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Cyprus Cyprus


Located in the Eastern Mediterranean, Cyprus is a popular destination for tourists. Services, including tourism, account for a significant proportion of the country's Gross Domestic Product (GDP). Other important economic sectors include shipping, industry, construction and agriculture. GDP per capita in Cyprus is 98% of the EU average.

Commissioner Johannes Hahn will visit the Republic of Cyprus on 24th February 2012. The main purpose of his second visit to Cyprus is to discuss the priorities for the Cypriot Presidency of the European Union in July-December 2012. The legislative proposals on the future of cohesion policy will be discussed as well.

Commissioner Hahn's programme includes meetings with the President of the Republic of Cyprus, Dimitris Christofias, as well as with Members of the Cypriot Government. He will also participate in a conference on the future of cohesion policy.

What are the country’s priorities?

Cyprus has identified the following priorities for EU regional funding during the period 2007-2013:

  • strengthen the productive base of the economy and provide support to enterprises

  • promote the knowledge Society, research and innovation

  • invest in human resources, employment and social cohesion

  • invest in environment, transport and energy infrastructure.

What contribution has been made by the EU's regional policy?

The Republic of Cyprus became eligible for Cohesion Funds when it joined the EU in 2004.  During the period 2004-2006, EU funding helped to:

  • Support some 180 small and medium-sized enterprises (SMEs) creating around 500 permanent jobs

  • Create over 470km of tourist routes

  • Improve the transport infrastructure, including the Nicosia-Limassol motorway

  • Upgrade waste disposal facilities serving Larnaca and Famagusta

For the period 2007-2013, Cyprus has been allocated €612 million under the European Regional Development Fund, Cohesion Fund and European Social Fund
Cyprus is also receiving funding to support its participation in European Territorial Cooperation programmes, including cooperation with Greece and other Mediterranean countries.

Examples of projects

  • Female entrepreneurs driving dynamic new firms: Women on Cyprus are being given a helping hand to set up their businesses, thanks to a two-year project. The main goal is to develop, support and encourage entrepreneurship by women between the ages of 18 and 55. Female-owned and run businesses are already springing up across the country, with half of them concentrated in the capital Nicosia and its suburbs. Specific targets include the manufacturing sector, e-commerce, services and tourism.

  • Transformation of the Old Poorhouse, a historic building in Nicosia, into a community centre providing social and cultural services to local people, especially the elderly and immigrants.

  • Modernisation of the Solomou Square bus station in Nicosia, improving accessibility to the city centre by public transport and reducing car use.

Further information