Cyprus Businessforecast Industry Forecast

The Cyprus Business Forecast Report provides essential macroeconomic, political and financial analysis for companies doing business in Cyprus. The Cyprus Business Forecast Report helps businesses with Cypriot market assessment, strategic planning and decision making to promote growth and profitability in Cyprus and is an essential tool for CEOs, Chairmen, Finance Directors/CFOs, Managing Directors, Marketing/Sales Directors with commercial interests in this emerging market.

An influential new analysis of Cyprus' political, economic and financial prospects through end-2012, just published by award-winning forecasters, Business Monitor International.

 

 

 

Key Uses of the Cyprus Business Forecast Report | Cyprus' Political Outlook | Cyprus' Economic Outlook | Cyprus' Business Environment | Key Cyprus Industry Sectors | Cyprus BMI's Executive Summary | Our Europe Subscribers | Full Range of BMI's Business Forecast Reports

Key Uses for the Cyprus Business Forecast Report

  • Forecast the pace and stability of Cyprus' economic and industry growth through end-2012
  • Identify and evaluate adverse political and economic trends in Cyprus, to facilitate risk mitigation strategies
  • Assess critical shortcomings of Cyprus' business environment that pose hidden barriers and costs to corporate profitability
  • Contextualise Cyprus' country risks against Europe regional peers using BMI's country comparative risk ratings system
  • Target business opportunities in Cyprus' high-growth industry sectors
  • Evaluate external threats to doing business in Cyprus, including currency volatility, the commodity price boom and protectionist policies

The Cyprus Business Forecast Report by Business Monitor International includes four major sections: Cyprus' Political Outlook, Cyprus' Economic Outlook, Cyprus' Business Environment and Cyprus' Key Industry Sectors.

Cyprus' Political Outlook:

What are the political risks to doing business in Cyprus over the next 5 years?

BMI's Cyprus Country Risk Ratings evaluate the short and medium-term threats posed by government instability, adverse economic policy-making, deterioration in the business environment and external shocks.

Cyprus Political Outlook Contents

  • SWOT Analysis for the Cypriot Market
    Political Strengths, Weaknesses, Opportunities and Threats facing Cyprus.
  • Political Stability and Risk Assessment for Cyprus
    BMI's Risk Ratings assess explicit short and long-term risks to political stability; latest ratings, rankings and trends for Cyprus' risk are compared with Europe regional and global averages.
  • Current Administration and Policy-making in Cyprus
    BMI profiles key policy-makers and power-brokers in the Cypriot government, assessing threats to the continuity of Cypriot economic policy, and likely changes to the business operating environment through end-2012.
  • Cypriot Foreign Policy
    BMI examines key trends and shifts in Cyprus' foreign relations and alignments with Europe neighbours, the United States and Europe, focusing on external influences.

Key Benefits

  1. Benchmark Cyprus' risk profile against its neighbours, the global and regional average, allowing easy comparison of risks between key business markets.
  2. Identify, evaluate and anticipate political and security risks to the business environment in Cyprus, and to your company's current operations and future plans.
  3. Gain valuable insights into the Cypriot government and policy-making, through BMI's specialist team of analysts and economists, and their exclusive network of private and public sector sources.

Cyprus' Economic Outlook:

How will Cypriot economic policy-making and performance impact corporate profitability over 2008-12?

BMI provides fully independent 5-year forecasts for Cyprus through end-2012 for more than 35 macroeconomic variables. We evaluate Cypriot growth, and also forecast the impact of economic management, including central bank policy, on profitability.

Cyprus Economic Outlook Contents

The Cyprus Business Forecast Report features explicit BMI economic forecasts for Cyprus, with supporting commentary and analysis, for end-2008, 2009, 2010, 2011 and 2012 set against Cypriot government views. Underpinning our Cyprus forecasts are key assumptions for the global economy through end-2012, covering growth, inflation, employment, trade and investment, interest and exchange rates in the US, Japan and the Euro-zone.

