Cypriot passports investments applications falling

New investments in exchange for Cyprus passports tend to decline, possibly as a result of the introduction of new strict rules applied under pressure from the European Union (EU), a program spokesman said Friday.

Kyriakos Kunduros, director of the town planning department of the Ministry of the Interior, told the Cypriot StockwatchCy website that the amount of new investment had dropped significantly compared to the two previous years. “New measures taken by the government in May to pacify the problems of the European Union lead to a delay in processing applications, and this may lead to less investment in return for passports,” said Kunduros.

Finance Minister Harris Georgia, in a rare public statement on this issue, said in February that between 2013 and the end of 2018, the government approved 1,864 applications for transactions totaling 6.6 billion euros.

Most investors were Russians, who focused on the southern city of Limassol, and the Chinese, who showed great interest in investing in the western tourist city of Paphos and, to a lesser extent, in Limassol.

Kostas Hadjipanayotou, director of the Department of Environmental Protection of the Ministry of Agriculture, said that there are several applications for consideration, but added that no new applications have yet been received. His department is involved in the process, as each transaction must meet environmental criteria.

George Muskides, President of the Real Estate Owners Association, said he believes that the downward trend in real estate investment is a broader trend affecting investments not only in Cyprus, but also in many other countries. “The new strict rules applied since May, probably have a negative impact on those who are interested in obtaining a Cyprus passport. But we have to wait until the end of the year to be sure of this, ”he said.