Investment potentials and challenges in different parts of Northern Cyprus

Northern Cyprus is an island country in the eastern Mediterranean Sea, which is one of the attractive destinations for foreign investors with its mild climate, beautiful natural scenery, rich culture and ancient history. This country has many economic potentials that can provide many opportunities for investment. In this article, we examine the investment opportunities and challenges in different parts of Northern Cyprus.

Investment potentials and challenges in different parts of Northern Cyprus

Investment opportunities in Northern Cyprus

1. Unofficial member of the European Union

Northern Cyprus, as the northern part of the island of Cyprus, is legally considered a member of the European Union, but due to political issues, it has not officially become a member of this union. This status allows Northern Cyprus to benefit from some of the benefits of EU membership, such as the elimination of visas, customs tariffs and access to the internal market.

Also, Northern Cyprus acts as a bridge between Turkey and Europe, making access to target markets easier. This special geographical and political position enables investors to easily access the European and Turkish markets and benefit from the commercial advantages of both regions.

2. Use of Euro

Using the euro as the official currency has many advantages for foreign investors. Among these benefits, we can mention the reduction of the risk of currency fluctuations, the reduction of currency conversion costs and the increase of market transparency. The economic stability brought by the use of Euro increases the confidence of investors and encourages them to invest in different economic sectors. Also, this facilitates international trade exchanges and increases the attraction of foreign investments.

3. Low taxes

Northern Cyprus has one of the most favorable tax systems in the region. The corporate income tax rate is only 5%, which is one of the lowest tax rates in the world. Also, the country has provided tax exemptions for profits from the sale of shares, fixed assets, international and innovative activities. These attractive tax policies make North Cyprus an ideal place to establish new companies and businesses. Investors can take advantage of these benefits and seek to maximize their profits.

4. High security

Northern Cyprus is a quiet and peaceful country with a low crime rate. Its modern and democratic legal system, based on the Cypriot Constitution and European laws, guarantees the security of property and workers’ rights. This social security and stability encourages investors to invest in different economic sectors. In addition, North Cyprus, as a member of the United Nations, the Organization of Islamic Cooperation and other international organizations, is committed to respecting human rights and property rights, which increases the confidence of foreign investors.

In the future, if you are looking for investment in North Cyprus, you can refer to the article Investment in North Cyprus 2024 published in Zahorian Investment Company and get more information about investment in this country!

Investment opportunities in Northern Cyprus

Growing parts of Northern Cyprus

1. Real estate

Convenient geographical location, good climate and high quality of life make North Cyprus a popular destination for real estate buyers and investors. This country offers all kinds of residential, commercial, industrial and tourism properties. The real estate market in Northern Cyprus offers many investment opportunities due to the rapid growth of the tourism and education sectors. Reasonable prices and developing infrastructure have increased the attractiveness of this market for domestic and foreign investors.

2. Higher education

With 19 universities and colleges, Northern Cyprus is an attractive destination for foreign students. Diverse and high-quality academic programs, the use of English and Turkish languages ​​as the language of education and international cooperation have made this country an important educational center. North Cyprus universities and colleges have diverse educational programs with international standards that facilitate the attraction of students from all over the world. This part of the economy of Northern Cyprus not only contributes to the scientific and research growth of the country, but also creates numerous job and economic opportunities.

3. Tourism

The natural, historical and cultural attractions of North Cyprus have made this country a popular tourist destination. Suitable tourism infrastructures, including hotels, villas, apartments and entertainment centers, provide many opportunities for investment in this sector. Northern Cyprus is a unique destination for tourists with beautiful beaches, green mountains, small islands, ancient monuments, museums and historical castles.

Also, the development of tourism infrastructure, including airports, ports and roads, will help to increase the attraction of tourists and improve investment conditions in this sector. Also, another service provided by Zahoorian Investment Company is investment services in North Cyprus. By visiting the investment services page of Zahoorian Investment Company, you can get free advice about investing in North Cyprus!

Investment challenges in North Cyprus

1. Cyprus crisis

Northern Cyprus is the result of a long-standing crisis between the island’s Turkish and Greek communities that culminated in 1974. This crisis is not yet resolved and can have effects on international relations and investment. Investors should be aware of the latest developments and relations between North Cyprus, South Cyprus, Turkey, Greece and other stakeholders and find appropriate solutions to deal with the possible consequences of this crisis. This crisis can lead to political and economic uncertainty that affects investment decisions.

2. Weak sections

Some sectors of the North Cyprus economy still need to be developed. For example, agriculture is facing problems such as water shortage. Using different methods to supply agricultural water is still costly and ineffective. These problems can prevent the full exploitation of the country’s agricultural potential and economic development. Considering these challenges, investors should find suitable solutions for sustainable development in these sectors.

Investment challenges in North Cyprus

Conclusion

Northern Cyprus is an attractive destination for foreign investors with its economic potential and investment opportunities in various sectors such as real estate, higher education and tourism. However, there are challenges such as the Cyprus crisis and the weaknesses of the agricultural sectors that must be taken into consideration.

Foreign investors should find appropriate solutions to deal with risks and take advantage of opportunities by having sufficient information about the situation and conditions of North Cyprus. Finally, considering the existing advantages and disadvantages, North Cyprus can be considered as a suitable destination for international investments.