The Main Aspects of the Cypriot Budget 2017
- Written by: Bridgewest
- Posted: 2016-11-08
The Cypriot authorities approved the Budget 2017, which provides many benefits for the local economy. An important aspect related to the Cypriot Budget 2017 is that the Gross Domestic Product (GDP) will increase by 2,8% per year, in the period of 2017 -2019. Foreign businessmen who are interested in opening a company in Cyprus can have many business opportunities, as the local government is aiming at sustainable growth. In this sense, the Cypriot authorities are interested in increasing the competitiveness in the business environment and to reduce the unemployment rate. Our attorneys in Cyprus can provide more details on how businesses can benefit from the stipulations on the new Budget.
Fiscal Policy Strategic Framework in Cyprus
The Budget 2017 in Cyprus established the Fiscal Policy Strategic Framework, which sets the objectives for various economic targets that should be completed the next year.
The public revenue is estimated to increase by 1,1%, up to a total value of EUR 6.964 billion. A positive aspect of the new Budget is that the unemployment rate will decrease. In 2017, the share of unemployed persons will be reduced to 11%, and the projections for the following years are showing a further decrease, down to 9% in 2019.
Another important aspect is that the local authorities are interested in promoting various development projects, which will be carried out by both local and European funding. Our Cypriot law firm can provide legal assistance on the investment projects available here, as well as on the foreign investment legislation.
The Cypriot economy
The Cypriot market managed to develop in many fields over the last years. Cyprus enacted policies which aimed at providing a regulatory framework for various fields, and important changes were made on intellectual property matters, as well for the trading activities carried here.
A major point of interest for foreign investors refers to the local taxation system, which provides one of the smallest corporate taxes applicable within the European Union’s member –states, imposed at the rate of 12,5%.
Businessmen are invited to contact our law firm in Cyprus for more details on the Cypriot Budget 2017.