in applying AI to improve services for citizens.

Another key meeting took place with Invest Cyprus CEO Marios Tannousis, whose support was described as “instrumental in shaping the visit”.

The announcement also mentioned that this engagement aligns with Cyprus’ national Vision 2035 strategy, which focuses on sustainable economic growth through innovation and technology.

This strategy includes targeted efforts to attract highly skilled Cypriots back to the country, known as “brain gain”.

It also prioritises investment in research excellence, ecosystem development, and international partnerships.

“Tenstorrent is at the forefront of AI,” said Deputy Minister Damianou.

“Opening an office in Cyprus will create new jobs for local talent and attract highly skilled Cypriots from abroad,” he added.

Skourides, who also chairs the National AI Task Force, said Cyprus is building an AI future through partnerships and government initiatives.

“We are focused on leveraging AI factories and building strategic infrastructure through partnerships and government initiatives that accelerate R&D and innovation, invest in human capital, govern and leverage data effectively, and create an operational framework that supports integration and execution,” he said.

“This can only be achieved by cultivating an ecosystem that connects innovators, builders, orchestrators, and consumers—while also introducing sovereign AI capabilities,” he added.

Skourides also said that “Tenstorrent opening an office in Cyprus will be a game changer for both research organisations and industry”.

Cyprus Foreclosure Reform Debate Intensifies Amid Rising Non-Performing Loans

Political Stakes And Foreclosure Regulation

Cypriot political parties are engaging in a high-stakes debate in parliament as they deliberate changes to the legal framework governing foreclosures ahead of the May parliamentary elections. The proposed shifts are aimed at curbing the rapid escalation in the value of non-performing loans, a trend that has sparked significant public and legislative concern. Confidential data from the Central Bank of Cyprus indicates that the nation has not yet moved away from its longstanding issues related to so-called “red loans.”

Non-Performing Loans: A Mounting Financial Challenge

Recent figures show that the value of distressed loans has continued to rise, surpassing €20 billion following transfers involving banks and credit recovery companies. This level exceeds the approximately €15 billion recorded during the economic crisis period. Central Bank data indicates that after loan sales, credit recovery firms now manage portfolios totaling €19.7 billion, of which €18.5 billion are classified as non-performing. About 87% of these loans are considered terminated, while the firms acquired 141,478 loans for €3.2 billion, roughly 80% below their original value.

Credit Recovery Companies: Overshooting Investment Returns

By June, credit recovery companies had recovered €5.7 billion through a combination of cash repayments, judicial asset auctions and property-for-debt exchanges. Cash repayments accounted for €3.6 billion, judicial recoveries contributed €619 million, and property swaps added €1.5 billion. These recoveries exceeded the original purchase cost of many loan portfolios while overall balances continued to increase due to accrued interest, a development that remains a concern for policymakers.

Bank Portfolios And The Impact On Financial Stability

Data from the State Guarantee Fund for Deposits and Loans shows that 77,561 loans valued at €7.5 billion were transferred, leaving a remaining balance of €5.7 billion by June 2025, of which €5 billion are non-performing. Within the banking sector, non-performing loans totaled €1.45 billion across 24,736 accounts as of last June. Since December 2024, these figures have improved by approximately €86 million due to repayments and asset recoveries. The reduction in problematic loans has lowered bank exposure compared with levels recorded during the 2013 crisis.

Legislative Proposals And Government Considerations

Political leaders argue that adjustments to foreclosure procedures can be introduced without undermining banking stability. Parliament’s Economic Committee is scheduled to begin discussions on March 9, with an estimated 20 to 30 legislative proposals currently pending from multiple parties. While the Ministry of Finance has not announced immediate legislative action, officials are evaluating the potential reintroduction of elements of the Rent-Versus-Rate plan for vulnerable borrowers, subject to fiscal impact assessments.

Advocacy From AKEL And Environmental Groups

Proposals supported by the AKEL party and several civil organizations focus on strengthening legal protections for borrowers. Among the suggested measures is restoring the right to seek judicial relief to delay foreclosures in cases involving disputed charges or alleged abusive contract clauses. AKEL representative Aristos Damianou criticized the pace of foreclosure proceedings and warned of risks to primary residences and small businesses.

Proposals Targeting Guarantors And Foreclosure Processes

The Democratic Rally party has introduced a proposal aimed at limiting guarantor liability during foreclosure procedures. Under the draft measure, if a property is auctioned or repossessed, the guarantor’s responsibility would be capped at the original loan amount adjusted by recovered sums. The proposal also requires that enforcement actions against guarantors be suspended until a court ruling is issued if the borrower formally disputes the debt.

Revisions Proposed By The Democratic Party of Cyprus

The Democratic Party is also preparing new legislative measures to be introduced on Thursday. Party leader Mario Karogian outlined plans to suspend the foreclosures of primary residences valued up to €350,000 until the end of the year, allowing time to address legislative gaps. Additional proposals include broadening the powers of the Financial Ombudsperson to make binding decisions on disputes up to €50,000, enforcing the Central Bank’s code of conduct, and ensuring strict adherence to refinancing guidelines for first residences.

Outlook And Strategic Implications

The range of proposals reflects an ongoing effort to balance financial system stability with stronger consumer protections. Decisions made in the coming months are expected to shape the regulatory environment for foreclosures and influence broader confidence in Cyprus’ financial sector and economic outlook.

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