Cyprus: Insolvency/Bankruptcy

In a strategic move to support economic stability and assist businesses in financial restructuring, Cyprus has extended its debt restructuring tax relief provisions until December 31, 2025.

In the realm of corporate finance and insolvency, the appointment of receivers and administrators plays a critical role in managing distressed companies in Cyprus...

Globally, the current economic landscape is placing significant financial stress on businesses, particularly small and medium-sized enterprises...

According to the law, an act of bankruptcy occurs under several circumstances.

Liquidators under Cyprus Companies Law (Article 233) are empowered to manage and dissolve insolvent companies effectively. Their duties include asset management, creditor negotiations, debt recovery, and compliance with judicial oversight, ensuring fair and transparent liquidation outcomes.

In Cyprus, a company may be subject to liquidation by the court under certain conditions as outlined in the Companies Law. This process is significant in ensuring that companies that are unable to meet their obligations are properly dissolved in a manner that protects the interests of creditors and stakeholders.