Cyprus

views updated May 23 2018

CYPRUS

LOCATION, SIZE, AND EXTENT
TOPOGRAPHY
CLIMATE
FLORA AND FAUNA
ENVIRONMENT
POPULATION
MIGRATION
ETHNIC GROUPS
LANGUAGES
RELIGIONS
TRANSPORTATION
HISTORY
GOVERNMENT
POLITICAL PARTIES
LOCAL GOVERNMENT
JUDICIAL SYSTEM
ARMED FORCES
INTERNATIONAL COOPERATION
ECONOMY
INCOME
LABOR
AGRICULTURE
ANIMAL HUSBANDRY
FISHING
FORESTRY
MINING
ENERGY AND POWER
INDUSTRY
SCIENCE AND TECHNOLOGY
DOMESTIC TRADE
FOREIGN TRADE
BALANCE OF PAYMENTS
BANKING AND SECURITIES
INSURANCE
PUBLIC FINANCE
TAXATION
CUSTOMS AND DUTIES
FOREIGN INVESTMENT
ECONOMIC DEVELOPMENT
SOCIAL DEVELOPMENT
HEALTH
HOUSING
EDUCATION
LIBRARIES AND MUSEUMS
MEDIA
ORGANIZATIONS
TOURISM, TRAVEL, AND RECREATION
FAMOUS CYPRIOTS
DEPENDENCIES
BIBLIOGRAPHY

Republic of Cyprus

Kypriaki Dimokratia

CAPITAL: Nicosia

FLAG: The national flag consists of the map of Cyprus in gold set above two green olive branches on a white field.

ANTHEM: Ethnikos Hymnos (National Hymn), beginning "Se gnorizo apo tin kopsi" ("I recognize you by the keenness of your spade").

MONETARY UNIT: The Cyprus pound (c£) is a paper currency of 100 cents. There are coins of 1, 2, 5, 10, 20, and 50 cents and 1 pound, and notes of 50 cents, and 1, 5, 10, and 20 pounds. c£1 = $2.12766 (or $1 = c£0.47) as of 2005. The Turkish lira (tl) of 100 kuruş is the currency in the Turkish Cypriot zone.

WEIGHTS AND MEASURES: The metric system is the legal standard. Imperial and local measures also are used.

HOLIDAYS: New Year's Day, 1 January; Epiphany, 6 January; Late President Makarios' Day, 19 January; Greek Independence Day, 25 March; Cyprus National Day, 1 April; Labor Day, 1 May; Cyprus Independence Day, 1 October; Greek Resistance Day, 28 October; Christmas, 25 December; Boxing Day, 26 December. Holidays observed by the Turkish Cypriot community include Founding of the Turkish Federated State of Cyprus, 13 February; Turkish National Sovereignty and Children's Day, 23 April; Turkish Youth and Sports Day, 19 May; Turkish Victory Day, 30 August; Turkish Independence Day, 29 October. Movable Christian religious holidays include Green Monday, Good Friday, Holy Saturday, and Easter Monday. Movable Muslim religious holidays are observed in the Turkish Cypriot zone.

TIME: 2 pm = noon GMT.

LOCATION, SIZE, AND EXTENT

Cyprus is the largest Mediterranean island after Sicily and Sardinia. Including small island outposts of Cape Andreas known as the Klidhes, its area is 9,250 sq km (3,571 sq mi). Comparatively, the area occupied by Cyprus is about three-fifths the size of the state of Connecticut. Since 1974, the northern third of the island, or 3,367 sq km (1,300 sq mi), has been under the de facto control of the Turkish Cypriot Federated State (proclaimed in 1975), which on 15 November 1983 proclaimed its independence as the Turkish Republic of Northern Cyprus; the southern two-thirds (5,884 sq km/2,272 sq mi) are controlled by the government of the Republic of Cyprus. A narrow zone called the "green line," patrolled by UN forces, separates the two regions and divides Nicosia, the national capital.

Cyprus is situated in the extreme northeast corner of the Mediterranean; it is 71 km (44 mi) s of Turkey, 105 km (65 mi) w of Syria, and some 800 km (500 mi) e of the Greek mainland. Cyprus extends 227 km (141 mi) enewsw from Cape Andreas to Cape Drepanon and 97 km (60 mi) ssennw. The average width is 5672 km (3545 mi); the narrow peninsula known as the Karpas, which is nowhere more than 16 km (10 mi) wide, extends 74 km (46 mi) northeastward to Cape Andreas. Cyprus has a total coastline of 648 km (403 mi).

The capital city of Cyprus, Nicosia, is located in the north central part of the country.

TOPOGRAPHY

Two dissimilar mountain systems, flanking a central plain, occupy the greater part of the island. The Troodos Massif, in the southwest, attaining its highest point in Mt. Olympus (1,953 m/6,406 ft), sends out numerous spurs to the northwestern, northern, and southern coasts. In the north, a geologically older range, the Kyrenia Mountains, extend more than 160 km (100 mi) along the coast in a series of rocky peaks, capped often by medieval castles. Between these principal formations lies the Mesaoria, a low plain extending from Famagusta Bay on the east to Morphou Bay on the west. Once forested, this now treeless region, varying in width from 1632 km (1020 mi), contains the bulk of the island's cultivable and pastoral area. There are few lakes or rivers; rivers are little more than rocky channels that carry away torrents during the thaw of spring and early summer.

CLIMATE

Cyprus is for the most part dry and sunny. The warm currents of the Mediterranean ensure mild winters but bring humidity to the coastal area in the summer, when the central plain is hot and dry. On the hills, daily sunshine is interrupted only occasionally by a wet period rarely lasting more than a week. The mean annual temperature is about 20°c (68°f). A cool, rainy season lasts from November to March. In winter, snow covers the higher peaks of the Troodos; elsewhere the temperature seldom falls below freezing, and conditions are mild and bracing. Rainfall is erratic and varies greatly in different parts of the island. The annual average precipitation ranges from below 30 cm (12 in) in the west-central lowlands to more than 114 cm (45 in) in the higher parts of the southern massif. The main agricultural areas receive rainfall of from 3040 cm (1216 in) annually. Earthquakes are not uncommon.

FLORA AND FAUNA

Except for some small lowland areas in which eucalyptus has been planted, the forests are natural growths of great antiquity, from which the Phoenician shipbuilders drew much of their timber. Forests consist principally of Aleppo pine; other important conifers, locally dominant, are the stone pine, cedar (which is becoming rare), Mediterranean cypress, and juniper, the last growing chiefly on the lower slopes of the Kyrenia Mountains. Oriental plane and alder are plentiful in the valleys, while on the hills, Olympus dwarf oak mingles with pines of various species. Wild flowers grow in profusion, and herbs are numerous.

Cyprus has few wild animals, but birdlife is varied and includes partridge, quail, snipe, plover, and woodcock. Eagles are commonly seen in the mountains.

ENVIRONMENT

Under the Town and Country Planning Law of 1972, the government has the power to issue "reservation orders" in order to protect historic buildings, trees, or other specific points. Other conservation laws seek to preserve forests, restrict the hunting of wildlife, and maintain environmental health.

The most significant environmental problems in Cyprus are water pollution, erosion, and wildlife preservation. The purity of the water supply is threatened by industrial pollutants, pesticides used in agricultural areas, and the lack of adequate sewage treatment. Other water resource problems include uneven rainfall levels at different times of the year and the absence of natural reservoir catchments. Cyprus has about 0.2 cu mi of fresh water, of which 91% is used for farming activity. One hundred percent of Cyprus's urban and rural dwellers have access to safe water.

Another environmental concern is erosion, especially erosion of Cyprus's coastline. In accordance with the Foreshore Protection Law, several coastal areas have been zoned to prevent undesirable development. The Ministry of Agriculture and Natural Resources has primary responsibility for environmental matters. The expansion of urban centers threatens the habitat of Cyprus' wildlife.

According to a 2006 report issued by the International Union for Conservation of Nature and Natural Resources (IUCN), threatened species included 3 types of mammals, 11 species of birds, 3 types of reptiles, 7 species of fish, and 1 species of plant. Threatened species included the Cyprus spiny mouse, the black vulture, the Mediterranean killfish, the imperial eagle, and the wild goat. About 20 species of flora are protected. The Cyprus mouflon or wild sheep is protected in the Paphos Forest game reserve.

POPULATION

The population of Cyprus (both north and south) in 2005 was estimated by the United Nations (UN) at 965,000, which placed it at number 152 in population among the 193 nations of the world. In 2005, approximately 11% of the population was over 65 years of age, with another 20% of the population under 15 years of age. There were 95 males for every 100 females in the country. According to the UN, the annual population rate of change for 200510 was expected to be 0.4%, a rate the government viewed as too low. The fertility rate at 2 births per woman is not enough to sustain the population. The projected population for the year 2025 was 1,087,000. The population density was 104 per sq km (270 per sq mi), with the Turkish sector more sparsely populated than the Greek zone.

The UN estimated that 65% of the population lived in urban areas in 2005, and that urban areas were growing at an annual rate of 0.88%. The capital city, Nicosia, had a population of 205,000 in that year. Other chief townsall seaportsare Limassol, Famagusta, Larnaca, Paphos, and Kyrenia.

MIGRATION

Cyprus suffered massive population shifts following the Turkish military occupation of the northern third of the island in July 1974. Some 120,000 Greek Cypriots fled from the occupied area to the south, and about 60,000 Turkish Cypriots fled in the opposite direction.

In the 1990s, asylum seekers originated mainly from the Middle East and North Africa. Until 1998, a yearly average of 70 to 100 people applied for refugee status. This figure rose significantly in the second half of 1998 due to the arrival of approximately 150 asylum seekers who arrived by boat from Lebanon. In 2004 there were 531 refugees and 10,028 asylum seekers. Asylum seekers were from China, Russia, and other countries such as Bangladesh, Pakistan, Ukraine, Syria, Palestine, Iraq, and Iran.

Some asylum seekers are detained as illegal entrants or overstayers. While acknowledging the difficulties in dealing with the increased number of asylum seekers, the United Nations High Commissioner for Refugees (UNHCR) has encouraged the government to find alternatives to detention. Cyprus allows recognized refugees to remain with work permits while waiting for resettlement to a third country; however resettlement is a lengthy process and many refugees never obtain employment. Local integration was the preferred solution after adoption of the new refugee law. In 2004 there were 210,000 internally displaced persons in Cyprus. In 2002 an Amendment of the Citizenship Law allowed persons born after 16 August 1960 by a Cypriot mother and a foreign father to automatically acquire Cyprian citizenship. Previously, only children born of a Cypriot father were automatically permitted to attain citizenship.

