These are the government's goals for tax reform What measures are being taken for investments?

In his address, the Minister of Finance, Mr. Makis Keravnos said among others the following: A particularly important part of the government's program, which has been a constant demand of ICPAC in recent years, is tax reform. The Government's intention is for the new tax proposal to weigh the modern economic model and its evolutionary prospects. The new tax reform must aim at a transparent and simplified system, with minimal bureaucracy. It must be encouraging business and at the same time be socially just, within European standards and aim to reduce tax evasion and avoidance.

We hope that it will be a mechanism for improving the equal distribution of output and income and strengthening social cohesion and encouraging and facilitating investment activity. Finally, it should be fiscally neutral and stable in order to be an incentive for foreign and domestic investors. This project has been assigned to the Centre for Economic Studies of the University of Cyprus, which will also make use of foreign experts.

Rest assured that at the appropriate time we will involve your Association and utilize your views and all the expertise we recognize your members have.

At the same time, the Ministry of Finance promotes the Neutral Green Tax Reform which will contribute significantly to the achievement of the green goals of Cyprus within the European Union, stemming from the Green Deal and the National Energy and Climate Plan for 20212030 for a 24% reduction in greenhouse gas emissions.

The focus of the government's development strategy is guided by the implementation of the two flagship Public Investment programs, the National Plan Recovery and Resilience and the THALEIA Programme 2021 – 2027. Two Programmes that implement plans and actions on the basis of the Long-Term Development Strategy for Cyprus. The long-term Strategy for the Sustainable Development of the Cyprus Economy, entitled

"Vision 2035", supports the promotion of digitalization and environmental sustainability with the main objectives of the transition to a new, modern economic model, the creation of new jobs, the achievement of sustainable long-term growth and the enhancement of international competitiveness with the ultimate goal of citizens' well-being.

Especially in relation to the recent sanctions on individuals, the Government reacted immediately and decisively. He saw this negative development as an opportunity for the definitive cleansing of Cyprus' name as a country providing quality professional services. Having before me professionals who excel, I consider it my obligation to assure that the government is making every effort to preserve Cyprus' reputation as an international service center. Our Government, aiming in this direction and ensuring even more the attraction and retention in Cyprus of foreign companies and their executives, despite four months of government, immediately proceeded to new measures and manipulations:

• It extended the tax incentive to foreign executives of these companies in case they change employers. The relevant bill will be submitted tomorrow for voting in the plenary session of the House of Representatives.

• A tax bill has been submitted to the House of Representatives, which will grant increased capital discounts to assets that will improve the energy efficiency of businesses.

• He immediately promoted a Bill on Funds Administrators, which concerns the regulation of the profession of performing management functions of Collective Investment Undertakings. Within the next week it will be submitted to the Legal Service for legislative review.

• A bill is being prepared for the establishment of a framework for the screening of Foreign Direct Investment (FDI) after consultations, among others, with ICPAC.