The impact on Cyprus of Russia's international isolation after the invasion of Ukraine is mentioned in a Financial Times report from Nicosia.
The article, titled "Cyprus is counting the cost of weaker ties with Russia after Kremlin's invasion of Ukraine", first refers to Cyprus' first Russian Orthodox church in Tamassol as an indication of the "huge" Russian influence on the island.
And it quotes statements by Metropolitan Isaias of Tamassos, who says the invasion of Ukraine should not have taken place.
The priest's efforts to deal with the effects of the invasion, by welcoming Ukrainian refugees and holding joint prayers with Russian residents of Cyprus, are described by the British newspaper as a reflection of Cyprus' attempt to deal with the aftermath of the war.
It is noted that the island is known as "Moscow in the Mediterranean" due to the presence of many Russians, but also that Cyprus, despite close political ties with Russia, is trying to maintain EU unity against Moscow.
The paper says, however, that while sectors of the Cypriot economy are feeling the effects of Western sanctions on Moscow, the crisis also shows the island's ability to attract Russians.
Reference is made to low tax rates, a flexible regulatory framework and EU membership as factors that make Cyprus attractive to Russian investors.
[/B][/B][/B]At the end of February, bank deposits of non-eurozone residents in Cyprus amounted to €6.4 billion, with an analyst telling the newspaper that 80% of these deposits belong to Russians.
Politically, the paper continues, Cyprus saw Russia as a potentially useful ally in its dispute with Turkey and on the Cyprus problem, but since the invasion of Ukraine, Nicosia has toed the European sanctions line.
The Financial Times quotes Foreign Minister Ioannis Kasoulides as saying that Cyprus had no choice. "Our decision was to support the EU and the solidarity of the union. (...) Since Russia did to Ukraine what Turkey had done to us, we had no choice but to stand up and speak out as we have done in our own case."
The paper also points out that Cyprus has suffered one of the heaviest blows in the EU due to the sanctions on Russia, with Russian tourists accounting for more than 20 per cent of visitors. Deputy Minister of Tourism Savvas Perdios states that 800,000 visitors from Russia, Ukraine and Belarus were expected this year.
There is also mention of the concern of Cypriot professionals about the impact the loss of Russian and Ukrainian visitors will have on the Cypriot market, the concern of Russians doing business in Cyprus, and the investigation into the cases of four Russians who have acquired Cypriot citizenship but have been placed on the European sanctions list.
However, the publication points to the fact that since the start of the war in Ukraine, Russian-based tech companies have sent their employees to settle in Cyprus in an attempt to avoid sanctions and bans imposed by Moscow on internet activity as a sign of Cyprus' ability to adapt.
The paper even cites testimony from a real estate agent who says there has been a huge increase in rentals. "These days it is very difficult to find an apartment in Limassol," the Cypriot broker tells the Financial Times.
See the article HERE
Source: CNA
Contents of this article including associated images are belongs Cyprus Times
Views & opinions expressed are those of the author and/or Cyprus Times
Source
