Cyprus offers attractive investment opportunities for Indian entrepreneurs, especially in the tourism sector, said RK Raghavan, India’s High Commissioner to the Mediterranean island-nation.

“Despite favourable conditions to do business, Indian presence in Cyprus is minimal as the country has not been sold fully as an investment destination,” he told BusinessLine particularly singling out opportunities in the tourism space.

Blessed with beautiful beaches and weather that boasts of over 300 sunny days, Cyprus received 3.7 million tourists in 2017 and arrivals are witnessing a strong growth in recent times. But the hotel infrastructure is not keeping pace with this growth. It is here, he felt, Indian entrepreneurs can invest.

According to available data, the country added just 200 beds in the 2017 and 2018. In the last five years (between 2012 and 2017), the number of hotel beds declined from 86,774 to 84,448. It is expected to touch 1,03,000 in 2018. The World Economic Forum’s 2013 Travel and Tourism Competitive Index ranked Cyprus 29th. When it came to tourism infrastructure, it came first. It is considered to be the 40th most popular tourist destination in the world.

He said that the island-nation with a population of just under a million offers multiple reasons for Indians to invest there. Its government is friendly and has tremendous goodwill for India as both countries share a history (both were colonies of Great Britain before their independence). Foreign direct investment is encouraged.

Also, as Cyprus is a member of the European Union, investors get access to a larger market. Cyprus’ taxation policy is attractive and predictable with a well regulated banking system, the former CBI director who was appointed the High Commissioner in August last year added.

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