Investments in Cyprus — comprehensive support for your projects
Content
Investments in Cyprus are not only about choosing a country, but also about choosing the right strategy, structure, and partner. Most investors ask the same questions: where to invest, how to minimize risks, what taxes will need to be paid, and who will handle all legal and organizational matters?
Feod Group provides full investment support in Cyprus, taking responsibility for all key stages — from the initial consultation to the implementation of the investment project and its ongoing management.
Why investors choose Cyprus
Cyprus remains one of the most transparent and secure jurisdictions in the European Union for international investors. The country combines a stable legal system, favorable taxation, and a high level of capital protection.
Investing in Cyprus is suitable for those who are looking for:
- a European jurisdiction with transparent rules;
- a clear and attractive tax system (corporate tax 15%; 0% dividend tax);
- access to EU markets;
- protection of assets and property rights;
- a convenient platform for international business;
- the opportunity to combine investments with EU residence permits.
More details: Top 5 reasons to invest in Cyprus
How safe is it to invest in Cyprus in 2026?
1. Economic indicators
One of the main concerns for investors is economic stability. According to the Statistical Service of the Republic of Cyprus (CYSTAT), the country’s economy in 2025 demonstrates price stabilization and the absence of inflationary pressure:
- annual inflation is only 0.5%, which effectively indicates deflationary dynamics;
- price decreases have been observed for several consecutive months;
- year-on-year price growth is minimal and close to zero.
Conclusion: prices in Cyprus have stabilized, and the economy has entered a phase of price balance.
Against the background of average inflation in EU countries exceeding 2.1%, investing in Cyprus is characterized by high predictability of operating costs, preservation of purchasing power, and a favorable environment for the implementation of investment projects.
In addition, Cyprus follows a conservative fiscal policy, controlling public debt and budget deficit levels. This directly affects the stability of the tax system and reduces the risk of sudden changes in fiscal rules.
- the government plans to end 2026 with a budget surplus of approximately 2.9–3% of GDP, meaning revenues significantly exceed expenditures;
- a stable budget surplus allows the reduction of debt burden without harsh pressure on the economy and social obligations;
- such a policy strengthens the confidence of international investors and positively impacts the country’s credit ratings.
2. EU membership and legal protection for investors
Cyprus is a full member of the European Union and operates within the framework of European legislation, including:
- protection of property rights;
- transparent judicial procedures;
- regulation of the financial and banking sectors;
- unified corporate governance standards.
For investors, this means that investments in Cyprus are protected not only at the national level but also at the pan-European level.
3. Access to international capital markets and investor confidence
Additional confirmation of Cyprus’s financial stability and reliability is the successful placement of government bonds on international capital markets.
In 2026, the Republic of Cyprus raised €1 billion by issuing 10-year government bonds. Interest from international investors significantly exceeded expectations: total demand exceeded €16.5 billion, more than 16 times the issue volume.
The successful bond placement confirms that the Republic of Cyprus is perceived by international markets as a reliable and creditworthy borrower with stable access to long-term financing on competitive terms.
Why this matters for investors
Taken together, these factors create an environment where:
- capital is legally protected;
- the economy is predictable;
- inflationary pressure is absent;
- rules do not change unexpectedly;
- investment decisions can be planned years ahead.
This is why investments in Cyprus are chosen not only for growth, but also for capital preservation, business relocation, and long-term residence.
Main investment opportunities in Cyprus
✔ Real estate investments in Cyprus
Investments in residential and commercial real estate in Cyprus remain one of the most popular investment directions. The market demonstrates stable demand, consistent rental income, and potential for capital appreciation.
- Residential real estate in Cyprus — purchase of ready-to-use properties for rental income or resale. Rental yields in popular regions (Limassol, Larnaca, Paphos) range from 6–10% per annum, depending on location and property type.
- Commercial real estate in Cyprus — office and retail properties generating stable income. Demand for office space in Limassol, Larnaca, and Nicosia is growing due to the rapid development of the IT sector and relocation of international companies.
- Participation in joint development projects — investments at the construction stage allow for maximum returns, as property value increases by 20–40% after project completion.
