Changes to the Cyprus Investment Programme officially published in the Government Gazette on August 17-18.
Briefly about Cyprus Investment Programme
As a part of its policies aiming to further encourage Foreign Direct Investment and to attract high net worth individuals to settle and do business in Cyprus the Council of Ministers, on the 13th of September 2016, revised the "Cyprus Investment Programme" and, thus, established the new criteria and terms based on which non–Cypriot entrepreneurs/ investors and members of their families may submit applications in accordance with the provisions of the “Programme”.
Investment in real estate, land development and infrastructure projects
The applicant must have made an investment of at least €2 million for the purchase or construction of buildings or for the construction of other land development projects (residential or commercial developments, developments in the tourism sector or other infrastructure projects), as well as investment in land.
Purchase or creation or participation in Cypriot businesses or companies
The applicant must have made an investment of at least €2 million in the purchase, creation or participation in businesses or companies, that are based and operating in the Republic. The investment capital must be used for investment purposes of the business or company exclusively within the Republic of Cyprus on the basis of an investment plan.
These companies or organizations should prove physical presence in Cyprus, with significant activity and turnover and employ at least 5 Cypriots or other citizens of European Union member-states.
Investments in alternative investment funds (AIFs) or financial assets of Cypriot businesses or organizations which are licensed by CYSEC (Cyprus securities and exchange commission)
The applicant must have purchased units of at least €2 million from AIFs established in Cyprus and licensed and supervised by CYSEC. The investments must be made exclusively in Cyprus and should meet the criteria of this Scheme or be in sectors approved by the Minister of Finance.
The purchase of financial assets of Cypriot businesses or organizations, of at least €2 million, such as debentures, stocks and securities, following the approval of CYSEC, of companies, which have a proven physical presence and substantial financial activity in Cyprus, and which relate to the financing of the investment objectives of the said businesses and organizations exclusively within Cyprus. The assets should be kept for at least 3 years.
Combination of the above investments
The applicant may invest in a combination of the above investments provided that the total investment is at least €2 million.
Based on this criterion, the investor can also make an investment of the amount of € 500,000 in government bonds of Cyprus, which will be issued for this purpose by the Department of Public Debt Management of the Ministry of Finance, on condition that the applicant shall retain the bonds for a period of at least 3 years.
TERMS AND CONDITIONS:
Criminal record: The applicant must have a clean criminal record.
Real estate: The applicant must hold a permanent privately-owned residential real estate, the value of which is not less than € 500,000 + VAT.
Residence permit in Cyprus: The applicant must have residence permit in Cyprus for at least 6 months.
Required documents for registration: birth certificates, passports and marriage certificate of the applicant and spouse, children's birth certificates, a certificate of clean criminal record in the name of the applicant and spouse and children over 16 years, the autobiography of all adult family members.
Issuance period: 6 months from the date of submission of the application.