In 2005, the net migration rate was estimated as. 43 migrants per 1,000 population, down from 8.4, 15 years earlier.

ETHNIC GROUPS

Following the 16thcentury Turkish conquest, Cyprus received a substantial permanent influx of Ottoman Turks. Many soldiers became owners of feudal estates, and there was immigration from Anatolia and Rumelia. There was virtually no intermarriage; each community preserved its own religion, language, dress, and other national characteristics, and major cities and towns had their Greek and Turkish quarters. The 1974 war had the effect of almost completely segregating the two communities.

Estimates in 2001 indicated that about 77% of the population were Greek and about 18% were Turkish. The remainder of the population included Lebanese Maronites, Armenians, British, and others.

LANGUAGES

After independence in 1960, Greek and Turkish became the official languages. Since 1974, Greek has been the language of the south and Turkish the language of the north. English is also used extensively.

RELIGIONS

According to a 2004 report, about 96% of the government controlled area of Cyprus was Greek Orthodox. Nearly 99% of the Turkish Cypriots were Muslim. Other faiths included Maronite, Armenian Orthodox, Roman Catholic, and Protestants. Religion holds a significantly more prominent place in Greek Cypriot society than in Turkish Cypriot society, with correspondingly greater cultural and political influence. Under the Cyprus ethnarch Archbishop Makarios III, who was president of Cyprus from 1960 until his death in 1977, the church was the chief instrument of Greek Cypriot nationalism. Makarios' successor as ethnarch, Archbishop Chrysostomos, elected for life, also has played an active role in Greek Cypriot political affairs.

The constitution of the Republic of Cyprus provides for freedom of religion and this right is generally respected in practice. The constitution also specifies that the Greek Orthodox Church of Cyprus has a right to regulate and administer its own internal affairs. The Vakf, the Muslim institution that serves the Turkish Cypriots, is given the same right.

The independence of the Church of Cyprus was recognized by the Council of Ephesus in ad 431 and confirmed by Emperor Zeno in 478. The Church of Cyprus is one of the oldest constituent bodies of the Holy Orthodox Eastern Church, being senior by centuries to the Orthodox Church of Greece, and junior only to the four original patriarchates of Constantinople, Alexandria, Antioch, and Jerusalem. Virtually all Turkish Cypriots are Sunni Muslims of the Hanafisect.

TRANSPORTATION

Internal transport is exclusively by road. In 2003, there were 11,760 km (7,315 mi) of roads in the Greek area and 2,350 km (1,460 mi) of roads in the Turkish area. In the Turkish area, 1,370 km (851 mi) of the roads were paved, compared with 7,403 km (4,605 mi) in the Greek area. In addition to numerous taxicabs, the chief towns are served by private buses, whose services are regulated by the Road Motor Transport Board. In 2003 there were 287,622 licensed private motor cars and 120,789 commercial vehicles.

Although off the main world shipping routes, Cyprus is served by passenger and cargo shipping lines. Famagusta on the east coast was the main port, but it and the ports of Kyrenia and Karavostasi were closed to national shipping after the Turkish invasion in 1974. (The port of Famagusta was reopened by the Turkish Cypriots in 1978.) The Limassol and Larnaca ports have been modernized and are now considered good deepwater harbors. Other ports include Moni, VasilikoZiyyi, and Paphos. In 2005, there were 972 ships totaling 22,016,374 gross registered tonnage (GRT) comprised the merchant fleet, one of the world's leaders in terms of deadweight tonnage (DWT), at 35,760,004. About two-thirds of the trade passed through Limassol. There are no inland waterways.

There were an estimated 17 airports in 2004. As of 2005 a total of 13 had paved runways, and there were 10 heliports. The civil airport at Nicosia was used by many international airlines until the 1974 war, after which nearly all flights were diverted to the new international airport built at Larnaca. In 1983, a new international airport opened in Paphos. In 2001, a total of 1,503,400 passengers were carried on scheduled domestic and international flights. Cyprus Airways has services to Middle Eastern countries, but there is no regular internal air service.

HISTORY

Numerous Stone Age settlements excavated in Cyprus indicate that as early as 4000 bc a distinctive civilization existed on the island. Living in circular huts, this Neolithic people produced decorated pottery of great individuality, and used vessels and tools ground from the close-grained rocks of the Troodos Mountains. Cyprus was famous in the ancient world for its copper, which, from about 2200 bc, was used throughout the Aegean in the making of bronze. The island is believed either to have derived its name from or to have given it to this mineral through the Greek word kypros copper. Although celebrated also for its cult of Aphrodite (many temples devoted to the goddess were built in Paphos on the southwest coast), Cyprus was at first only a far outpost of the Hellenic world.

Greek colonizers came there in sizable numbers in 1400 bc, and were followed soon afterward by Phoenician settlers. About 560 bc, Cyprus was conquered by Egypt. Coveted by each rising civilization, it was taken in turn by Persia, Alexander the Great, Egypt again, Rome, and the Byzantine Empire. Its Christian history began with the visits of Paul, accompanied first (as described in the Acts of the Apostles) by Barnabas, and later by the apostle Mark. For several centuries after ad 632, Cyprus underwent a series of Arab invasions. The island was wrested from its Byzantine ruler Isaac Comnenus in 1191 by Richard I (the LionHearted) during the Third Crusade. Sold by the English king to the Knights Templar, it was transferred by that order to settle debts. Guy de Lusignan, the ruler of Jerusalem, received control of Cyprus. It was under his dynasty that the island experienced a brilliant period in its history, lasting some 300 years. In the period from 1468 until 1489, Cyprus was linked to Venice through a marriage. Cyprus fell to the Turks in 1571, and was thus part of the Ottoman Empire until 1878.

The administration of Cyprus by the United Kingdom began in 1878 at a convention with Turkey initiated by the British prime minister, Benjamin Disraeli, at the Congress of Berlin. He sought to establish Cyprus as a defensive base against further Russian aggression in the Middle East. When Turkey entered World War I, Cyprus was annexed to the British crown. It was declared a crown colony and placed under a governor in 1925.

For centuries under Ottoman and British rule, Greek Cypriots had regarded Greece as their mother country and had sought union (enosis ) with it as Greek nationals. In 1931, enosis agitation, long held in check, broke into violence. The government house was burned amid widespread disturbances, and the British colonial administration applied severe repressive measures, including the deportation of clerical leaders. While British occupation was restrictive to many Cypriots, it also brought many benefits. The economy prospered, an efficient civil service was established, hospitals and roads were built, and investment in modernization was made.

Agitation for enosis was dormant until the close of World War II, when it recommenced, and demands that the United Kingdom cede the island to Greece were renewed. The National Organization of Cypriot Fighters (Ethniki Organosis KyrprionEOKA), led by retired Greek army officer Col. George Grivas and Michael Mouskus (who was Archbishop Makarios III), began a campaign of terrorism in 1955. The campaign was a series of carefully planned military attacks against British police, military, and other government institutions in Limassol, Larnaca, Famagusta, and Nicosia. The results of these riots were the resignation of many Greek Cypriots from the police force and the replacement of the force by Turkish Cypriots. Upward of 2,000 casualties were recorded.

Problems were escalating rapidly in the island, and in 1957, because of tensions between the Greeks and the Turks, the Turkish Cypriots formed the TMT (Turk Mukavemet Teskilati) to fight the EOKA. The TMT was formed to protect Turkish Cypriots' interest and identity, should enosis occur. The TMT felt the only solution was to divide the island, with the Greek Cypriots living on one side and the Turkish Cypriots on the other.

The unity of NATO was endangered by the opposing positions taken on the Cyprus question by Greece and Turkey, and efforts by NATO members to mediate the dispute proved unsuccessful. Against this background, the prime ministers of Greece and Turkey met in Zürich, Switzerland, early in 1959 in a further attempt to reach a settlement. Unexpectedly, the Greek Cypriots set aside their demands for enosis and accepted instead proposals for an independent republic, with representation of both the Greek and Turkish Cypriot communities (including a Greek Cypriot president and a Turkish Cypriot vice president) guaranteed. A formula for the island's future, approved by the governments of the United Kingdom, Greece, and Turkey, also received the blessing of the Cyprus ethnarch, Archbishop Makarios III, who returned in triumph to the island from which he had been deported by the British government on charges of complicity with terrorism.

Besides determining Cyprus's legislative institutions, the Zürich settlement provided for a number of instruments defining the island's future international status. Enclaves on Cyprus were set aside for the continuation of British military installations in an effort to restore constitutional order. The United Kingdom, Greece, and Turkey, the guarantor powers, had the right to act together or singly to prevent either enosis or partition. In addition, provision was made for Greek, Turkish, and Cypriot forces to be stationed together at a tripartite headquarters. By 1 July 1960, agreement was reached on all outstanding differences. Independence was officially declared and the constitution was made effective on 16 August 1960. The first general elections for the House of Representatives were held 31 July of that same year. A month later the island became a member of the United Nations (UN), in the spring a member of the Commonwealth on Nations. In December 1961, Cyprus became an official member of the International Monetary Fund and the World Bank.

No amount of independence, however, would ensure peace between the Turks and Greeks living in Cyprus. From the outset, the two Cypriot communities differed on how the Zürich settlement would be implemented, and how much autonomy the Turkish minority would enjoy. In December 1963, Turkish Cypriots, protesting a proposed constitutional change that would have strengthened the political power of the Greek Cypriot majority, clashed with Greek Cypriots and police. When fighting continued, the Cyprus government appealed to the UN Security Council. On 4 March 1964, the Security Council voted to send in troops. Turkey and Cyprus agreed on 10 August 1964 to accept a UN Security Council call for a ceasefire, but on 22 December, fighting again erupted in Nicosia and spread to other parts of the island. The UN General Assembly passed a resolution in December 1965 calling on all states to "respect the sovereignty, unity, independence, and territorial integrity of the Republic of Cyprus, and to refrain from any intervention directed against it." The General Assembly requested the Security Council to continue UN mediation.

Violent clashes between Greek and Turkish Cypriots nearly precipitated war between Greece and Turkey in 1967, but the situation was stabilized by mutual reduction of their armed contingents on Cyprus. By January 1970, the UN peacekeeping force numbered some 3,500 troops; both Greek Cypriot National Guard and Turkish Cypriot militia also maintained sizable national guards of their own. Although talks continued between the two communities, no agreement was reached on the two basic points of dispute. Politically, the Turks wanted full autonomy, while the Greeks demanded continued unitary majority rule. Territorially, the Turks wanted Cyprus divided into Greek- and Turkish-controlled zones, a position that was likewise at odds with the Greek Cypriot concept of a unitary state.

