Minister announces €245m worth of grant schemes to support business competitiveness

The government plans to award grant schemes amounting to €245 million by 2027 as incentives to businesses, in order to increase their competitiveness, Minister of Energy, Trade and Industry, George Papanastasiou has said.

He was addressing the Annual General Meeting of the Nicosia Chamber of Commerce and Industry on 22 November.

Papanastasiou said that, over the next few months, two new schemes will be announced, regarding the energy upgrade of big companies and to promote the circular economy. In addition, the Minister said that the implementation of projects to modernise and upgrade industrial areas and zones throughout Cyprus is being promoted, starting with installing a controlled-access system in Strovolos Industrial Area.

The Minister referred to significant successes in recent years, with the participation of the business world, such as a 14.5% increase in exports of domestic products in 2022 compared to the previous year.

In his speech, Chairman of Nicosia Chamber of Commerce and Industry, Michalis Moushouttas, underlined the role of Cyprus as a pillar of stability and humanitarian support, acting as a bridge between the EU and the Middle East. He also noted that the solution of the Cyprus issue will be a factor of stability and security.

Moushouttas highlighted the importance of the upcoming reforms, like the reform of local administration, digital and green transition, the reform of the tax system, and the opening of the electricity market.

He stressed the importance of attracting productive investments, noting the efforts to rid Cyprus of a bad reputation.

Regarding public finances, he conveyed some areas of concern, such as the horizontal increase in COLA, the increases in the public sector spending, the tendency for subsidised interventions by the government, and the possibility of the General Healthcare System's budget getting out of control. 

Finally, he expressed a "strong displeasure" with the government's intention to revise the National Minimum Wage, as well as a "strong disagreement" with any government interference in matters of free market and private initiative.

(Source: CNA)