Breaking news

Cyprus Reevaluates Investment Framework Amid Dual Nationality Debate

by THEFUTURE.TEAM

September 9, 2025

Clarifying the Rules

Cyprus is poised to refine its approach to foreign direct investments as the House finance committee concluded that clarifications are needed with the European Commission. The primary focus is on whether natural persons holding dual nationality—one from an EU member state and one from a non-EU country—can legally invest within the European Union.

Aligning With European Standards

The discussion emerged during an in-depth, article-by-article review of a harmonising bill. This legislation is designed to establish a robust national framework for screening foreign investments, thereby aligning Cyprus with prevailing European practices. The bill introduces enhanced scrutiny and stringent controls on investments deemed strategically important, all while preserving Cyprus’s competitive edge as an investment destination.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Dual Nationality Under the Microscope

The debate has centered on the investment eligibility of individuals owning dual nationality. Representatives from the Cyprus Bar Association and the Cyprus International Businesses Association (CIBA) have advocated for clear guidance from the European Commission to prevent any potential breaches of EU law, as the current directive does not explicitly address the matter.

Government Stance and Upcoming Discussions

A spokesperson from the Finance Ministry clarified that legal entities must be established in an EU member state to qualify for investment applications. However, the situation for individuals with mixed nationalities remains under review and will be discussed with the European Commission to determine if third-country nationals holding EU nationality can proceed with investments under EU law. The committee is set to revisit the issue as part of the ongoing legislative discussions.

Enhanced Safeguards and the Investment Landscape

Dipa MP Alekos Tryfonides, speaking after the session, underscored that the bill’s framework is poised to create a systematic procedure for controlling foreign direct investments within the EU. By replacing and refining provisions from a previous draft and integrating stakeholder suggestions, the legislation now offers stricter safeguards to protect national interests. Notably, the bill allows for interventions in the acquisition of large entities or systemic financial institutions, actions deemed critical if such transactions could jeopardize the security or public order of Cyprus.

Controversial Provisions Under Scrutiny

Among the contentious aspects of the bill is its retroactive application, permitting the screening of investments made up to 15 months prior and the potential cancellation of transactions upon discovering irregularities. Additionally, debate continues over the appropriateness of the proposed two-million-euro threshold and the scope for further exemptions. These issues highlight the delicate balance between maintaining robust national security measures and ensuring an attractive environment for foreign investment.

The Future Forbes Realty Global Properties

Central Bank Of Cyprus Balance Sheet Reflects Strong Eurosystem Position

by THEFUTURE.TEAM

February 17, 2026

Overview Of Financial Stability

The Central Bank of Cyprus (CBC) has released its latest balance sheet, reaffirming its steadfast role within the Eurosystem. The balance sheet, featuring total assets and liabilities of €29.545 billion, underscores the institution’s stable financial posture at the close of January 2026.

Asset Allocation And Strategic Holdings

Governor Christodoulos Patsalides issued the balance sheet, which details the CBC’s asset composition under the Eurosystem framework. Notably, the bank’s gold and gold receivables amounted to €1.635 billion, providing a significant hedge and stability to its balance sheet. Additional asset categories include claims on non-euro area residents denominated in foreign currency at €1.099 billion, while claims on euro area residents in both foreign and domestic currency add further depth to its portfolio.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

The most substantial asset category, intra-Eurosystem claims, reached €19.438 billion, an indication of the CBC’s deep integration with its European counterparts. Furthermore, euro-denominated securities held by euro area residents contributed €6.587 billion. Despite a marked emphasis on these areas, lending to euro area credit institutions in monetary policy operations recorded no activity during the period.

Liability Structure And Monetary Policy Implications

On the liabilities side, banknotes in circulation contributed €3.218 billion. Liabilities to euro area credit institutions associated with monetary policy operations were notably the largest single category, totaling €17.636 billion. Supplementary liabilities included those to other euro area residents, which aggregated to €4.989 billion, with government liabilities playing a predominant role at €4.754 billion.

Other liability items, such as claims related to special drawing rights allocated by the International Monetary Fund at €494.193 million, and provisions of €596.571 million, further articulate the CBC’s exposure. Revaluation accounts stood at €1.643 billion, and overall capital and reserves were confirmed at €333.822 million, completing the picture of a well-capitalized institution.

Conclusive Insights And Strategic Alignment

The detailed breakdown illustrates the CBC’s sizeable intra-Eurosystem exposures, reinforcing its central role within Europe’s monetary landscape. With an asset-liability balance maintained at €29.545 billion, the CBC’s financial position remains robust, indicating a commitment to structural stability and strategic risk management.

This fiscal disclosure not only provides transparency into the CBC’s operations but also serves as a benchmark for comparative analysis among other central banks within the Eurosystem, highlighting the intricate balance between asset liquidity, regulatory oversight, and monetary policy imperatives.