Meanwhile, tensions had developed between Makarios, who continued to oppose enosis, and the remnants of the military junta that had ruled Greece since 1967. On 2 July 1974, Makarios accused the Greek government of seeking his overthrow and called for the immediate withdrawal of 650 Greek officers in the Cypriot National Guard. Less than two weeks later, the National Guard toppled the Makarios government, forcing the Archbishop into exile and installing Nikos Sampson as president. To counter the threat of Greek control over Cyprus, the Turks, supported by Turkish Cypriots, insisted on some form of geographical separation between the Greeks and the Turks living on the island. Turkish Cypriot leaders asked Turkey to intervene militarily. On 20 July 1974 Turkish troops landed on the island, and the resulting conflict ended in the deaths of thousands of Greek and Turkish Cypriots. Within two days the UN forces had been augmented and a UN Security Council ceasefire resolution took effect. This action eventually led to the establishment of a corridor, known as the UN Buffer Zone or the "green line," separating the two groups. Sampson resigned as president on 23 July and Glafkos Clerides became acting president in accordance with the Cyprus constitution.

However, Turkey did not withdraw its forces, and while peace talks were conducted in Geneva, Switzerland, the Turkish military buildup continued. When talks broke down, a fullscale Turkish offensive began, and by mid-August, when a second ceasefire was accepted, Turkish forces controlled about 38% of the island. Makarios returned to Cyprus and resumed the presidency in December. On 13 February 1975, in an action considered illegal by the Cyprus government, the Turkishheld area proclaimed itself the Turkish Cypriot Federated State; Rauf Denktash, a former vice president of Cyprus and the president of the interim Autonomous Turkish Cypriot Administration (formed after the 1967 crisis), became president. A Security Council resolution on 12 March regretted the proclamation of the new state and called for the resumption of talks. The government of the Republic of Cyprus continued to be recognized as the legally constituted authority by the UN and by all countries except Turkey, although its effective power extended only to the area under Greek Cypriot control.

After the de facto partition, Greek and Turkish Cypriot leaders met several times under UN auspices to explore a possible solution to the Cyprus problem. President Makarios conferred with Denktash in Nicosia early in 1977. When Makarios died of a heart attack on 3 August, Spyros Kyprianou became president, and he also held talks with Denktash in May 1979. Further negotiations between leaders of the two communities were held in August 1980, but again no agreement was reached.

On 15 November 1983, the Turkish sector proclaimed itself an independent state, the Turkish Republic of Northern Cyprus (TRNC). Denktash was named president, but only Turkey recognizes the TRNC. The UN, which condemned the TRNC's declaration of independence, tried repeatedly to end the partition between north and south, but both parts rejected all proposals. The major stumbling block was the south's demand that the estimated 25,000 Turkish troops in the north be withdrawn before negotiations began and the north's refusal to remove the troops before a final solution was reached. In February 1988, George Vassiliou was elected president of Cyprus, and he stated that he would call for reunification talks with the Turkish Cypriots.

In 1991, the UN Security Council called on both sides to complete an overall framework agreement. Despite speculation in 1994 that UN peacekeeping forces might be withdrawn if some progress was not registered, the mandate was renewed. In 1993 voting, Glafcos Clerides, a conservative, replaced rightwing George Vassiliou as president. Clerides won reelection to a second five-year term in 1998.

August 1996 saw the most violent border clashes since the 1974 partition. In the space of one week, protestors broke through GreekCypriot security lines and clashed with TurkishCypriot and Turkish military forces in the buffer zone lying between the two divided parts of the island. Two GreekCypriots were killed and over 50 were injured by the Turkish military. The killing of the protestors, who were unarmed, brought general expressions of condemnation from the West but was supported by the Turkish government as acts of self-defense.

In November 2002, UN secretary general Kofi-Annan presented a comprehensive peace plan for Cyprus, envisaging a Swissstyle confederation of two equal component states, presided over by a rotating presidency. To go into effect, the plan required a referendum on both sides of the island. In December 2002, the European Union (EU) issued a formal invitation to Cyprus to join, stipulating that by 28 February 2003, the two communities agree to the UN peace plan for reunification. Without reunification, only the Greek Cypriot part of the island would gain membership.

In late 2002 and early 2003, thousands of Turkish Cypriots held rallies to call for the island's reunification and Denktash's resignation. Denktash was accused of blocking progress on the November 2002 UN peace plan. Denktash threatened to stand down as leader rather than sign the UN plan. Contributing to the failed peace negotiations was the election of hardline nationalist Tassos Papadopoulos as president of Cyprus on 16 February 2003; he took office 1 March 2003. In a surprise first-round win, Papadopoulos soundly defeated Clerides, with 51.5% of the vote to 38.8%.

Talks on Annan's reunification plan broke down on 11 March 2003, and Annan declared the island's two communities might not get a similar chance for peace for years. The Republic of Cyprus, remaining divided, signed the Accession Treaty for the EU on 16 April 2003, and joined the EU in May 2004.

In April 2005 Rauf Denktash retired as president of the Turkish area. Mehmet Ali Talatwho favors reunificationwas elected in his place.

GOVERNMENT

The 1960 constitution of the Republic of Cyprus respects the two existing ethnic communities, Greek and Turkish, by providing specifically for representation from each community in the government. The president must be Greek and the vice president Turkish. Under the constitution, these officers are elected for five years by universal suffrage by the Greek and Turkish communities, respectively; each has the right of veto over legislation and over certain decisions of the Council of Ministers. (The Council of Ministers is made up of seven Greek and three Turkish ministers, designated by the president and vice president jointly.) Legislative authority (as of 20 June 1985) is vested in the 80-member House of Representatives, elected by the two chief communities in the proportion of 56 Greek and 24 Turkish. In January 1964, following the outbreak of fighting, Turkish representatives withdrew from the House, and temporary constitutional provisions for administering the country were put into effect.

Archbishop Makarios, who became president of Cyprus in 1960, was reelected in 1968 and 1973. Following his death in 1977, the leader of the House of Representatives, Spyros Kyprianou, became president; he was elected to two five-year terms in 1978 and 1983. (George Vassiliou, an independent, succeeded him in 1988; Glafcos Clerides was elected in 1993 and reelected in 1998. Tassos Papadopoulos was elected president in 2003.) Rauf Denktash was elected vice president in 1973, but the post has remained effectively vacant since the 1974 war, in the absence of Turkish participation. Denktash was president of the Turkish area from 19752005.

On 13 February 1975, subsequent to the Turkish invasion of Cyprus, the Turkish Cypriot Federated State (TCFS) was proclaimed in the northern part of the island, and Denktash became its president. A draft constitution, approved by the state's Constituent Assembly on 25 April, was ratified by the Turkish Cypriot community in a referendum on 8 June. Establishment of the TCFS was described by Denktash as "not a unilateral declaration of independence" but a preparation for the establishment of a federal system. Denktash was elected president of the TCFS in 1976 and again in 1981; elections to a unicameral legislature of 40 seats were held those same years. On 15 November 1983, the TCFS proclaimed itself the Turkish Republic of Northern Cyprus (TRNC), separate and independent from the Republic of Cyprus. In June 1985, TRNC voters approved a new constitution that embodied most of the old constitution's articles. The new constitution, however, increased the size of the Legislative Assembly to 50 seats. In elections held in June 1985, Rauf Denktash won reelection to a five-year term as president with more than 70% of the vote. Denktash was reelected in 1990, 1995, and 2000. In April 2005, Rauf Denktash retired, and Mehmet Ali Talatwho favors reunificationwas elected president of the TRNC.

POLITICAL PARTIES

The four principal political parties of the Greek community in 2001 were the Progressive Party of the Working People (Anorthotikon Komma Ergazomenou LaouAKEL), a proCommunist group; the rightwing Democratic Rally (Demokratikos SynagermosDISY); the center right Democratic Party (Demokratiko KommaDIKO); and the Socialist Party, or Social Democrats Movement (Kinima SosialdimokratonKISOS, formerly Eniea Demokratiki Enosi Kyprou or EDEK). The Orthodox Church of Cyprus also exercises some political power within the island.

Party representation in the House and percentages of the popular vote won by the parties in the elections of 27 May 2001 were AKEL, 20 seats (34.7%); DISY, 19 seats (34%); DIKO, 9 seats (14.8%); KISOS, 4 seats (6.5%); and other parties, 4 seats (9.9%).

The Turkish Republic of Northern Cyprus held elections for a 50-seat Legislative Assembly on 14 December 2003. The Republican Turkish Party (CTP) won 19 seats (35.8% of the vote); the National Unity Party (UBP), 18 seats (32.3%); Peace and Democratic Movement, 6 seats (13.4%), and the Democratic Party (DP), 7 seats (12.3%).

LOCAL GOVERNMENT

There are six administrative districts in the island: Kyrenia, Limassol, Nicosia, Paphos, and Famagusta. The Turkish areas include Kyrenia, and several small parts of Larnaca, Nicosia, and Famagusta. Elected municipal corporations manage chief towns and larger villages. The smaller villages are managed by commissions comprising a headman (mukhtar ) and elders (azas ).

The 1960 constitution provided for two communal chambers, these bodies having wide authority within the two main ethnic groups, including the power to draft laws, impose taxes, and determine all religious, educational, and cultural questions. The Greek Communal Chamber, however, was abolished in 1965, and its functions reverted to the Ministry of Education (later renamed the Ministry of Education and Culture). The Turkish Communal Chamber embraces municipalities that are exclusively Turkish. Originally the duties of the Turkish Communal Chamber were to supervise Turkish cooperatives, sports organizations, and charitable institutions. But since the late 1960s, the Turkish communities have maintained strict administrative control of their own areas and have insisted on civil autonomy.

JUDICIAL SYSTEM

In the Greek Cypriot area, the Supreme Court is the final appellate court and has final authority in constitutional and administrative cases. It deals with appeals from assize and district courts, as well as from decisions by its own judges, acting singly in certain matters. There are six district courts and six assize courts. The Supreme Council of Judicature appoints judges to the district and assize courts.

In the Turkishheld area, a Supreme Court acts as final appellate court, with powers similar to those of the Supreme Court in the Greek Cypriot area. In addition to district and assize courts, there are two Turkish communal courts as well as a communal appeals court.

The Cypriot legal system incorporates a number of elements of the British tradition including the presumption of innocence, due process protections, and the right to appeal. Both parts of Cyprus provide for fair public trials. Both in theory and in practice, the judiciary is independent of executive or military control.

