It is a great pleasure to be with you today at the EY Forum. I would like to begin by congratulating EY Cyprus for establishing what has become one of the most important dialogue platforms on foreign direct investment, competitiveness and economic transformation in our country.

BridgeAccelerateGrow.A theme that could not be more timely.

Across Europe and beyond, countries are operating in an increasingly complex environment marked by geopolitical uncertainty, technological disruption, intense competition for talent and capital and profound changes in global supply chains. At the same time, investors are becoming more selective, placing greater emphasis on resilience, predictability and long-term value creation.

Within this challenging and complexed context, countries that combine stability, credibility, institutional strength and openness to change are better positioned to attract investment and talent.

Over the past three years, our economy has grown around 10% at a pace approximately four times higher than the European average.

We have maintained sound public finances. Our public debt is less than 50% of the Gross Domestic Product (GDP), one of the lowest in the eurozone. Our growth rate is approximately 3.4%, one of highest in the eurozone. We have strengthened the resilience of our banking sector. We have secured successive A-category sovereign credit ratings and we have reduced unemployment at 3.6% and increased employment to historical levels.

There is no doubt that these achievements reflect strong economic performance. The attractiveness of our country as a destination for productive investment is elevated. Reflected in investment capacity, with the value of substantive foreign direct investment increasing further in 2025 by around 10% compared to the previous year, reinforcing confidence in Cyprus’s long-term prospects.

In recent years, we have witnessed growing interest from international companies across a range of sectors, including information and communication technologies, fintech, innovation, business services and other knowledge-intensive activities. At the same time, the growing footprint of the Information and Communication Technology (ICT) highlights the transformation of our economic model towards sectors that generate higher value-added and stronger productivity growth.

Today, we can proudly say that Cyprus offers something increasingly valuable in an uncertain world: Stability with Perspective. Stability grounded in strong institutions, sound public finances, economic resilience and our geographical position at the core of the European Union (EU) and the Greater Middle East. And Perspective created by an economy that is changing, evolving in new sectors, attracting new talent and investment and building stronger connections with some of the world’s most dynamic markets.

Challenges, however, as identified in your survey, remain and need to be tackled.

The cost of energy, the pace of administrative processes, the availability of specialised skills, connectivity and the need to accelerate the delivery of key infrastructure projects are areas where further progress is required.

Over the past three and a half years, we have pursued an ambitious programme of reforms aimed at improving the business environment and supporting sustainable long-term growth.

Firstly, we have implemented a major Tax Reform, simplifying the framework, strengthening fairness and transparency and introducing measures that support investment, innovation and productivity.

This has been complemented by the digital transformation of the public sector, with initiatives such as gov.cy, the Digital Citizen app and Tax For All, making –we are still in process– transactions with government faster, simpler and more efficient for both citizens and businesses.

We have also streamlined procedures for strategic investment and strengthened institutional support for investors through the Business Support Centre, which serves as a single point of contact for local and international companies and investors, helping them navigate procedures more efficiently, and facilitating the establishment and expansion of their activities in Cyprus.

At the same time, we continue to advance strategic infrastructure, energy and connectivity projects that are essential to the country’s future competitiveness and resilience. This includes the ongoing expansion of Cyprus’ airports and the Vasilikos port upgrade, electricity interconnections and an LNG import terminal; Projects that will also strengthen the country’s role as a regional hub for transport, trade, logistics and energy.

We also place great emphasis on access to finance, through the setting up of the Cyprus Enterprise Development Organisation for dedicated financial instruments with a focus on innovative startups. Furthermore, the privatisation of the Cyprus Stock Exchange is in process and it is expected to boost the capital market in the island.

At the same time, we are strengthening Cyprus’ innovation ecosystem through targeted support for research, entrepreneurship and knowledge-intensive economic activity. Partnerships with organisations such as NVIDIA, Columbia University and Plug and Play are helping to expand opportunities in research, innovation and emerging technologies.

We are also investing in education, skills and innovation, while deepening cooperation between academia and industry so that Cyprus can meet the demands of a rapidly evolving economy. Recent partnerships involving universities, international technology companies and the United States Tech Team are helping to support this effort.

Alongside the aforementioned efforts, we have introduced targeted initiatives such as “Minds in Cyprus”, which complement our wider strategy to attract talent, strengthen the country’s human capital base and deepen our links with highly skilled Cypriots and professionals abroad.

Removing the barriers that hold back investment.

Making the state faster and more effective.

Creating the conditions in which businesses can invest with greater confidence and greater speed.

Because our country aims to transform geography into economic value: to become a European and Regional hub with global reach, connecting markets, investment, talent, technology and ideas.

Over the past years, I have undertaken engagement initiatives across the United States, Canada, India, Kazakhstan and the countries of the Greater Middle East, focusing on sectors where Cyprus has developed significant momentum and future potential, including technology, fintech, advanced manufacturing, logistics, research and innovation and clean energy.

These relationships are strengthening Cyprus’ visibility among investors and international business networks and support us in expanding strategic partnerships that propel us forward.

Our successful Presidency of the Council of the EU also elevated our role in the EU and the region. For six months, Cyprus was at the helm of the EU; at the centre of European decision-making process, building consensus among member states and engaging with partners beyond the Union at a time of significant geopolitical and economic change.

It was a unique opportunity to demonstrate our capacity to build bridges: between different European interests, between Europe and our wider region and between political priorities and economic opportunity.

This is precisely how we see Cyprus’s role in the years ahead: A European hub with global reach.

Our ambition as Government is clear.

To build on the stability we have secured and turn it into perspective.

To bridge markets, regions, people and ideas.

To accelerate the reforms, infrastructure and innovation that determine competitiveness.

An economy that is much more productive, more innovative, more outward-looking and capable of creating greater opportunities for the generations ahead.

A country that offers investors stability and perspective; a European economy with the agility to move quickly; and a European hub with the reach to connect opportunities across regions.

We know very well that Government cannot build that future alone, but only through partnerships with businesses, investments and our people in order to accelerate the change and create the conditions for sustainable growth.

I am fully confident that, together, we can do it.