Tariff wars continue, AArating from Economist

The tariff wars continued unabated with the EU rejecting new levies on dairy exports to the island, while the Economist gave a ‘AA-‘ rating to the island’s econmy in its emerging market rankings, according to the issue 140, on December 13, 1995.

The EU has rejected Cyprus’ proposals for new levies on dairy products in addition to the 8% already agreed, as the government has to implement the EU Customs agreement by

No

tax on EU:

January 1, as well as the GATT accord that abolishes tariffs and lifts import restrictions. This refers to some 700 tonnes of dairy imports and 1,000 tonnes of meat.

Economist

rating:

A year after Standard & Poors gave Cyprus an AA rating, the Economist Emerging Market Rankings awarded an ‘AA-’ rating, pushing it to third place in the table after Singapore’s AAA and Taiwan’s AA+, making it just under top investor grade. Cyprus shared the position with Portugal and South Korea and was ahead of Malaysia, Hong Kong, Thailand and the Czech Republic.

The three budgets for 1996 provide for revenue of CYP 1.0 bln and expenditure of 1.35 bln, with Finance Minister Christodoulos Christodoulou saying growth is expected at 4.5% of GDP and unemployment at 2.5%. The fiscal deficit is expected at CYP 168 mln or 4.1% of GDP.

Universal Life plans to team up with a foreign bank and plans to enter the banking sector with a 35% stake in the new venture, said CEO Andreas Georghiou. The insurer’s market cap is at CYP 30 mln with CYP 8 mln of reserves, and a 3.5% stake each in Bank of Cyprus and Laiki Popular.

And the GM Ashley Spencer and Executive Chef Andreas Georghiou said the new

restaurant was expected to open just before Christmas.

1996 Budget:

UL seeks bankers:

Fontana

Cyprus Hilton’s