CSC December’s Members Meeting

23.12.2019

CSC December’s Members Meeting

The last Members Meeting in year 2019 was held at Amathus Beach Hotel in Limassol on 12th December. For this event the presentation of H.E. Minister of Foreign Affairs, Mr. Nikos Christodoulides, was planned on the  following topic „Economic Diplomacy and Opportunities for the Shipping Sector.”

The meeting was opened by Mr. Andreas Neophytou, the v-ce President of the Cyprus Shipping Chamber. He started with his usualy monthly report about current Chambers’ work. The most important part of his speech concern a renew of the Cyprus tonnage tax. He informed the audience that the EU Commission have approved the tonnage tax for next 10 years period. For this confirmation all stakeholderrs were waiting. It can be said, that the uncertainty period was over. There was a fear that the environment of the shipping industry in Cyprus could change, also for worse.

After the monthly report, Mr.  Christodoulides was asked to enter the stage. He wormly welcome all gathered. Economic diplomacy is indispensable, Minister said, adding the Foreign Ministry has elevated economic diplomacy to one of its top priorities. He referred to protectionist tendencies and rising economic nationalism that hinder world trade and investment ultimately affecting world growth and prosperity. “These are only a few of the reasons that make economic diplomacy indispensable. It is mandatory that we use all levers at our disposal to promote our mutual economic interests, to ensure a level playing field for all economies – large and small,” Christodoulides said.

He also recalled the “unprecedented crisis” that hit Cyprus in 2013 at the wake of the world crisis, noting that the “we have succeeded in transforming an economy in distress, into a story of strong economic recovery that has attracted international praise.” “One of the most valuable lessons learned from the economic crisis is the importance of the interaction between our countries’ economies and the significance of multilateral cooperation in facing challenges of this magnitude,” he added.

The Cypriot FM also said that “in the ever-changing era of globalization, the international relations landscape has undergone significant changes, and as a result, the boundaries between international politics and international economic relations have become more blurred. “In other words, economic partnerships constitute an integral part of political synergies,” he added.

Furthermore, he said that the Strategy on economic diplomacy, initiated in February 2019, is expected to be completed by the end of 2019.

Christodoulides concluded by saying that in addition to classic features, such as facilitating access to foreign markets, attracting foreign investment, and influencing international rules to the benefit of national interests, the government was aiming for a strategy that would promote both the Cyprus brand as well as its culture.

After the presentation, the audience was able to ask some questions regarding the new policy. All qustions concern mostly Turkey embargo on Cyprus flagged vessels and exploration of  natural resources in the Cyprus Exclusive Economic Zone in connection with the latest reaction from Israel side. Just to remind our readers – few weeks ago Izrael has sent letters to Cyprus and Noble Energy Consortium regarding the Aphrodite Field, when soon the expploration should start, to stopped all works until Cyprus and Israel will agree on the division of the field. According to Israle’s side, at leat 10 % of the resources is located in their exclusive economic zone. After a short discussion, the audience were invited for a „traditional social hour”.