Coverage of Key Economic Issues in Cyprus

  • Economic Activity in Cyprus
    Real GDP growth; industrial growth; employment growth; inflation and consumer prices; consumption (indicative wages, retail sales, consumer confidence)
  • Fiscal Policy in Cyprus
    Current macroeconomic strategy and implementation policies; government finance (revenue, expenditure, budget balance); tax reforms
  • Monetary Policy in Cyprus
    Interest rate trends (bank lending and deposit rates); inflation (retail price inflation, consumer price inflation); exchange rate policy in Cyprus; Cypriot currency controls; influence of foreign direct investment inflows; exchange rates and foreign exchange reserves
  • Balance of Payments in Cyprus
    Merchandise trade (exports, imports, trade balance); current account balance
  • Foreign Direct Investment in Cyprus
    Foreign direct investment approvals and inflows; the foreign investment climate
  • Cypriot External Debt
    Debt profile (short- and long-term debt; public and private sector exposure)

Key Benefits

  1. Rely upon BMI's 100% independent Forecast Scenarios for Cyprus and underlying assumptions - we take no advertising and are privately-owned.
  2. Exploit the benefits of BMI's comprehensive and reliable macroeconomic Cyprus database, sourced and fully maintained by BMI from an extensive network of private sector, government and multilateral contacts.
  3. Gain key insights into the current and future direction of Cypriot government economic policy

Cyprus' Business Environment:

How internationally competitive is Cyprus' regulatory environment, and what changes can be expected?

BMI assesses levels of transparency, flexibility of labour market, tax burden, development of the banking sector and credit availability, infrastructure and IT, foreign investment regime and trade liberalisation in Cyprus.

Cyprus Business Environment Contents

  • Cyprus' Business Environment Risk Rating with SWOT Analysis
    Short and long-term business environment risk ratings for Cyprus, benchmarked against ratings for Europe and neighbouring countries.
  • Country Competitiveness for Cyprus
    Competitiveness of Cyprus' business operating environment in supporting corporate growth and profitability over the 5-year forecast horizon, compared with regional neighbours.

Coverage of Key Business Environment Issues in Cyprus' Domestic Environment

Transparency, cronyism and corruption; labour market flexibility; corporate tax burden; interest rate levels; access of private sector to lines of credit; sophistication of banking sector and stock market; levels of business confidence; infrastructure and IT

  • Foreign Direct Investment in Cyprus
    Analysis of foreign investment regime, foreign ownership laws; attractiveness of business environment to foreign investors; review of major foreign direct investments over the last 24 months, and of strategic sectors attracting most interest
  • Foreign Trade with Cyprus
    Analysis of trading environment, government trade policy, liberalisation measures, tariffs and membership of trade areas

Cyprus' Key Industry Sectors

Which industry sectors in Cyprus will grow fastest, and where are the major investment opportunities in the Cypriot market?

BMI targets investment opportunities in Cyprus' high growth industries, including automotives, food and drink, infrastructure, oil and gas, pharmaceuticals and healthcare, telecommunications and IT.

Coverage of Cyprus' Key Industry Sectors - Cypriot Market Overview

Size, value and structure of industry; impact of liberalisation and privatisation on sector performance and prospects; friendliness of business environment

  • Latest Developments in Cyprus
    Review of latest projects, deals, privatisations, mergers and acquisitions, and implications for sector performance; company rankings for national and multinational companies in Cyprus; main industry players by local sales, employee size, market share and main brands, products and services
  • 5-year Industry Forecast for Cyprus
    Historic dataset (2003-2007) and BMI forecasts through end-2012, covering headline industry data broken out by sub sector

Key Benefits

  1. Target strategic sector-by-sector opportunities in Cyprus' high growth industries, attracting public expenditure and foreign investment; identify key players and competitors driving growth, investment and business opportunities.
  2. Benefit from competitive intelligence on top national and multinational companies operating in Cyprus' major industry sectors, including analysis of recent trends in sales and market share, company strategies, product launches and latest deals.

Who buys the Europe Business Forecast Reports?

The Cyprus Business Forecast Report is an essential tool for CEOs, Chairmen, Finance Directors/CFOs, Managing Directors, Marketing/Sales Directors with commercial interests in Cyprus.

Our Business Forecast Reports are relied upon by corporates, banks, government departments and multinational organisations around the world.

Business Monitor International's Business Forecast Report subscribers include:

Abbott International, Air Liquide, Akzo Nobel, Alcatel, Alpha Cement Group, Atlas Copco, BASF, British American Tobacco Company, Coca-Cola HBC, Colgate Palmolive Romania, Deloitte & Touche, Ericsson Telecommunications Bulgaria Ltd, Ernst & Young, Exxonmobil Ltd, Heineken Brewery, Hewlett- Packard Slovakia, S.r.o, Indesit Company, Microsoft Software, Novartis Pharma Services Inc, Omnitel, Opus Land Development SA, Provident Financial, Raiffeisen Bank, Robert Bosch Elektronika Kft., Siemens Srl, Xerox Ltd 

 

" The Key Economic Sectors in the Business Forecast Report is most beneficial in terms of value & usage as our organisation focuses on a sector based approach for market development. The Business Forecast Report offers deeper sector knowledge, which is very useful. "
Hellenic Lloyd's SA, Greece.