ARMED FORCES

As of 2005, Cyprus' armed forces were divided between the Greek and Turkish dominated areas. The armed forces of the Greek side consisted of a 10,000 member national guard, that included maritime and aviation wings, and which was supported by 60,000 reservists and a 750 person paramilitary force. The National Guard was outfitted with 154 main battle tanks, 139 reconnaissance vehicles, 43 armored infantry fighting vehicles, 310 armored personnel carriers, and over 562 artillery pieces. The maritime wing operated 15 patrol/coastal vessels, while the aviation wing operated 16 attack helicopters, 2 trainers, and 1 transport aircraft. The paramilitary force consisted of more than 500 land-based armed police and a 250-person maritime police force. About 1,150 troops and advisors from Greece were stationed in the south in 2005 in addition to small contingents from eight other countries. Military spending in the Greek Cypriot region in 2005 amounted to $280 million. In the Turkish region, there was an estimated army of 5,000 active personnel, supported by a force of 26,000 reservists, a paramilitary force of around 150, and a Turkish Army force of about 36,000. With the exception of 73 120-mm mortars, operated by the local 5,000 man army, virtually all other equipment is operated by the Turkish Army force. This includes 8 main battle tanks, 441 training tanks, 627 armored personnel carriers, and 102 towed and 90 self-propelled artillery pieces.

INTERNATIONAL COOPERATION

Cyprus was admitted to the United Nations on 20 September 1960 and is a member of ECE and several nonregional specialized agencies. Cyprus became a member of the European Union in 2004. The nation is also a member of the Commonwealth of Nations, the Council of Europe, the European Bank for Reconstruction and Development, the Central European Initiative, and the WTO. Cyprus belongs to the Alliance of Small Island States (AOSIS) and the OSCE and is an observer in the OAS.

Cyprus is part of the Nonaligned Movement, the Australia Group, and the Organization for the Prohibition of Chemical Weapons. It also belongs to the Nuclear Suppliers Group. The United Nations Peacekeeping Force in Cyprus (UNFICYP) was established in 1964 to serve in peacekeeping efforts between the Greek Cypriots and the Turkish Cypriots; 10 nations are involved in the force. In environmental cooperation, Cyprus is part of the Basel Convention, Conventions on Biological Diversity and Air Pollution, CITES, the London Convention, the Kyoto Protocol, the Montréal Protocol, MARPOL, the Nuclear Test Ban Treaty, and the UN Conventions on the Law of the Sea, Climate Change, and Desertification.

ECONOMY

Historically an agricultural country with few natural resources, Cyprus has been shifting from subsistence farming to light manufacturing, and a service dominated economy. Farm mechanism has reached an advanced state, and a hopefully long-lasting solution to an erratic water supply has been achieved with the completion of a second desalination plant in 2001 that allowed the lifting of restrictions on water usage. Large trade deficits have been partially offset by tourism and remittances from Cypriots working abroad. The Greek Cypriot economy has established itself as a business and service center for enterprises engaged in shipping, banking, and commerce. Cyprus is now classified by the World Bank as a high-income country, and in 2004 it became a full member of the EU.

The 1974 coup and the Turkish armed intervention badly disrupted the economy. Physical destruction and the displacement of about a third of the population reduced the output of the manufacturing, agricultural, and service sectors. The lands occupied by Turkish forces accounted for about 70% of the country's prewar economic output. In general, the Greek Cypriot zone recovered much more quickly and successfully than the Turkishheld region, which was burdened with the weaknesses of Turkey's economy as well as its own. Scarcity of capital and skilled labor, the lack of trade and diplomatic ties to the outside world, and the consequent shortage of development aid have aggravated the problems of northern Cyprus. In the south, on the other hand, tourism has exceeded prewar levels, foreign assistance has been readily available, and the business community has benefited from the transfer to Cyprus of the Middle Eastern operations of multinational firms driven from Beirut by the Lebanese civil war.

The Republic of Cyprus saw strong economic growth throughout the 1990s. In 1992, the economy grew by over 8%. In 1995 and 1996, growth was more modest, but still robust, registering 6.6% in 1996. Growth slumped in 1997 to 3%, which was followed by three years of recovery, with growth rates of 5%, 4.5%, and 5.1% 1998 to 2000. The global slowdown of 2001 impacted Cyprus' vulnerable economy, which posted a 2.6% decline. Although growth returned in 2002, it was at an anemic 2% level due mainly to the sharp decline in tourism following the 11 September 2001 terrorist attacks on the United States. Inflation and unemployment continued at low levels. From 1992 to 2001, the weighted annual rate of inflation was 2.48%, and had fallen to 1.9% (consumer prices) in 2001, according to CIA estimates. The unemployment level was averaging below 2% before 1996, and since has averaged a little over 3%. Unemployment was at 3% in 2001, and was an estimated 3% for 2002, according to official government statistics.

In the North, however, the economy continued to grow more slowly, at less than 1% a year accompanied by persistently high inflation. In 1995, growth was estimated at 0.5% and inflation at 215%. In 2000, according to CIA estimates, growth was. 8% and inflation, based on consumer prices, was 53.2%. Unemployment in the Turkishheld north, estimated at 1.5% in 1995, was at an estimated 5.6% in 1999, the latest available year. Nominal per capita income in the south is about three times that of the north, although in purchasing power parity (PPP) terms, as estimated by the CIA, the difference is somewhat narrower.

Economic growth was consistent, but not spectacular, hovering around 2% in 2002 and 2003, and climbing slightly, to 3.7%, in 2004. The main drivers of growth were the sectors of financial intermediation (12.4%), transport, storage and communication (8.9%), construction (5.2%), and wholesale and retail trade (4.8%). The tourist industry registered a setback despite a slight increase of incoming tourists. Inflation and unemployment are not a matter of concern for the country, floating around 2.5% and 3.5% respectively. These indicators vary however if the Republic of Cyprus and North Cyprus are analyzed separately. North Cyprus performed more poorly on all of the indicators presented above, and is to a large extent dependent on transfers from the Turkish government. Its main domestic sources of revenue were the tourist industry and the education sector.

INCOME

The US Central Intelligence Agency (CIA) reports that in 2005 the Greek Cypriot area's gross domestic product (GDP) was estimated at $16.82 billion and the Turkish Cypriot area's GDP was estimated at $4.54 billion. The per capita GDP was estimated at $21,600 in the Greek Cypriot area in 2005 and at $7,135 in the Turkish Cypriot area in 2004. The annual growth rate of GDP was estimated at 3.8% in the Greek Cypriot area in 2005, and at 15.4% in the Turkish Cypriot area in 2004. The CIA defines GDP as the value of all final goods and services produced within a nation in a given year and computed on the basis of purchasing power parity (PPP) rather than value as measured on the basis of the rate of exchange. It was estimated that agriculture accounted for 3.8% of GDP, industry 20%, and services 76.2% in the Greek Cypriot area in 2005; agriculture accounted for 10.6% of GDP, industry 20.5% and services 68.9% in the Turkish Cypriot area in 2003. Over the 200306 period, the Turkish region received some $700 million in grants and loans from Turkey, which are usually forgiven.

LABOR

In 2005, the economically active population totaled an estimated 370,000 in the Greek Cypriot area and 95,025 in the northern Turkish Cypriot area. Of all employees in the Greek Cypriot area in 2004, an estimated 54.4% were employed in the services sector, 38.2% in industry, and 7.4% in agriculture. In the Turkish Cypriot area, an estimated 56.5% were in the services sector, 29% in industry, and 14.5% in agriculture. The unemployment rate in the Greek Cypriot area was estimated at 3.5% in 2005, while in the Turkish area it amounted to an estimated 5.6% in 2004.

In both the Greek and Turkish parts of Cyprus, all workers have the right to join or form unions without prior authorization, excluding the military and police forces. On the Greek side, more than 70% of the Greek Cypriot workforce belonged to independent unions in 2005. On the Turkish portion, about 60 to 70% of semi-public workers, nearly all publicsector workers and 1% of private sector workers are unionized. In both parts of Cyprus, collective bargaining is legal but the bargaining agreements are not legally enforceable.

There is a legislated minimum wage in the Greek Cypriot community; because of inflation this figure is adjusted twice yearly. In 2005 it was $724 per month for practical nurses, shop and nursery assistants, clerks and hairdressers, rising to $770 per month after six months employment. In the same year, the Turkish Cypriot minimum wage was $447 per month. These wages are insufficient to support a wage earner and family, but most workers earn significantly more than this. The minimum working age in both communities is 16, with apprentice programs allowing 15 year olds to work in the Turkish Cypriot community. In the Greek controlled area, the legal workweek is 48 hours, including overtime. In the private sector, white-collar employees worked 39 hours, with 38 hours for blue-collar workers. Fewer hours were worked in the summer months. In the Turkish Cypriot community, the workweek is 38 hours in the winter and 36 hours in the summer. Health and safety standards in the workplace continued to improve.

AGRICULTURE

Agricultural methods are adapted to the island's hot and dry summers and generally limited water supply. Spring and early summer growth is dependent on moisture stored in the soil from the winter rains, but summer cultivation is dependent on irrigation. About 12.2% of the total land area is arable.

Most farmers raise a variety of subsistence crops, ranging from grains and vegetables to fruits. Since 1960 there has been increased production of citrus fruits and potatoes. These two commodities, along with grapes, kiwi, and avocados are grown both for the domestic market and as exports to EU nations. Principal crops in 2004 (in tons) included barley, 94,000; potatoes, 116,000; grapes, 80,860; grapefruit, 30,000; oranges, 35,000; lemons, 25,000, and wheat, 13,000. Tomatoes, carrots, olives, and other fruits and vegetables are also grown. The areas that have been Turkishheld since 1974 include much of Cyprus' most fertile land; citrus fruits are a major export.

The Agricultural Research Institute, through experiments with solarheated greenhouses, soil fertility, water usage optimization, and introduction of new varieties of grain, attempts to improve the efficiency of Cypriot agriculture. Agricultural products accounted for 24% of exports in 2004.

ANIMAL HUSBANDRY

Grazing land for livestock covers about 1,100 hectares (2,700 acres). Animal husbandry contributes about one-third of total agricultural production. Output of pork, poultry, and eggs meets domestic demand, but beef and mutton are imported. Sheep and goats, which feed upon rough grazing land unsuitable for cultivation, provide most of the milk products. In 2004, sheep numbered about 295,000; hogs, 491,800; and goats, 460,000.

Indigenous cattle, kept primarily as draft animals, are decreasing with the advance of farm mechanization. There is no indigenous breed of dairy cattle, but near main towns, dairy stock, mostly shorthorns, are kept under stallfed conditions, and Friesian cattle have been imported from the Netherlands and the United Kingdom. Cattle numbered about 58,500 in 2004.

Livestock products in 2004 included 53,000 tons of pork, 35,000 tons of poultry meat, 108,248 tons of milk, and 12,300 tons of eggs.

