The flurry of interest from these, overseas investors has been boosted by the government’s “Golden Visa Programme”. In return for a property purchase of €300,000, buyers can gain residency, and for €2 million, non-EU citizens qualify for a Cyprus citizenship, allowing them to travel, work and live freely within the EU and Schengen zone. The scheme has been incredibly popular, attracting an estimated €4 billion worth of investment since 2013 and contributing a 20% increase in foreign buying activity, compared to this time last year. Foreign purchasers also made up 44.6% of all property sales in Cyprus between January – May 2019. Of these properties, 71% were purchased by non-EU nationals and the remaining 29% of these purchased by EU nationals. On top of this, the country’s tax system continues to entice international purchasers. The corporation tax rate for all companies is just 12.5%. The estate duty has been abolished since January 2000. The first €19,500 of earned annual income is tax-free, whilst foreign pensions above €3,420 are taxed at 5%, both reasons why more foreigners purchased homes than Cypriots in 2018. Cyprus has also invested heavily in its infrastructure and efforts to create a cosmopolitan lifestyle destination in line with top global hotspots, including a new DP World cruise terminal, the construction of Europe’s largest casino resort, private jet and yachting services, golf courses and new designer retail offerings. Cyprus’ strategic location between Europe, Africa and the Middle East, (Cyprus is only a four hour flight from the UK or Russia, three from Dubai and only an hour from neighbouring Egypt, Jordan, Israel or Lebanon), has cemented it as a “centre of excellence” for international business. Traditional sectors, such as shipping, tourism, banking, financial and professional services, have been the key driving forces behind the island’s economy for years, while new sectors, such as energy, investment funds, development, education and wellness tourism, offer a new and existing perspective that will drive the economy forward. Such services helped deliver GDP growth of 3.9% in 2018. To accompany the island’s new amenities, property developers are focusing on prime new-build developments. Limassol Marina was the first luxury project to attract super-yacht owners, and the wider area has since become a hotspot for wealthy homeowners. More than a dozen new high-rise residential buildings are being constructed. Many of them offering a full range of residential, leisure, business and lifestyle amenities, including avant-garde 38
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