BMI's Executive Summary for Cyprus

[TOP]

Euro: The Big Deal

The Republic of Cyprus will join the eurozone on January 1 2008 and just over a month later Cypriots will elect a president to lead the country for the next five years. The incumbent, Tassos Papadopoulos, is seeking another term in office and currently tops the opinion polls. But the lead over his two principal opponents, Demetris Christofias, the leader of the communist Progressive Party of Working People (AKEL), and Ioannis Kasoulides, an independent aligned to the second largest party Democratic Rally (DISY), is narrow. And, somewhat uncharacteristically, many voters have yet to make up their minds. That will change once the election campaign starts properly and the candidates reveal more of their plans for solving the long-standing division of the island and domestic economic and social reforms.

The strength of the economy should be a vote winner for President Papadopoulos, but public expectations of higher prices and lower real incomes stemming from the adoption of the euro are a serious concern for the president's team. With inflation already gathering speed as a result of rising food and energy prices, the government has decided to delay EU-required hikes in value-added tax (VAT) rates scheduled for the start of 2008 even though they may be censured by Brussels for doing so.

Assuming the VAT changes are made by mid-year, we think inflation will reach 3% in 2008, compared to 2.2% in 2007, though the risks are to the upside.

Real GDP growth is likely to be robust going into 2008 and is expected to remain in line with the economy's potential growth rate of about 3.8%, supported by a eurozone-related easing of monetary and financial conditions, robust confidence and, more speculatively, an increase in domestic and foreign investment. On the downside, current growth is overly reliant on credit-fuelled private consumption and construction. Both will eventually slow. Our concern is that when they do, the response of net exports will not be strong enough to keep real output growth above 3.5%.

Eurozone membership will provide both opportunities and challenges for corporate Cyprus, making it imperative that the next government steps up efforts to strengthen the supply side of the economy. In the near term, the business environment should be favourable given strong domestic demand growth and historically low interest rates.

Read about our other Business Forecast Reports  

Asia

Australia, Bangladesh, China, Hong Kong, India, Indonesia, Malaysia, Pakistan, Philippines, Singapore, South Korea, Sri Lanka, Taiwan, Thailand, Vietnam

Europe

Bosnia & Herzegovina, Bulgaria, Caucasus, Croatia, Cyprus, Czech Republic, Estonia, Greece, Hungary, Kazakhstan & Central Asia, Latvia, Lithuania, Macedonia, Poland, Romania, Russia, Serbia, Slovakia, Slovenia, Turkey, Ukraine

Middle East

Bahrain, Iran, Iraq, Israel, Jordan, Lebanon & Syria, Kuwait, Oman & Yemen, Qatar, Saudi Arabia, UAE

Africa

Angola, Botswana, Cameroon, Cote d'Ivoire, Egypt, Ethiopia, Francophone West Africa, Ghana, Kenya, Mozambique, Namibia, Nigeria, North Africa, South Africa, Sudan, Tanzania, Uganda, Zambia, Zimbabwe

North & South America

Argentina, Brazil, Chile, Colombia, East Caribbean, Mexico, Peru, Trinidad & Tobago, Venezuela, West Caribbean

 

Business Monitor International

Business Monitor International
A Market Leader in Country Risk, Industry Intelligence and Company Research

Mermaid House, 2 Puddle Dock, Blackfriars, London EC4V 3DS, UK

BUSINESS MONITOR INTERNATIONAL's country risk analysis and forecasts, market research on leading industries, and multinational company research is relied upon by corporates, banks, government departments and multilateral organisations in over 125 countries around the world.

Country Risk Analysis and Forecasts
BMI
has for 25 years specialised in political risk analysis, financial markets analysis, and macroeconomic forecasts on 175 global markets.

Industry Intelligence and Market Research
BMI's industry research covers Automotives; Banking; Chemicals; Defence & Security; Food & Drink; Freight Transport; Information Technology; Infrastructure; Insurance; Mining; Oil & Gas; Petrochemicals; Pharmaceuticals & Healthcare; Power; Telecommunications, and Tourism.

Company Research
BMI maintains a fully-researched 55,000-site database of multinational company subsidiaries located across global markets.