FISHING

Year-round fishing is carried on mostly in coastal waters not more than 3.2 km (2 mi) from shore. The fish in Cyprus waters are small from the lack of nutrient salts, and the catches are meager. The 2003 catch was 3,612 tons. Fish exports in 2003 were valued at $4.7 million, or 6.8% of agricultural exports. There is no deepsea fishing. Sponges of good quality are taken, mostly by licensed fishermen, from the Greek Dodecanese Islands.

FORESTRY

About 172,000 hectares (425,000 acres) are forested; 137,800 hectares (340,500 acres) are reserves managed by the Forest Department, the remainder being natural growths of poor scrub used by village communities as fuel and as grazing grounds. Besides furnishing commercial timber, the forests provide protective cover for water catchment areas and prevent soil erosion. Their value is also scenic, numerous holiday resorts being situated in the forest reserves. Most numerous by far among forest trees is the Aleppo pine. The stone pine is found on the highest slopes of the Troodos Massif; the cedar, once a flourishing tree, has become a rarity. In the lowlands, eucalyptus and other exotic hardwoods have been introduced. Other important local species include cypress, plane, alder, and golden oak. The demand for timber during World War I resulted in some overcutting, and in 1956 large fires further reduced forests, particularly in Paphos, where 211,000 cu m (6 million cu ft) of standing timber were destroyed. To offset these losses, all felling of fresh trees for timber was stopped and systematic reforestation begun. The timber cut decreased from 152,415 cu m (5.4 million cu ft) in 1977 to 12,000 cu m (42.3 million cu ft) in 2003 (about 90% coniferous). Most of Cyprus' timber requirements must be met by imports. In 2003, imports of forestry products exceeded exports by $93.3 million.

MINING

In 2004, the mineral industry of Cyprus was dominated by the production of bentonite, cement, sand and gravel, and stone. Mineral production however, accounts for only a small portion of the country's gross domestic product (GDP). In 2004, mineral production accounted for approximately 0.3% of GDP, estimated that year at $14.5 billion. In addition, production of Cyprus's historically important export mineralsasbestos, celestite, chromite, copper, and iron pyritehas stopped. Cyprus was also a source of the mineral pigment umber. In 2004 preliminary umber production was put at 5,205 metric tons. Ownership and control of minerals and quarry materials were vested in the government, which may grant prospecting permits, mining leases, and quarrying licenses. Royalties on extracted mineral commodities ranged from 15%.

Preliminary production totals of the following products in 2004 were: hydraulic cement,1,689,000 metric tons; 155,717 metric tons of bentonite; 11.6 million metric tons of sand and gravel; 255,000 metric tons of crude gypsum; 2.29 million tons of marl (for cement production), and 1.2 million tons of crushed limestone (Havara). Other mine and quarry products for 2004 were common clays, hydrated lime, marble, building stone, and sulfur.

ENERGY AND POWER

Except where stated, the information that follows is for the Greek portion of the island. All of Cyprus' electricity is produced by conventional thermal means, namely through the burning of fossil fuels. Its production, transmission and distribution are controlled by a semi-government corporation known as the Electricity Authority of Cyprus (EAC), which operates three generating stations: DhekeliaB; Moni; and Vasilikos, a new facility that began operation in 2000. A fourth facility, DhekeliaA, was decommissioned in January 1994 and was demolished in 2002. In 2002, total electric generating capacity stood at 0.998 million kW. 2001. In 2003, the southern half of Cyprus produced 4 billion kWh. However, it is not known how much power, if any, was produced by the northern portion or TRNC. Consumption of electricity by the southern and northern portions totaled 3.663 billion kWh and 0.602 billion kWh, respectively.

Cyprus must also import virtually all the oil products it consumes. In 2002, consumption of all petroleum products totaled 50,890 barrels per day, with imports totaling 50,880 barrels per day. The island does produce a miniscule amount of oil, estimated at 300 barrels per day for 2004. Cyprus has no known coal reserves and therefore must import whatever coal it uses. In 2002, imports of hard coal totaled 73,000 tons, of which 58,000 tons was consumed and 14,000 tons stockpiled.

INDUSTRY

Industries are numerous and small in scale, 95% of them employing fewer than 10 workers. Working owners make up a large part of the industrial labor force. Manufacturing, which accounts for about 10.6% of GDP, and employs 9.1% of the labor force, is dominated by small enterprises. The manufacturing sector of industrial production has declined in absolute value over 10% from its peak in 1992, reflecting declines in the traditional leaders, textiles and food processing. Textiles, the leading manufacturing industry since 1974, has declined in output value about 50% since a peak reached in 1988, whereas food processing (food, beverages, and cigarettes) has declined about 15% from a peak reached in 1992. The manufacture of nonmetallic mineral products has also declined, about 7% from peak levels in 199495. Growth has occurred among nontraditional manufactures in the areas of chemicals, petroleum, rubber, and plastics, up over 25% in the decade.

Other industrial sectors have increased strongly: mining and quarrying is up nearly 60% since 1990 and the production of electricity, gas, and water treatment, increased nearly 80%. According to CIA estimates, overall industrial production grew 2.2% in 1999 in the Greek Cypriot area, but declined an estimated 0.3% in the Turkish area. The leading products are textiles, shoes, cement mosaic tiles, and cigarettes. Major plants include modern flour mills, tiretreading factories, knitting mills, preprocessing facilities, and a petroleum refinery. Furniture and carts are also manufactured. Nine industrial estates have been established. In both the Greek and Turkish areas of Cyprus, industry accounts for about 20% of GDP and employs about 22% of the labor force.

The contribution of the industry to the GDP was fairly the same in both parts of Cyprus20% in the Republic of Cyprus (2005), and 20.5% in North Cyprus (2003). The makeup of the labor force showed some discrepancies however: in the Republic of Cyprus, 38.2% of the work force was employed by the industry, as opposed to 29% in North Cyprus in 2004. This is a clear indicator of the higher productivity levels achieved in the south.

SCIENCE AND TECHNOLOGY

The Cyprus Research Center promotes research principally in the social sciences and in history, ethnography, and philology. In addition, Cyprus has three universities and several colleges offering degrees in basic and applied sciences. In 2003, total expenditures for research and development (R&D) amounted to c£22.1 million. The R&D spending breakdown for 2002 (the latest year for which this data was available; R&D spending that year totaled c£19.441 million) saw government sources account for 61.7%. Business that year accounted for 17.4% of R&D spending, while educational, private nonprofit and foreign sources accounted for 3.8%, 2% and 15.1%, respectively. In 2002, there were 269 technicians and 569 researchers per million people engaged in R&D.

DOMESTIC TRADE

A flourishing cooperative movement provides facilities for marketing agricultural products. There are more than 500 Greek cooperative societies, with some 100,000 members. Many towns and villages have cooperative stores; the towns also have small independent shops, general stores, and bazaars. The nation is not self-sufficient and relies on imports for a number of food products and consumer goods. Since 1990, at least 12 US franchises have been established throughout the country.

Government price controls have been virtually eliminated as the nation has realigned its economic policies to be acceptable to the European Union. The result has been a more open market with greater competition.

Business hours are from 8 am to 1 pm, and 2:30 to 5:30 pm in the winter and from 7:30 am to 1 pm and 4 to 6:30 pm in the summer. Shops are open only in the morning on Wednesday and Saturday. Normal banking hours are from 8:30 am to noon, Monday through Saturday. Advertising is mainly through newspapers and television. Direct marketing/telemarketing has also been used.

As a result of the island's division in 1974, there is no trade between the two communities across the UN buffer zone.

FOREIGN TRADE

With limited natural resources, Cyprus is dependent on other countries for many of its needs. Other than some agricultural commodities, it has few surpluses, and the balance of trade has steadily grown more unfavorable.

The tobacco industry in Cyprus provides the export market with the largest portion of revenues (30%), while medicinal and pharmaceutical products take care of another large proportion (11%). Other exports include passenger motor vehicles (6.3%), vegetables (5.7%), apparel (4.5%), and fruit (2.5%).

Lack of international recognition for the Turkish Cypriots severely hampers their foreign trade. Because of the Greek Cypriot economic boycott, all goods originating in northern Cyprus must transit through Turkey, thereby adding to shipping costs. Moreover, a 1994 ruling by the European Court of Justice declared that phytosanitary certificates issued by the "Turkish Republic of Northern Cyprus" were invalid due to the "illegality" of the entity.

In 2004, North Cyprus' total exports reached $49.3 million (FOBFree on Board), and were dwarfed by the south's performance$1.1 billion (FOB). Imports were almost ten times as high as the exports in the north, at $415 million (FOB), and almost five times as high in the south, at $5.3 billion. Main import commodities for the Republic of Cyprus were consumer goods, petroleum and lubricants, intermediate goods, machinery, transport equipment, while North Cyprus mostly imported vehicles, fuel, cigarettes, food, minerals, chemicals, and machinery. Turkey remains the most important trade partner for the latter, while the south largely relies on trade with Greece, the United Kingdom, Germany, and Italy.

BALANCE OF PAYMENTS

Since Cyprus has persistently imported more than it exports, it consistently runs a trade imbalance which has grown steadily over the past two decades. Cyprus' trade deficit has been somewhat offset by tourist dollars, spending by foreign military forces, and remittances from workers abroad.

The US Central Intelligence Agency (CIA) reported that the purchasing power parity of Greek Cypriot exports was $1.237 billion in 2005 (FOB), and Turkish Cypriot exports totaled $49.3 million, while Greek Cypriot imports totaled $5.552 billion in 2005, and Turkish Cypriot imports totaled $415.2 million.

The current account balance for Greek Cyprus was negative, worsening from -$442 million in 2003, to -$915 million in 2004. External debt was on the rise (lending from international markets is one way of responding to the huge trade deficit), reaching $7.6 billion in 2003, and $9.9 billion in 2004. The reserves of foreign exchange and gold were high enough though to sustain a prolonged

CountryExportsImportsBalance
World922.94,466.2-3,543.3
United Kingdom295.0371.8-76.8
Bunkers, ship stores89.889.8
Greece84.7535.1-450.4
Germany36.1336.0-299.9
Lebanon31.331.3
Jordan24.724.7
Netherlands23.8109.2-85.4
United Arab Emirates23.323.3
Egypt22.922.70.2
United States17.8186.6-168.8
() data not available or not significant.

period of imports: $3.4 billion in the Republic of Cyprus, and $942 million in North Cyprus.

