Financial Mirror (Cyprus)
Big Tech relocation still strong
The island’s tech boom with the relocation of companies is still going strong as authorities welcome new addition DataArt, a US enterprise software development firm.
Casting a vote of confidence in Cyprus, DataArt is creating a base in the capital, Nicosia.
Headquartered in New York City with over 6000 employees worldwide, DataArt is currently onboarding more than 50 employees to a new location in Nicosia and plans to hire more tech professionals from the local talent pool.
In a statement George Campanellas, Chief Executive of Invest Cyprus, the country’s investment promotion agency, said: “It is a great pleasure to welcome DataArt, a proven leader in the field of technology”.
Campanellas said ICT companies currently employ more than 10,000 people in Cyprus and this “decision is further evidence of our capacity to attract internationally renowned technology companies and tech professionals.”
Eugene Goland, DataArt’s CEO, said: “Cyprus provides an ideal platform to strengthen our European footprint and access new markets.
“New incentives for foreign companies made it easier for us to relocate our staff to the island while access to local highly skilled talent is definitely a bonus.”
Interest from technology companies in Cyprus continues to grow, transforming the sector into a key pillar of economic growth, said Campanellas.
He said Cyprus’ geographical location, alongside its multi-lingual workforce, robust legal framework, low cost, and businessfriendly environment make it the ideal investment destination for tech and business.
Authorities tasked with promoting foreign investments to Cyprus, have been concentrating on convincing big tech and Fintech firms to relocate or operate on the island.
In July, the House passed a set of ‘generous’ tax incentives to attract talent and promote headquartering in Cyprus.
For existing employees, the bill provides a 50% tax break on remuneration from employment earnings of EUR 55,000 pa by an individual already in Cyprus, provided that they were abroad for 12 consecutive years before their employment
The new law reduces the minimum required salary from EUR 100,000 to EUR 55,000 per annum.
It also provides a grace period of six months for obtaining the benefit, while the exemption will continue to apply for 17 years from the commencement of employment.
At the same time, a corresponding exemption is granted to existing employees with a salary exceeding EUR 55,000, provided they were residents outside the Republic for at least 10 consecutive years before the start of their employment.
Big Tech firms casting their vote of confidence includes Eurisko Mobility, known for designing digital transformation strategies for businesses, Paris-based Murex, a leading European software producer in trading, treasury, risk, and post-trade operations for financial markets.
Other major international ICT firms in Cyprus include NCR, Amdocs, Wargaming, eToro, and 3CX.