Foreign Company Registrations in Cyprus Surge

Cyprus has seen a sharp increase in foreign company registrations in recent months, with Israeli firms driving the strongest growth.

According to official data from the Department of Registrar of Companies, the number of new foreign companies registered in Cyprus rose by 30 percent between June and July 2025. From January through the end of July, 246 new foreign companies were incorporated — nearly half of them within the last two months alone.

While Israeli businesses account for the largest share of recent registrations, there has also been notable activity from Russian, Lebanese, and Belarusian firms. Officials expect Indian companies to become increasingly prominent in the coming months.

This surge comes after fluctuating performance in previous years. In 2024, there were 465 foreign company registrations, compared to 283 in 2023. The record year remains 2022, when Cyprus recorded 1,600 registrations.

Economic Confidence and Investment Momentum

The Democratic Party (DIKO) welcomed the renewed investor interest, linking it to Cyprus’s return to investment grade A status by all major international credit rating agencies for the first time in over 15 years.

DIKO described this as a clear signal of restored international confidence in the Cypriot economy, predicting a positive impact on investment flows, economic growth, and wider development.

The party also stressed that maintaining this upward trend will require a stable fiscal, legal, and institutional framework, as well as greater transparency and stronger support for entrepreneurship.

“Cyprus has always been, and will remain, one of the most stable and attractive jurisdictions in Europe for company registrations and operations,” says Grigoris Aivazidis, Lawyer at AVZ Law Office.

“Its appeal lies in a unique combination of legal, tax, and administrative advantages that are hard to find elsewhere. The non-domiciled tax regime for individuals, one of Europe’s lowest corporate tax rates, and a business-friendly accounting framework with generous expense deductions all contribute to its competitive edge.”

“The incorporation process is both fast and straightforward, enabling companies to begin operations without unnecessary delays. Compliance obligations are practical rather than overly burdensome, and ongoing maintenance costs are significantly lower than in many other European jurisdictions. This stable, predictable, and cost-efficient environment continues to attract entrepreneurs and corporations alike.”

See also: Cyprus Incorporation: Complete Guide to Forming a Limited Company.
“In a competitive global market, Cyprus’s mix of stability, efficiency, and favorable tax treatment ensures it will remain a preferred European base for years to come.”