The strategic partnership between Cyprus and the United Arab Emirates has evolved into a structured economic framework designed to transform diplomatic alignment into tangible investment outcomes. This relationship, built on mutual trust and shared vision for progress, is now demonstrating measurable results in trade and investment sectors.
The recent high-level visit by the UAE President to Cyprus, accompanied by senior officials and business leaders, underscored the depth of bilateral ties and reinforced Cyprus’s position as a stable European partner in a region valuing predictability. This engagement culminated in the December 2025 establishment of the Cyprus-UAE Joint Business and Investment Council through a signed Memorandum of Understanding, creating a permanent platform for opportunity identification and stakeholder coordination.
Cyprus continues to emerge as a compelling EU investment destination, offering UAE and GCC partners direct access to the European Single Market. The nation’s robust legal framework, strategic geographical positioning, and highly skilled English-speaking professional ecosystem provide exceptional advantages for market entry and regulatory certainty. Cyprus maintains strong economic fundamentals, ranking among the EU’s fastest-growing economies with near full employment, reduced public debt below 60% of GDP, and consistent ‘A’ credit ratings from major international agencies.
Bilateral cooperation focuses on investment-ready sectors including shipping, energy, technology, and automation. Cyprus’s technology sector has experienced remarkable growth, hosting over 800 technology-driven companies across ICT, fintech, gaming, and technology-enabled services. The ICT sector contributes approximately 14% to GDP directly and indirectly, with Cyprus ranking third in the EU for sector growth. Foreign technology investment surged by over 200% in 2024, while the number of ICT professionals doubled within three years.
Cyprus is enhancing its innovation infrastructure through regulatory mechanisms including the Capital Markets Commission sandbox, the Central Bank’s Innovation Hub, and an upcoming AI Sandbox. These initiatives position Cyprus as a testing and scaling ground for new solutions targeting the 450-million-consumer EU market.
Beyond economic factors, Cyprus offers quality living conditions and a supportive environment for international professionals, supported by 12 universities, 9 research institutes, and 7 centers of excellence. Invest Cyprus facilitates investor transition from interest to execution, with the Joint Business Council serving as a practical channel for sustained engagement and accelerated cooperation across priority sectors.
Both nations demonstrate that ambition transcends physical size, with the partnership now focused on delivering concrete results through targeted sector partnerships and investment flows, positioning Cyprus as the reliable EU gateway for regional and global growth.