Hope springs in Cyprus

Date: 04 Jul 2013


George Ioannou of Korantina Homes is the man behind some of the most prestigious homes on Cyprus. His Cap St George development sells at Euro 5million+ per property and he has won two awards from Bloomberg for architecture and development. George took out time to talk to Karen Jones of Citywealth about the recent economic developments and his entrepreneurial view for the future of Cyprus.

New President, Nicos Anastasiades will change the negative vibes
“Cyprus places all its hope in Nicos Anastasiades,‚Äù says George. “That’s the reason why he was designated as president of our democracy. He is an open-minded politician, with modern ideas and will be an important voice for us in Europe and globally. His main target is to create the necessary perspective for the evolution of his country. I believe he also has the ability to change the negative vibes that have occurred in the past.‚Äù

Europe needs a new, governing strategy
“In my view, Nicos Anastasiades understands that the global economic crisis creates new challenges for the future of the European Union. He also believes, as many do in the EU, that a new agreement for Europe should be made which will settle the solidarity among nations. This will need a strategy programme and determination from the leaders of the member nations.‚Äù

We see the crisis as an opportunity to reinforce European bonds
“This mean that in the limits of a reform‚Äù continues George, “that Cyprus has the opportunity to reinforce its bond with all the nations of the European Union and to reinforce its position as an island to invest in, particularly in property, both in the short and long term.‚Äù

The bail in-deal could have been handled better
“We understand that the IMF proposition for Cyprus is to reorganize the financial system and to reduce the national banks funds to a level that should fit those of the Eurozone but they have done this in an extremely violent way and not gradually which is unfortunate for Cyprus. Just to underline what has happened. The decision actually only affects the national banks, Laiki and Bank of Cyprus. All the remaining 12 banks are not affected.‚Äù

The Eurozone and IMF shouldn’t decide the fate of Cypriot banks
“I don’t agree that the Eurozone and the IMF should have the authority to decide the luck of any kind of institution, especially when it is governmental, like Laiki bank. The state should have the ability to regulate issues that have to do with its inner economic policy and to correct any mistakes or omissions. The imposition of a decision means unfair intervention in my view.‚Äù

Russia and Cyprus are joined by more than just bank accounts
“The world thinks Russia was here to evade tax but Russia has been and still is one of the most important allies for Cyprus. There are deep economic, political and strategic bonds that connect the two countries and this is never going to change.‚Äù

Property becomes attractive to overseas investors
“Despite the difficulty with the economic crisis, our clients still wish to invest because of the attractive offers available in the property sector. Particularly in the high-specification and luxury properties. Foreign money and foreign investors are very important for Cyprus and so it is a high priority to attract these individuals. It is why Cyprus has a competitive tax rate and has made naturalization simpler. Not only China and Russia but other countries consider Cyprus as a good centre to make investments.‚Äù

Natural gas reveals a bright future for Cyprus
“Cyprus has excellent prospects for the foreseeable future,‚Äù says George, “because of the huge quantity of natural gas, which was discovered. I think Cyprus will shift from a financial centre to a centre of energy and become a station of production and transport which will bring strong economic growth. There are good prospects because of this for Cyprus to create all the necessary alliances in the future with many countries. Cyprus will be one of the most powerful economic centres in the energy sector globally. Our debt of 5.8 billion is extremely low compared to the profits that Cyprus will derive from any future gas agreements. It will just take time which the Eurozone and IMF unfortunately haven’t been willing to consider.‚Äù

As well as Cap St George, Korantina Homes have also got a new development underway called Akamas. Nine villas will be built by the Akamas forest with views of the Mediterranean coast. They will have three and four beds with gated entrances and are ideal for holiday homes or investment.

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