Welcome to Cyprus
We extend to you our warmest welcome!
We at Deloitte recognise that Cyprus offers an enviable combination of climate, business and culture. We also understand that relocating to a new country is often a challenge.
Cyprus is the third largest island in the Mediterranean Sea and is cited as one of the most popular tourist destinations in the region. Cyprus has an advanced economy and a high human development index (HDI) with regards to living and quality of life.
The Island hosts a large expatriate community, having the third highest percentage of foreign citizen residents in the EU; 12.5% of the total population originating from EU member states and 7.4% from non-EU countries. British nationals comprise the largest expat community whilst Russians and other Eastern European nationals also constitute big expatriate groups.
Cyprus is known as a safe and pleasant place to live, with a crime rate of only 6.44 crimes per annum per 1,000 inhabitants, being lower than most other western European countries. Hospitality is one of the most eminent and deeply engrained values of the Island and visitors immediately feel welcome and at home. Furthermore, Cyprus offers generous tax incentives to expatriates relocating to Cyprus.
This booklet is designed to ease the transition of individuals relocating to Cyprus, providing an overview of key aspects of living and working in Cyprus such as individual taxation; social security; migration; labour law; employment-sponsored pension plans and other valuable information. It offers a quick guide for employers who consider sending an employee to Cyprus and also for individuals who contemplate relocating to Cyprus.
This booklet only presents a broad overview and as simplifications have been made, it does not provide in-depth answers to specific questions. Because of the complexity of the various laws and on-going legislative changes, only brief information is provided.
We encourage you to contact our specialists to obtain detailed and up-to-date advice specific to your own circumstances.
Quick facts about Cyprus
The time zone of Cyprus is GMT +2.
The currency of Cyprus is the Euro. Cyprus has been a member of the European Union since 1 May 2004.
Population and Total Area
Located in the Eastern Mediterranean, the total area of Cyprus is 9,250 square kilometres with a coastline of 648 km.
The population is 858,000.
The principal cities of Cyprus are Nicosia (the capital), Limassol, Larnaca and Paphos.
Greek and Turkish are the official languages. English is prevalent throughout the Island and is the principal business language. French, German and Russian are also commonly spoken in tourist areas.
Principal economic activities
Tourism, Services, Shipping, Real Estate, Energy.
Cyprus has a subtropical climate, with an average annual temperature of 24oC during the day and 14oC at night. Average daily sunshine ranges from 9.8 hours in December to 14.5 hours in June. The summer season extends to approximately 8 months (April - November), with the months of July and August marking considerably high temperatures (over 35oC). The winter season (November - March) is mild, while snow falls often in the Troodos Mountains from mid-December through to the end of March.
Cyprus is a presidential democratic republic. The head of state is the president who is elected directly by the people for a term of five years and appoints the governing Council of Ministers. The parliament of Cyprus is the House of Representatives which comprises 59 members elected directly by the people for a term of five years, including three observer members representing the Armenian, Latin and Maronite minorities.
The tax year in Cyprus is the calendar year, 1 January to 31 December.
To date, Cyprus has signed over 55 double tax treaties with other countries.
Public holidays in Cyprus are additional entitlements over and above the twenty-one day statutory minimum annual leave. The following days determined by the Cyprus government as national holidays (being public holidays for state-owned organisations) are usually granted by Cypriot employers as public holidays for their employees:
1 January (New Year's Day);
6 January (Epiphany);
Monday of Easter Lent (moveable date);
25 March (National Day);
1 April (1955-1959 EOKA National Day);
Good Friday (moveable date);
Easter Monday (moveable date);
1 May (Labour Day);
Whit Monday (moveable date);
15 August (Assumption Day);
1 October (Independence Day);
28 October (WWII National Day)
24 December (Christmas Eve);
25 December (Christmas);
26 December (Boxing Day).
In addition, many employers grant an extra holiday to employees on 2 January and the Tuesday following Easter.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.