Phoebus, Christos Clerides & Associates co-founder discusses current issues, future growth

Since 1950, Cyprus-based legal firm Phoebus, Christos Clerides & Associates has advocated for increased economic, social, and political ties between Cyprus and the USA. The firm works closely with legal firms based in New York and has a great deal of experience helping American companies and investors do business in Cyprus and across the region.

In a recent interview, Dr. Christos Clerides – the co-founder of the firm and head of the Law Department at Frederick University, Cyprus – spoke about the challenges and opportunities Cyprus faces today.

What are your thoughts on Cyprus’s economy at present?

We have had several recent setbacks, starting with the banking crisis. Then, we saw the Cyprus Popular Bank collapse before the Bank of Cyprus took over its assets. We quickly recovered from that crisis, but Cyprus’s economy has also been affected by the COVID-19 pandemic. Additionally, we are now dealing with the Russia-Ukraine crisis, which will undoubtedly impact our economy. 

Even though we’ve had to face these challenges and others over the past decade, Cyprus’s economic system has proven resilient and capable of dealing with extreme situations. That sends an encouraging message that we can weather these storms and return to normality and prosperity before long.

How can Cyprus protect its economy and ensure future growth?

I believe Cyprus should put itself back on the international map. Certain fields in our economy are crucial to achieving that goal, and one of them is energy. The drilling and exportation of oil and gas have been important to American companies, and the Cyprus government should focus on developing these capabilities. 

The EastMed pipeline could eventually bring our oil and gas to the European market. While the US government has expressed concerns about the cost of this venture, Europe’s dependency on Russian oil and gas could change in the wake of the Russian-Ukrainian crisis. As a result, this project still has a good chance of being completed. Along the same lines, our electricity cable link project is well underway. 

Cyprus is also set to excel in the area of intellectual property (IP). Cyprus has a very favorable regime for companies that decide to handle their administration of IP matters here, with minimal taxation on profits. There is strong potential for American companies to utilize Cyprus as the center for their IP, including trademarks, copyrights, franchise agreements, and patents.

What advice would you give to American investors interested in doing business with Cyprus?

They should strongly consider Cyprus as their business center of choice and look into moving some of their activities to the island. Along with the opportunities I spoke about previously, there are quite a few appealing prospects in other sectors of our economy. I would particularly like to see greater cooperation between service providers in the USA and Cyprus in fields such as accounting, law, finance, and insurance.

How do you position your firm in terms of attracting potential international clients?

We’ve had many inquiries in the past few years, particularly involving Russian and Ukrainian businesses. Many of these businesses have set up operations in Cyprus, controlling substantial investments in their home countries tied to energy, mining and other sectors.

We want to bring in a larger number of clients from the United States, and we would like to see American businesses opt to use Cyprus as a business center. There is room for professionals to associate with their contemporaries in Cyprus and build valuable experience. Our firm is also interested in working with people and organizations from the USA on matters related to environmental legislation and business policies.