Introduction: Cyprus Download PDF

In 1974, the Greeks tried to take over the island of Cyprus but Turkey responded with a military intervention and gained control of about a third of Cyprus. In 1983, this area became the "Turkish Republic of Northern Cyprus" (TRNC); only Turkey recognizes TRNC. The UN mediated discussions for two years so the two sides could decide on a reunification plan; the talks ended with the April 2004 referendum, where the Greek Cypriots turned down the UN settlement plan. While Cyprus entered the European Union in 2004, the rights and obligations of the EU are not applicable to the TRNC. However, it must be noted that Turkish Cypriots can enjoy EU benefits if they are eligible for Republic of Cyprus citizenship. The election of a new Cypriot president in 2008 served as the impetus for the UN to encourage both the Turkish and Cypriot Governments to reopen unification negotiations.

Capital City: Nicosia (+2 GMT)  
Chief of State: President Dimitris Christofias  
Head of Govt.: President Dimitris Christofias  
Currency: Euro  
Main Cities: Limassol, Larnaca, Famagusta  
Major Languages: Greek Orthodox 78%, Muslim 18%, other (includes Maronite and Armenian Apostolic) 4%  
Calling Code: 357  
Voltage: 240  
Primary Religions: Greek, Turkish, English  

Main Airports

Larnaca (LCA), Pafos (PFO)

U.S. Embassy

Corner of Metochiou and Ploutarchou Streets in Engomi, Nicosia
Tel. [357] 22 39 39 39

Key Facts

GDP (ppp) per CAPITA
$28,600 (2008 est.)
Inflation Rate
4.7% (2008 est.)
Population
796,740 (July 2009 est.)
Country Risk Ratings
A2
Ease of Doing Business
-/181
Global Competitiveness
40/134

Statistics

Labor force:
397,000 (2008 est.)
Exports:
$1.689 billion (2008 est.)
Exports - partners:
Greece 20.1%, UK 10.8%, Germany 6% (2008)
Imports:
$9.876 billion (2008 est.)
Imports - partners:
Greece 16.9%, Italy 10.7%, UK 8.7%, Germany 8.3%, Israel 8.2%, China 5.3%, Netherlands 4.1%, France 4% (2008)
Major Industries:
tourism, food and beverage processing, cement and gypsum production, ship repair and refurbishment, textiles, light chemicals, metal products, wood, paper, stone, and clay products

Rankings

Corruption Perceptions Index
5.6 out of 180
 
The Corruptions Perception Index (CPI) is reported annually by Transparency International, an international civil society organization. The CPI ranks countries in terms of the degree to which corruption exists in the misuse of public power for private benefit among public officials and politicians. CPI is a composite index determined by expert assessments and opinion surveys. The highest ranked country is the country with the least amount of perceived corruption. Index units, 10=least corrupt, 0=most corrupt.

Data collected in 2006

Source: Transparency International

E-readiness Rankings
-
 
The E-readiness Ranking is reported yearly by the Economist Intelligence Unit, a research and advisory firm. The E-readiness Ranking evaluates the technological, economic, political and social assets of countries to assess the information and communications technology infrastructure, and the infrastructures benefits on the country's consumers, businesses and governments. The higher ranked countries have a better ability to leverage digital channels for communication, commerce, and government in order to further development.

Data collected in 2007

Source: EIU

Freedom of the Press
22 out of 191
 
The Freedom of the Press Survey is an annual report by The Freedom House, an organization that promotes and researches advocacy of freedom across countries. The Press Survey assesses the degree of print, broadcast, and internet freedom in every country in the world. Ratings are determined by examining three broad categories: the legal environment in which media operate (0-30 points), political influences on reporting and access to information (0-40 points), and economic pressures on content and the dissemination of news (0-30 points). The highest ranked country has the greatest degree of press freedom. Index units, 1-30: Free, 31-60: Partly Free, 61-100: Not Free.

Data collected in 2006

Source: Freedom House

Global Enabling Trade Report
39 out of 118
 
The Global Enabling Trade Report is published yearly by the World Economic Forum, an independent international organization based in Geneva, Switzerland. The Global Enabling Trade Report analyzes which countries around the world enable trade from country to destination by measuring market access, border administration, transport and communications infrastructure, and the business environment. The highest ranked countries have the best factors, policies, and services facilitating the free flow of goods across borders.

Data collected in 2008

Source: World Economic Forum

Global Services Location Index
-
 
The Global Services Location Index is published annually by A.T. Kearney, a global management consulting firm. The Global Services Location Index measures the viability of countries as a potential offshore destination for services, based on their financial attractiveness (0-4 points), people and skills availability (0-3 points), and business environment (0-3 points). The highest ranked country is the most attractive as a potential offshoring destination. Index units, 0=location does not provide offshore support, 10=location does provide offshore support.

Data collected in 2007

Source: A.T. Kearney

Index of Economic Freedom
22 out of 155
 
The Index of Economic Freedom is reported annually by the Heritage Foundation, a research and educational institute. The Index of Economic Freedom analyzes a wide range of issues including trade barriers, corruption, government expenditures, property rights, and tax rates to generate an overall ranking of economic freedom. The highest ranked country is the country with the least number of restrictions and constraints on businesses.

Data collected in 2008

Source: Heritage Foundation

Inward FDI Potential Index
47 out of 140
 
The Inward FDI Potential Index is reported every three years by the United Nations Conference on Trade and Development, an organization that promotes the integration of developing countries into the world economy. The Inward FDI Potential Index uses several economic factors that are expected to affect an economy’s attractiveness to foreign investors. The higher ranked countries are more attractive to investors. Index units, 0=low scoring country, 1=high scoring country.

Data collected in 2006

Source: United Nations Conference on Trade and Development 2006

Tax Misery & Reform Index
60 out of 61
 
The Forbes Tax Misery Index is annually compiled by Forbes, an American publishing and media company. The Tax Misery Index reflects the sum of corporate income, personal income and wealth taxes plus employer social security, employee social security and VAT/sales taxes at the highest marginal rate in each locale. The highest ranked countries impose the harshest taxes while those at the bottom are the most tax friendly.

Data collected in 2008

Source: Forbes

The Globalization Index
-
 
The Globalization Index is compiled annually by A.T. Kearney and Foreign Policy. The Globalization Index ranks the major developed and developing countries in the world by analyzing key components of global integration, such as economic, personal, technological, and political integration. The highest ranked country is the most globalized.

Data collected in 2007

Source: Foreign Policy