BANKING AND SECURITIES

In 1963, the Ottoman Bank (since renamed the Central Bank of Cyprus) was designated as the government's banking and currency clearing agent. The Banking law of 1997 provided for a properly-funded deposit insurance scheme and regulation were before the House of Representatives in late 1999. In general, banking services compare with the level experienced in European countries and the United States. There are six domestic banks. The International Monetary Fund reports that in 2001, currency and demand depositsan aggregate commonly known as M1were equal to $695.0 million. In that same year, M2an aggregate equal to M1 plus savings deposits, small time deposits, and money market mutual

Current Account-441.8
     Balance on goods-3,134.4
         Imports-4,089.8
         Exports955.4
     Balance on services2,935.8
     Balance on income-387.1
     Current transfers144.0
Capital Account20.3
Financial Account188.6
     Direct investment abroad-538.5
     Direct investment in Cyprus1,025.1
     Portfolio investment assets-482.5
     Portfolio investment liabilities802.5
     Financial derivatives16.6
     Other investment assets-2,479.2
     Other investment liabilities1,844.7
Net Errors and Omissions45.2
Reserves and Related Items187.6
() data not available or not significant.

fundswas $4.5 billion. The money market rate, the rate at which financial institutions lend to one another in the short term, was 4.93%. The discount rate, the interest rate at which the central bank lends to financial institutions in the short term, was 5.5%.

The Cyprus Stock Exchange, which opened in March 1996, ended 1996 with gains of just 0.2%, but experienced an extended bull run starting in late November of 1998. Since 1996, foreign investors are no longer required to obtain the Central Bank's permission to invest in the CSE, although there are limits on foreign participation. Legislation passed in 1999 prohibited insider trading and a new screen-based automated trading system helped enhance investor confidence. The CSE index reach 162.8 by June 1999, up from its initial starting point of 100 in 1996. By mid2003, however, it had dropped to around 84. Market capitalization is $5.4 billion.

INSURANCE

Insurance companies, mostly British, make available life, fire, marine, accident, burglary, and other types of insurance. Third party automobile liability and workers' compensation insurance are compulsory. All insurance companies in Cyprus must be members of the Insurance Association of Cyprus, and foreign ownership is subject to government approval. In 2003, the value of all direct premiums written totaled $590 million, of which nonlife and life each accounted for 50%. The top nonlife insurer in 2003 was Laiki, with $45 million in gross nonlife premiums written. The country's top life insurer was Laiki Cyprialife, with $80.8 million on gross premiums written in that same year.

PUBLIC FINANCE

The fiscal year follows the calendar year. Import duties and income tax are the principal sources of government revenue. The principal ordinary expenditures are education, defense, and police and fire services. Due to the introduction of a valueadded tax and a more efficient tax collection system, Cyprus made steady

Revenue and Grants1,473100.0%
     Tax revenue955.864.9%
     Social contributions223.115.1%
     Grants0.7<1.0%
     Other revenue293.319.9%
Expenditures1,731.7100.0%
     General public services387.522.4%
     Defense68.33.9%
     Public order and safety91.85.3%
     Economic affairs232.613.4%
     Environmental protection
     Housing and community amenities68.23.9%
     Health109.46.3%
     Recreational, culture, and religion28.51.6%
     Education20511.8%
     Social protection424.724.5%
() data not available or not significant.

progress in reducing its budget deficit in the early 1990s, which reached 1% of GDP in 1995. The deficit, however, due in part to a slowing economy, began to increase again. Turkish Cypriots use the Turkish lira for currency, and the Turkish government reportedly provides a large part of the TRNC annual budget. The International Monetary Fund (IMF) estimates that in 1997 Cyprus's central government took in revenues of approximately $710.9 million and had expenditures of $830.4 million including capital expenditures of $83.2 million. Overall, the government registered a deficit of approximately $120 million.

The US Central Intelligence Agency (CIA) estimated that in 2005 the Republic of Cyprus's central government took in revenues of approximately $6.698 billion and had expenditures of $7.122 billion. Public debt in 2005 amounted to 72% of GDP. Total external debt was $7.803 billion. For the Turkish region, revenues amounted to $231.3 million in 2003, and expenditures $432.8 million.

TAXATION

Income taxes were first introduced in 1941, and a system of withholding in 1953. The first valueadded tax (VAT) was enacted in 1992. With an eye to its hopedfor accession to the EU in 2004, the Greek Cypriot government enacted a series of new tax laws in July 2002, effective as of 1 January 2003, designed to be fully compliant with OECD tax criteria and the EU tax Code of Conduct.

The new corporate income tax rate, applied to both local and international business companies (IBC's), is 10%. Dividends paid to Cypriot tax residents are subject to a 15% withholding tax. A major feature of the new tax code is the integration of corporation and withholding taxes, with income tax on distributed profits. The combination of the income tax and the withholding tax, assuming that 70% of the aftertax profits are distributed, produces a final tax rate of 19.45%, which is below the highest income tax rate of 25% before the reforms. Provisions for "special contributions to defense of the Republic" are changed under the new tax laws. The defense tax on interest income was raised from 3% to 10% except for recipients whose total income is less that c£7.000 (about $13,100), and except on interest from government bonds, pension funds, and deposits with the Housing Finance Corporation (HFC), which are taxed at 3%. With some exceptions, the defense levy on dividends received was increased from 3% to 15%. Interest income is subject to a final 10% withholding tax. All interest earned by individuals and 50% of the interest earned by corporations is exempt from income tax.

Income taxation of companies will no longer depend on where they are registered but on where they are managed and controlled. Companies registered in Cyprus but managed and controlled from another country, will only be taxed in Cyprus on their Cyprussource income. IBCs will not be entitled to benefits under double taxation treaties, but they will also not be subject to the exchange of information requirements of such treaties.

Cyprus has a progressive individual income tax with a top rate of 30%, with the initial 10,000 Cyprus pounds taxfree. Cyprus residents are subject to a 15% withholding tax on dividends and a 10% withholding tax on interest. The capital gains tax, its rate of 20% unchanged under the new laws, is imposed only on the disposal of property situated in the Republic. Indirect taxes include a valueadded tax (VAT) of 15% and a lower 5% rate that applies to new dwellings, hotel services, newspapers, catering, books and gas, and various excise taxes.

Duty free facilities for expatriates were withdrawn in April 2003.

CUSTOMS AND DUTIES

As of 1 January 1998, tariffs on many goods imported from the European Union (EU) fell to zero as Cyprus adopted the EU's common customs tariff on most products from thirdparty countries. In addition, Cyprus is a member of the World Trade Organization (WTO). The Republic of Cyprus also provides a 20% price preference on domestic goods and services for public tenders, although foreign pressurethe EU and WTO forbid such practicesmay halt this practice. A 15% VAT is also levied, although food and agricultural products have a reduced rate of 5%.

FOREIGN INVESTMENT

Because Turkish Cyprus is recognized as a sovereign nation by no other nation besides Turkey, it has attracted little foreign investment. The majority of factories are owned by domestic companies but, in most of the major industrial concerns, there has been considerable British and Greek capital. The central government encourages foreign investment that results in the import of new technology or new production methods and improves the quality of the goods produced, especially for export. Any purchase of shares in a domestic company by nonresidents requires approval by the Central Bank of Cyprus.

As part of its accession to the EU, Cyprus endeavored to transform itself from an offshore tax haven, featuring a 4.25% corporate tax rate for ringfence businesses (that is, those having no trade inside Cyprus) to a what it calls a tax incentive country, free from the suspicion usually associated with tax havens. Under the new tax code effective as of effect 1 January 2003, foreign companies already enjoying the tax haven 4.25% (in 1996, for instance, there were some 1,168 offshore companies operating out of Cyprus) could continue to do so until the end of 2005, provided they have not traded inside Cyprus.

Other companies will receive for the most part national treatment, which features a competitive corporate tax rate, (of 19.45% instead of the highest income rate of 25% through the way the income and withholding taxes are combined) but not an offshore rate. In the accession process (or acquis ), Cyprus has been under intense scrutiny for money laundering. Its antimoney laundering law of 1996 was amended in 1999 to satisfy enforcement concerns. As of 2002, both the IMF and the OECD's Financial Action Task Force on Money Laundering (the TATF) have certified Cyprus as satisfactory on this count.

Cyprus has not been removed, however, from the Flags of Convenience (FOC) black list of the Paris Memorandum of Understanding on Port State Control, known as the Paris MOU, which is an agreement among 19 countries aimed at eliminating substandard shipping. Historically, Cyprus has operated the fourth- or fifth-largest maritime fleet through offering lax safety and inspection regimes on ships registered under its flag. From 1999 to 2001, there were signs of improvement, according to EU reports. The percent of Cyprusflagged vessels detained by Port State control dropped from 9.97% in 1999 to 8.85% in 2001, compared to an EU average of 3.14% in 2001. In all, 397 of 4,100 Cypriot ships were detained. To move up to the Paris MOU's "gray list," no more than 319 or 7.7% of Cypriot vessels should have been detained. Also as part of the accession process, Cyprus instituted a more liberalized investment regime, removing interest rate ceilings and capital controls.

The government first made changes in the investment code to encourage foreign investment in 1986, but many restrictions remained. In 1996, the investment code was liberalized to allow foreign participation of up to 49% in Cypriot companies. Certain services were allowed 100% foreign participation. Sector specific restrictions remain, however, in several important areas including electricity, tourism, air transport, and travel offices. The telecommunications sector, also, has not been privatized. To date the inflow of foreign direct investment (FDI) has remained small, averaging 1.3% of GDP 1997 to 2001. The trend, however, is toward an increase. FDI as a percent of GDP doubled during this period, from 9% of GDP in 1997 to 1.8% of GDP in 2001.

The inflow of FDI into Cyprus reached $1.2 billion in 2004, up from $1.0 billion in 2003. However, this data pertains solely to the Republic of Cyprus, as there are no official statistics available for North Cyprus (although it is known that most investments come from Turkey, and they mainly target the tourist resorts). Investments in the Republic of Cyprus primarily aimed at real estate and business (41.0%), financial intermediation (24.7%), trading (14.6%), and transport and communications (11.1%). The majority of these investments came from the EU (58.1%) and other European countries (31.1%).

ECONOMIC DEVELOPMENT

The first development plan (196266), designed to broaden the base of the economy and to raise the standard of living, resulted in an average annual real growth rate of 5.4%. The second development plan (196771) called for an annual growth rate of 7% in the GDP; actual growth during this period was nearly 8% annually. The third development plan (197276) envisaged an annual economic growth rate of 7.2%, but a drought in 1973 and the war in 1974 badly disrupted development programs. Physical destruction, a massive refugee problem, and a collapse of production, services, and exports made it impossible for Cyprus to reach the targets.