✔ IT, innovation, and startups in Cyprus
The technology sector in Cyprus shows steady growth, attracting venture capital and strategic investments in fintech and digital services. Government support, investment incentives, and participation in international initiatives contribute to the development of areas such as financial technologies, blockchain, cybersecurity, artificial intelligence, and digital transformation.
One of the most prominent examples of Cyprus’s commitment to innovation is the University of Nicosia, which became the first educational institution in the world to offer a master’s degree program in blockchain technologies and digital currencies. This positions Cyprus as a key hub for training specialists in digital finance and distributed technologies.
Cyprus also offers unique tax incentives for IT companies: for example, the IP Box regime allows up to 80% corporate tax exemption on income derived from intellectual property.
✔ Investment funds in Cyprus
Cyprus has become one of the leading European centers for the fund industry. In 2025, assets under management (AUM) of Cyprus-based funds exceeded €11.1 billion, confirming strong international investor confidence.
What does the market offer?
- various fund structures — Alternative Investment Funds (AIFs), retail funds (UCITS), or umbrella fund structures, allowing capital management strategies to be adapted to specific investment goals;
- strategic flexibility — Cyprus investment funds cover a wide range of assets, including financial instruments, real estate, venture projects, shipping, renewable energy, and digital assets.
✔ Tourism and hospitality investments in Cyprus
A well-developed tourism industry provides high investment potential for hotel projects, serviced apartments, restaurants, and resort businesses. In 2025, Cyprus welcomed 4,534,073 tourists, which is 12.2% more than in 2024 and represents a historical record for the country.
Sustained growth in tourist arrivals supports strong demand for accommodation facilities and hospitality services, creating favorable conditions for long-term and profitable investments in the tourism sector.
Residence permit in Cyprus through investment
One of the additional advantages of investing in Cyprus is the opportunity to obtain a residence permit through investment programs, which include investments in real estate or business, with transparent and clearly defined requirements. We provide not only investment support but also full immigration assistance — from selecting a qualifying asset to obtaining resident status.
More details: Cyprus residence permit by investment
Our investment support services in Cyprus
We offer comprehensive solutions for investors, including:
- development of an investment strategy;
- project analysis and Due Diligence;
- legal and corporate support;
- tax planning and optimization;
- real estate transaction support;
- assistance with residence permits and relocation.
Why investors choose us
Because investing in Cyprus requires a professional approach. Since 1992, Feod Group has been supporting investors and entrepreneurs across the European Union, and since 2007 has been successfully operating in Cyprus.
Feod Group is a team of experienced experts, lawyers, auditors, accountants, and financial consultants with extensive experience in investment and legal support in Cyprus. We provide an individual approach, developing tailored strategies that take into account each client’s needs, ensuring legal protection, tax optimization, and financial efficiency of investments.
Ready to discuss your investment project?
If you are considering investing in Cyprus, contact us for an initial consultation. We will analyze your objectives, propose optimal solutions, and support you at every stage — from idea to result.
Online consultations | Meetings in Larnaca and Limassol
Book a consultation
FAQ
What to invest in Cyprus in 2026?
The most in-demand investment sectors include real estate, tourism and hospitality, corporate and holding structures, investment funds, as well as IT and innovative projects. The choice depends on the investor’s goals: capital preservation, income generation, or growth.
Why invest in Cyprus?
Cyprus offers a stable economy, EU membership, strong investor protection, low inflation, and high levels of trust from international markets. It is a reliable jurisdiction for long-term investments.
What tax advantages does Cyprus offer for investors?
Cyprus provides one of the most favorable tax systems in the EU: there is no wealth tax, no gift or inheritance tax, and no annual property tax. Corporate income tax is 15%, dividends are tax-free, and Cyprus has an extensive network of double taxation treaties.
What are the requirements for foreign investors in Cyprus?
The main requirements include proof of source of funds, compliance with KYC/AML procedures, and fulfillment of the chosen investment program conditions. There are no significant restrictions for foreign investors.
Author
Contact us
For enquiries please fill in the form below. Our consultants will contact you with the details.
Griva Digeni 49, Chrystalla Court 1st Floor Office 11, 6036 Larnaca, Cyprus
11B Lyuteranska St., off. 23, 01024
