keve assembly — keve assembly — At the annual general assembly of the chamber of commerce and industry (Keve), President Nikos Christodoulides outlined the government’s economic and international policy agenda, emphasising the focus on enhancing Cyprus’ competitiveness.
In his speech, Christodoulides addressed business leaders and cabinet members, stressing the importance of international orientation for Cypriot businesses. He reaffirmed the government’s commitment to responsible fiscal policy and ongoing reforms aimed at fostering a vibrant economic landscape.
Keve assembly: New Agreement Aims to Stabilise Income
The president highlighted a recent agreement regarding the automatic cost-of-living adjustment (CoLA), which will come into effect on January 1, 2026. This agreement, reached on November 13, 2025, aims to resolve a long-standing issue affecting tens of thousands of workers, ensuring income stability and creating a predictable environment for businesses.
Christodoulides described the CoLA agreement as a success of collaboration between social partners and the government, showcasing the potential for similar constructive dialogue on issues like the minimum wage and foreign worker policies.
Upcoming EU Presidency and Trade Initiatives
With Cyprus set to take over the Presidency of the Council of the European Union in three weeks, Christodoulides outlined the country’s objectives during this crucial period. He stated that enhancing EU competitiveness, supporting trade, and fostering innovation would be top priorities for both Cyprus and the broader European Union.
Among the initiatives mentioned, the president highlighted the need to complete significant EU trade agreements and accelerate negotiations with countries like Mexico and those in Southeast Asia. Additionally, he noted the importance of maintaining a predictable dialogue with the United States to mitigate the risks associated with unilateral tariffs.
Strengthening Global Ties
Efforts to finalise free trade agreements with India and the United Arab Emirates were also discussed, along with ongoing talks with Thailand, the Philippines, and Malaysia. Christodoulides underscored the significance of the EU-Canada agreement, vowing that Cyprus would work diligently to implement it.
The president also mentioned the strengthening diplomatic relations with key partners, including the United States, the United Kingdom, and India, highlighting the upcoming visit of the Indian prime minister in June 2025 as a landmark event for bilateral relations and investment opportunities in sectors such as pharmaceuticals, defence, and technology.
Domestic Reforms and Economic Growth
On the domestic front, Christodoulides detailed various reforms designed to modernise state operations and simplify bureaucratic processes. He announced plans to streamline construction permitting, promising faster approval times for residential and small-scale projects.
The creation of a national business development organisation aims to enhance access to financing for Cypriot companies, particularly small and medium-sized enterprises. He noted that the Cyprus equity fund has already begun investing in start-ups and innovative businesses, while over €360 million in grants have been distributed to support enterprises through the ministry of commerce.
Commitment to Sustainable Development
Christodoulides stated that the planned privatisation of the Cyprus stock exchange is intended to attract investment, strengthen corporate governance, and enhance market infrastructure. He reflected on the national economy’s strong performance, characterised by low debt-to-GDP ratio, low inflation, and a surplus fiscal balance.
In concluding his address, the president reaffirmed the government’s political orientation rooted in social liberalism, promoting equality, social solidarity, and a conducive environment for business and investment. He acknowledged the vital role of social partners and the business community in driving Cyprus’ economic development and international positioning, fostering a shared vision of growth and prosperity.