Since 1975, multiyear emergency economic action plans inaugurated by the Republic of Cyprus have provided for increased employment, incentives to reactivate the economy, more capital investment, and measures to maintain economic stability. The 199498 Strategic Development Plan emphasized a free market, privatesector economic approach with a target GDP growth of 4% annually. The plan called for a domestic savings rate of 22.3% of GDP; an increase of labor productivity of 2.8% between 199496; an inflation rate of approximately 3%, and unemployment no greater than 2.8%. As of 1996, Cyprus had largely met these goals with the exception of less than target levels of savings and productivity.

While Cyprus used to receive substantial amounts of development aid, due in part to its own improving economy and a recession in the European donor countries, it now receives little direct financial assistance from other nations.

Since its military intervention in 1974, Turkey has provided substantial financial aid to the Turkish Cypriot area. In 1996, this assistance was estimated to be approximately one-third of the area's GDP, or approximately $175 million. From 200306, Turkey provided approximately $700 million in grants and loans to the Turkish region, which are usually forgiven.

In 2004, Cyprus joined the EU, and hopes were up that this would contribute to both the political and economic stability of the country. The country boasts an educated work force, good infrastructure, a sound legal system, and relatively low taxes. Tourism drives the economy, and any economic development strategy will likely be engineered around this industry. In North Cyprus, construction and education (numerous students from Turkey, and other parts of the world study at one of the area's five universities) have established themselves as the main engines of growth. However, as long as the dispute between the north and the south areas continues, development figures will not reach the island's potential.

SOCIAL DEVELOPMENT

A social insurance and social assistance system is in effect for all employed and self-employed persons. It provides unemployment and sickness benefits; old age, widows', and orphans' pensions; maternity benefits; missing persons' allowances; injury and disability benefits. There is a universal system for a family allowance and child benefits. The child benefit is available to all residents with four or more children.

Women generally have the same legal status as men. Laws require equal pay for equal work and this is enforced at the white collar level. Sexual harassment is prohibited by law, however incidents are usually not reported. Spousal abuse is a serious social problem and continued to receive attention. Women who are married to foreigners have the right to convey citizenship automatically to their children.

Although human rights are generally respected, police brutality continued to be a problem. There are also reports of the mistreatment of domestic servants, usually of East or South Asian origin. Freedom of movement between the Greek and Turkish zones is restricted.

HEALTH

As of 2002, the birth rate was estimated at 12.9 per 1,000 people. In 2004 there were an estimated 298 physicians and 485 nurses per 100,000 people. There are both public and private medical facilities, including about 50 rural health centers. The island has a low incidence of infectious diseases, but hydatid disease (echinococcosis) is endemic. Malaria has been eradicated and thalassaemia, which affected 15% of the population in 1960, has been eliminated. As of 1999, the number of people living with HIV/AIDS was estimated at 400 and deaths from AIDS that year were estimated at 160. The fertility rate in 1999 was two children per mother. The infant mortality rate was estimated at 7.18 per 1,000 live births in 2005 and the average life expectancy was 77.65 years. In the same year, the general mortality rate was 7.4 per 1,000 inhabitants. In 1994, 83% of children were vaccinated against measles. Approximately 95% of the population had access to health care services and 100% had access to safe water.

The HIV/AIDS prevalence was 0.10 per 100 adults in 2003. As of 2004, there were approximately 1,000 people living with HIV/AIDS in the country.

HOUSING

A growing population resulted in a shortage of dwellings, especially in urban areas. This was further aggravated by the 1974 war, which resulted in the displacement of more than 200,000 people and the destruction of 36% of the housing stock. The government provided temporary accommodations for about 25,000 displaced people and embarked on a longterm plan to replace the lost housing units. Between 1974 and 1990, 50,227 families were housed in a total of 13,589 lowcost dwellings.

In 1982, the Cyprus Land Development Corporation was formed to address the housing needs of low- and middleincome families, including the replacement of old housing stock. By 1991, the corporation had disposed of 573 building plots and helped construct 391 housing units. Between 1975 and 1991, the private sector constructed 83,197 housing units.

According to a 2001 census, there were about 292,934 conventional dwellings across the country. Nearly 43% were single, detached houses; another 20% were apartment blocks. About 35,829 conventional dwellings were built in the period 19962001. Most dwellings have from four to seven rooms. The average household contained three people. About 68% of dwellings were owner-occupied. About 5.6% of dwellings are temporary housing sites for refugees. Village homes in Cyprus are generally constructed of stone, sun dried mud bricks, and other locally available materials; in the more prosperous rural centers, there are houses of burnt brick or concrete.

EDUCATION

Since 1959, the Greek and Turkish communities have been responsible for their own school systems. In the Republic of Cyprus, education is compulsory for nine years, with children attending six years of primary school and six years of secondary. The secondary education is divided into two stages: Gymnasium and Lykeion. Each stage lasts three years. Students may choose vocational or technical schools for their secondary education as well. In 1995, a comprehensive Lyceum program was established for secondary education, which combines both general and technical or vocational education. In the Turkish region, preschool education is provided for children between the ages of four and six. Primary and secondary education is free and compulsory; primary education lasts for five years and secondary education lasts for three years.

In the Republic of Cyprus, in 2001, about 59% of children between the ages of three and five were enrolled in some type of preschool program. Primary school enrollment in 2003 was estimated at about 96% of age-eligible students. The same year, secondary school enrollment was about 93% of age-eligible students. It is estimated that about 87% of all students complete their primary education. The student-to-teacher ratio for primary school was at about 19:1 in 2003; the ratio for secondary school was about 12:1.

The University of Cyprus (est. 1992) has five faculties: humanities and social sciences, pure and applied sciences, economics and management, letters, and engineering. There are a total of six universities in northern Cyprus, and one teacher training college. In 2003 in Greek Cyprus, about 32% of the tertiary age population were enrolled in some type of higher education program. The adult literacy rate for 2004 was estimated at about 96.8%.

As of 2003, public expenditure for the Republic of Cyprus on education was estimated at 6.3% of GDP.

LIBRARIES AND MUSEUMS

Cyprus has numerous school, private, and public libraries. The National Library in Nicosia holds 105,000 volumes and serves as the central library for the Republic of Cyprus. There are also municipal libraries in Famagusta, Limassol, Ktima, Larnaca, and Paphos, and bookmobile services in the Nicosia environs. Among the most important specialized libraries are those of the Cyprus Museum (15,000 volumes), the Phaneromeni Library of the Eastern Orthodox Church (33,000), and the Cyprus Turkish National Library (56,000), all in Nicosia. The University of Cyprus holds 150,000 volumes in Nicosia.

The Department of Antiquities is responsible for a wide, continuing program of research at Neolithic and classical sites. On behalf of ecclesiastical authorities, it conserves the cathedrals, mosques, monasteries, and other monuments, and over a period of many years has cooperated with numerous scientific expeditions. The entire range of archaeological discoveries from prehistoric to medieval times is displayed in the Cyprus Museum at Nicosia. In addition to the Cyprus Historical Museum and Archives and the Folk Art Museum in Nicosia, there are important collections in museums at Paphos, Larnaca, and Limassol. In all, there are about 20 museums in Cyprus, the majority being archaeological and historical. There are over 1,000 monuments and historic sites nationwide.

MEDIA

The Cyprus Telecommunications Authority (CTA) operates the internal communications system. The telephone network is nearly wholly automatic and the CTA connects Cyprus with more than 67 other countries. In 2002, there were about 427,400 mainline phones in use in the Greek Republic of Cyprus and 86,228 in use for the northern Turkish Republic. An additional 417,900 cell phones were in use among the Greek Cypriots and 143,178 among the Turkish Cypriots.

The Cyprus Broadcasting Corp. (CBC) maintains regular service. Commercial spot announcements and a few sponsored programs are permitted on both radio and television. Radio programming in both AM and FM is transmitted by the CBC on two channels in Greek, Turkish, Arabic, and English. Private radio stations have been allowed since 1990, and there were 30 licenses issued by the end of 1992. The CBC has two channels, and licenses have been granted to four private stations (one of them cable) since April 1993. The main television transmitting station is located on Mt. Olympus. Since 1980, the television service has been linked via satellite with the Eurovision network for live transmission of major events in Europe. As of 1998, the Greek sector had 7 AM and 60 FM radio stations; the Turkish sector had 3 AM and 11 FM stations. In 1995, each area had four television stations. In 1997, the Greek Cypriots had about 310,000 radios and 248,000 television sets in use throughout their area. Nationwide, there were about 210,000 Internet subscribers in 2002.

Nicosia has traditionally been the publishing center for the island and the editorial headquarters of nearly all the daily newspapers and weeklies. There is no censorship in the south and newspapers are outspoken on political matters. The major Greek daily newspapers (with political affiliation and estimated 2002 circulations) include O Phileleftheros (independent liberal, 26,000), Althia (11,000), Haravghi (Communist, 9,000), I Simerini (conservative, 9,000), Apogevmatini (independent moderate, 8,000), and Agon (independent rightwing, 5,000). The leading Turkish newspapers (with political affiliation and estimated 2002 circulations) include Kibris (13,000) and Halkin Sesi (independent nationalist, 6,000). Cyprus Mail is a leading Englishlanguage paper with an independent-conservative affiliation and a 2002 circulation total of 4,000.

Freedom of speech and the press are mandated by law and are said to be in full support by the government. Private television and radio stations and university-run stations compete successfully with the governmentcontrolled stations.

ORGANIZATIONS

The government encourages cooperative societies in many ways, including exemption from certain forms of taxation. The Cyprus Chamber of Commerce and Industry is the main commercial organization. There is also a Turkish Cypriot Chamber of Commerce in Nicosia. The Famagusta Chamber of Commerce and Industry is concerned primarily with international trade. The Employers and Industrialists Federation is based in Nicosia. The Pancyprian Federation of Labor serves as a general organization promoting the writes of employees. Professional and trade organizations cover a wide variety of careers, including those that also serve as forums for education and research, such as the Cyprus Medical Association. Some separate professional associations exist for Turkish Cypriot communities.

The Pancyprian Federation of Students and Young Scientists (POFNE) serves as an umbrella organization for student movements. Some political parties have youth organizations, such as the Cyprus Socialist Youth, the Cyprus Workers Federation Youth Section, and the Democratic Party Youth. The Cyprus Scouts Association and Girl Guides are active in the country and there are branches of the YWCA. The Cyprus Sports Organization represents about 33 national sport federations and 500 athletic clubs throughout the country. There is an active organization of the Special Olympics and a Paralympic Committee.

Volunteer service organizations, such as the Lions Clubs International, are present in the country. There is an active national chapter of Caritas.

TOURISM, TRAVEL, AND RECREATION

Although Cyprus is located off the main routes of travel and has few luxury hotels, the island's salubrious climate, scenic beauties, extensive roads, and rich antiquarian sites have attracted numerous visitors. Water parks and cultural centers are also popular attractions. There were 2,303,246 tourists who arrived in Cyprus in 2003, of whom 95% came from Europe. In that same year there were 46,706 hotel rooms and 91,139 beds with an occupancy rate of 57%. The average length of stay was six nights. Tourism expenditure receipts totaled $2.2 billion.

