Cyprus’ investment funds sector set to grow in 2024, association reports
The Cyprus Investment Funds Association (CIFA) this week released a statement expressing an optimistic outlook for 2024, anticipating another favourable year for the investment funds sector in Cyprus, despite any challenges and prevailing uncertainties.
According to the association, Cypriot investment funds were required to exhibit resilience and bolster the growth dynamic of the Cypriot economy in 2023, a goal they managed to achieve.
Their investments in Cyprus neared €3 billion, while at the same time creating new, well-paid, highly specialised employment opportunities.
Furthermore, made note of significant milestones, such as hosting the 36th annual international conference of the International Investment Funds Association (IIFA) for the first time in Cyprus from October 23-25, 2023.
These events, the association continued, underscore the Cyprus’ emergence as a primary European hub for international Investment Funds and Managers.
What is more, CIFA said that “this development has given rise to a fresh business ecosystem, aiding in diversifying the country’s economic framework”.
In addition, the association said that “there are over 250 licensed Collective Investment Organisations currently operating, managing assets exceeding €10 billion, playing a crucial role in both direct and indirect job creation for thousands”.
As a sector heavily influenced by global developments, CIFA said that it anticipates that 2024 will again present significant challenges for investment funds.
Nevertheless, the association mentioned that “Cyprus has demonstrated remarkable resilience and adaptability as a destination”, partly attributed to the constructive approach consistently adopted by institutions such as the Ministry of Finance, the House of Representatives, the Cyprus Securities and Exchange Commission (CySEC), and Invest Cyprus.
CIFA added that it is confident that this proactive stance will continue into the new year, helping to amplify the positive impact of the investment fund sector on the Cypriot economy.
Andreas Yiasemides, President of CIFA, said that “amidst challenging conditions, Investment Funds have proven to be a crucial pillar of the Cypriot economy”.
“They have driven the creation of new specialised job positions, significantly supported key sectors with capital, and contributed to both the diversification and modernisation of the country’s economic model,” he added.
“We firmly believe that in 2024, the role of Collective Investment Organisations and all sector professionals will be instrumental in the broader endeavour for economic and social well-being in Cyprus,” Yiasemides concluded.