Exante's Patrick J O' Brien met with Minister of
Foreign Affairs of the Cypriot Republic, Mr Ioannis Kasoulides and
Cypriot Finance Minister Harris Georgiades at The Presidential
Palace in Cyprus to discuss the strong ties between Malta and
Cyprus as its nation heralds a new economic dawn.
Like Malta, Cyprus's economy relies heavily on the financial
services sector. Just four years after a €10 billion bailout
the country is back in business, with expectations that its economy
is to grow between 2.5 percent and 3 percent this year with renewed
confidence in the banking sector helping further this growth.
Finance Minister Harris Georgiades confirmed that the Cypriot
economy had rebounded strongly making up lost ground adding that
Public finances ended last year with a slight fiscal surplus of 0.1
percent of GDP. Both Ministers said authorities are confident the
economy is on an upward trajectory despite risks, adding it's
in the hands of Cypriots to avoid past mistakes that brought Cyprus
to the brink of financial ruin.
Acknowledging Malta's resilient financial sector both
Ministers expressed a wish to strengthen the already excellent and
long-established friendly relations between the two fellow
Mediterranean islands stating that it was a time for dual
collaboration. Last year saw a hive of meetings between Ministers
of the two Islands as discussions centred on Malta's Presidency
of the Council of the EU, Mediterranean regional issues such as the
Middle East, the situations in Syria and that in Libya, as well as
Noting that the economy in 2018 will outperform the targets,
Georgiades said however that "one needs to be more cautious in
the medium term," due to downside risks. Issues, he stated,
that Malta also needs to be mindful of. He noted that high public
debt leaves little room to the government to proceed with more
growth-friendly actions, such as a tax reforms.
Echoing the Finance Minister points, Ksoudlides pointed out
external downside risks, such as Brexit, elections in major EU
countries in 2017, a possible economic shift in the US following
the election of Donald Trump, as well as upside factors such as
future natural gas monetization and the solution of the Cyprus
problem. It was clear this downside risks could include a possible
economic slowdown in the UK and depreciation of the pound sterling
post-Brexit, causing a potential economic decline in the
The Finance Minister pointed out that economic recovery in
Cyprus took place on the backdrop of a favourable external
environment such as high tourist sector performance due to regional
volatility and an accommodating monetary policy by the ECB, while
he described a possible solution to the Cyprus problem as a
"step into the unknown." This March delegations from
Cyprus will visit Malta to meet with their Maltese counterparts to
discuss the current political climate in the EU.
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Building on the momentum of 2016 where 10 UCITS funds had been launched, we are pleased to advise of a positive start to 2017 with an additional three UCITS launches with the following solutions provided:.
Cyprus offers many key benefits to foreign investors and their dependent family members who are looking for a jurisdiction that offers a gateway to Europe, high quality standards of living and working infrastructure and services.
Preparations are well under way, spearheaded by Ian Borg, the country's parliamentary secretary for the EU presidency in 2017 and EU funds.
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