February Edition 2023

19 Much has been written about Israel’s growing trade with the Gulf States following the signing of the Abraham Accords in 2020, but next door Cyprus has been moving along steadily for some time. In this edition, we shine a light on Israel’s growing relationship with its neighbor Cyprus. We catch up with Angelos G. Paphitis, Managing Partner of AGP Law Firm, a dynamic, award-winning law firm in Cyprus with a strong international presence: the firm opened a second office in the UAE in July 2022, and one of the rising law firms in Cyprus, Elias Christou Legal Services, speaking to Managing Director, Elias Christou. What are the other opportunities that lie ahead for Israel and Cyprus? AGP: “Cyprus and Israel have always enjoyed excellent ties in terms of culture, business, collaboration and ideal geographical proximity. There is still room for growth and collaboration on many different fronts, whereby both nations stand to win. Israel is well-known for its forward-thinking, dynamic economy and acute business practices,andCyprus iswell-known for beingable toaccommodate to the most successful businesses and businessmen from Israel, who have looked to Cyprus in terms of relocating and growing their businesses there within, benefitting from a very low corporate tax regime (corporate tax still stands at 12.5%), a helpful legal system based on the commonwealth structure, with Cyprus being an EU Member State since 2004 all gates being open to other EU Member States. Not only this, Cyprus features an impressive Double Tax Treaty Network, which allows all local and foreign companies to benefit from this regime.” Among the synergies between the two countries, gas is key, while Tourism, real estate and shipping are also among the most prolific industry sectors in Cyprus. What is shaping these sectors? What should Israeli entrepreneurs specifically be aware of? AGP: “TourismhasbydefaultbeenoneofCyprus’mainGDPcontributors,with the obvious advantage of 355 days of sunshine on the island of Aphrodite and roughly speaking 6months of summer and very warmweather, beautiful Cyprus Fireside Chat