All visitors must have a valid passport and an onward/return ticket. Visas are not required for stays of up to 90 days.

In 2005, the US Department of State estimated the daily cost of staying in Nicosia at $289. In other areas, expenses averaged $226 per day.

FAMOUS CYPRIOTS

Most widely known of Cypriots in the pre-Christian world was the philosopher Zeno (335?263? bc), who expounded his philosophy of Stoicism chiefly in the marketplace of Athens.

Makarios III (191377), archbishop and ethnarch from 1950 and a leader in the struggle for independence, was elected the first president of Cyprus in December 1959, and reelected in 1968 and 1973. His successor as president, Spyros Kyprianou (19322002), also was twice elected to the office, in 1978 and 1983. Tassos Nikolaou Papadopoulos (b.1934) was elected president in 2003. Rauf Denktash (Denktaş b. 1924), the leader of the Turkish Cypriot community, was elected vice president of Cyprus in 1973, became president of the TCFS in 1975, and of the TRNC in 1983; he was reelected in 1985 and served until 2005. He was succeeded by Mehmet Ali Talat (b.1952).

DEPENDENCIES

Cyprus has no territories or colonies.

BIBLIOGRAPHY

Bolger, Diane and Nancy Serwint (eds.). Engendering Aphrodite: Women and Society in Ancient Cyprus. Boston, Mass.: American Schools of Oriental Research, 2002.

Commission on Security and Cooperation in Europe. The Situation in Cyprus: Briefing of the Commission on Security and Cooperation in Europe. Washington, D.C.: The Commission, 2002.

Ioannides, Christos P. Realpolitik in the Eastern Mediterranean: From Kissinger and the Cyprus Crisis to Carter and the Lifting of the Turkish Arms Embargo. New York: Pella, 2001.

Jennings, Ronald C. Christians and Muslims in Ottoman Cyprus and the Mediterranean World, 15711640. New York: New York University Press, 1993.

Karageorghis, Vassos. Early Cyprus: Crossroads of the Mediterranean. Los Angeles, Calif.: J. Paul Getty Museum, 2002.

Necatigil, Zaim M. The Cyprus Question and the Turkish Position in International Law, 2nd ed. New York: Oxford University Press, 1993.

Seddon, David (ed.). A Political and Economic Dictionary of the Middle East. Philadelphia: Routledge/Taylor and Francis, 2004.

Solsten, Eric (ed.). Cyprus, a Country Study. 4th ed. Washington, D.C.: Government Printing Office, 1993.

Cyprus

views updated May 18 2018

Cyprus

Basic Data
Official Country Name:Republic of Cyprus
Region:Middle East
Population:758,363
Language(s):Greek, Turkish, English
Literacy Rate:94%
Number of Primary Schools:376
Compulsory Schooling:9 years
Foreign Students in National Universities:1,675
Libraries:117
Educational Enrollment:Primary: 64,761
 Secondary: 61,266
 Higher: 9,982
Educational Enrollment Rate:Primary: 100%
 Secondary: 97%
 Higher: 23%
Teachers:Primary: 4,202
 Secondary: 4,934
 Higher: 1,061
Student-Teacher Ratio:Primary: 15:1
 Secondary: 13:1
Female Enrollment Rate:Primary: 100%
 Secondary: 99%
 Higher: 25%

History & Background


Cyprus is the third largest island in the Mediterranean Sea, after Sicily and Sardinia, and is situated at the eastern end of the sea. The island has an area of 9,251 square kilometers (3,572 square miles), measuring 226 kilometers long and 98 kilometers wide. The 755,000 inhabitants create a population density of 82 persons per square kilometer. The Greek Cypriots (including Armenians, Maronites, and Latins) comprise more then 85 percent of the population, the Turkish Cypriots make up 12 percent, and foreign residents the remaining amount. These population figures do not reflect the more than 115,000 Turkish settlers residing in the northern Turkish-occupied part of the island.

The strategic position of the island has earned Cyprus the designation of "crossroads of the world." The prehistory and history of the island document this title. The earliest signs of life in Cyprus date back to the pre-neolithic period, 10,000 to 8500 B.C. During the Bronze Age (2500 to 1050 B.C.), copper was extensively exploited and a metal work industry developed on the island. During the Late Bronze Age (1650 to 1050 B.C.), commercial contacts with the Aegean world were established, and Myceneans (ancient Greeks) settled on the coasts of Cyprus. The Mediterranean indigenous people gradually assimilated, creating a peripheral center of Greek culture in Cyprus.

The years 1050 to 333 B.C. witnessed waves of immigrants from mainland Greece (Arcadia), invasions by the Phoenicians, and successive submission to the Assyrian, Egyptian, and Persian states. King Evagoras of Salamis, who ruled from 411 to 374 B.C., unified Cyprus and it became a leading political and cultural center of the Greek world. In 323 B.C., Cyprus came under the rule of the Viceroys of Ptolemy I of Egypt and his successors. The capital transferred from Salamis to Paphos.

In 45 A.D., the Apostles Paul and Barnabas arrived in Cyprus to spread the Christian doctrine and succeeded in converting the Proconsul, Sergius Paulus, to Christianity at Paphos. Cyprus thereby became the first country to be governed by a Christian.

Constantine the Great, became sole ruler of the Roman Empire in 324, and proclaimed his mother Helena as Augusta soon after. Legend reports that Helena established the Stavrovouni Monastery in Cyprus, where she stayed during a return journey from Jerusalem. The monastery occupies the easternmost summit of the Troodos mountain range, at a height of 2,260 feet.

The seventh to tenth centuries A.D. are chiefly notable for continuous Arab raids on the island that caused great destruction, especially to churches and ecclesiastic art. In 965 A.D., the Arabs were expelled from Asia Minor and neighboring coastal areas by Byzantine Emperor, Nikiforos Focas, ending the raids. Nicosia became the capital of Cyprus in the tenth century.

From 1192 until 1489, the time known as the Frankish (Lusignan) Period, Cyprus was ruled under the feudal system. While the Catholic Church officially replaced the orthodox, the latter managed to survive.

A period of rule by the Venetians began in 1489 that would continue until 1571. The Venetians used Cyprus as a fortified base against the Turks. Trade and culture languished under the heavy taxes imposed to pay for the fortifications. Even so, Turkey successfully attacked Cyprus, eventually gaining control of the island.

Under Turkish rule, which lasted for 300 years (1571 to 1878), the Greek Orthodox Church was re-established and the Latin Church expelled. Turkish rule ended in 1878, under the Cyprus Convention, when Turkey transferred the administration of Cyprus to Great Britain in exchange for assistance in the event of Russian hostility. In 1923, under the Treaty of Lausanne, Turkey relinquished all rights to Cyprus. In 1925, Cyprus was declared a Crown colony.

A national liberation struggle launched in 1955 against colonial rule was finally resolved in February 1959 when Cyprus became an independent republic under the Zurich-London Treaty, with a Greek Cypriot president and a Turkish Cypriot vice president. In 1960, following the treaty agreement, and with Greece and Turkey guaranteeing its independence, territorial integrity, and constitution, Cyprus was proclaimed an independent state and became the 99th member-state of the United Nations. It became a member in the same year of the Commonwealth and was the sixteenth member-state of the Council of Europe in 1961 (Panteli 1990).

Evidence of an emerging social demand for education is the fact that in 1960, when the British left Cyprus, 90 percent of the 6 to 12 year old population attended primary schools, although compulsory education had not been implemented (Persianis 1996a). This is in stark contrast to school attendance just two decades earlier. In 1938 and 1939, of the 77,000 children of elementary school age, only 46,926 (61 percent) were attending school. Of the 60,000 children of secondary school age, only 4,784 (8 percent) were attending school. Through the postwar years (1945-1950), "the Cypriot youngster, as in the England of Dickens' Oliver Twist had to find work and receive next to nothing or toil in the field for ten to fifteen hours a day to supplement the meager family income" (Panteli 1990).

In 1963 the president of Cyprus, Archbishop Makarios, suggested amendments to the constitution, with which the Turkish Cypriot leaders disagreed. The Turkish leaders then engineered an intercommunal crisis, withdrew from the Cyprus government and House of Representatives, and set up Turkish military enclaves in Nicosia and other parts of the island, with the help of military personnel from Turkey. This event marks the separation and division of Greek Cypriots and Turkish Cypriots, although in many villages and towns the people of Cyprus continued to live together in peace and friendship. However, the first riots between the two communities in 1963-1964 and later in 1967 created an atmosphere of fear and mutual distrust, which gradually poisoned the friendly relations of the past.

On 15 July 1974 the Greek military junta organized a coup against Archbishop Makarios, who escaped to England. The coup and the constitutional provisions for the guarantor powers, provided Turkey the opportunity to invade Cyprus. On 20 July 1974, alleging they were coming in peace to protect the Turkish Cypriots and restore the constitutional order, 40,000 Turkish troops landed on the island assisted by Turkish air and naval forces. This maneuver violated the Charter of the United Nations, the fundamental human rights of thousands of Greek Cypriots, and all principles governing international relations. Three days later the coup was overthrown and constitutional order was reestablished.

If Turkey wanted to maintain any claim to be acting as a guarantor power, it would have withdrawn its forces on 23 July. Instead, in August it mounted a second attack against Cyprus. As a result, the Turkish Army occupied the northern third of the island, including 204 of 626 Greek Cypriot villages and 51.5 percent of the island's coasts and shores (Katsonis & Huber 1998). Thousands of people were killed or disappeared, and 200,000 people became refugees in their own country. A truce arranged by the United Nations (UN) mandated that the island be partitioned. Currently the Greek Cypriots occupy the southern two-thirds of the island and the Turkish Cypriots, with the aid of Turkish military and budgetary support, occupy the northern third. A United Nations peacekeeping force maintains a buffer zone between the two sectors.

The area under Turkish occupation unilaterally declared independence in 1983, fanning emotions in the south about previously owned property, family burial sites, and the loss of famous historical sites (Bradshaw 1993). The continued division and occupation of Cyprus serves as a major factor in understanding educational policy. One of the major problems that education in Cyprus continues to face is the occupation by Turkish troops of a number of primary and secondary schools (Papanastasiou 1995). The political division, rather than political pluralism, impacts every aspect of the culture, including education.

Constitutional & Legal Foundations

Cyprus is an independent, sovereign republic of a presidential type. Under the 1960 Constitution, the executive power is entrusted to the president of the republic who is elected for a five-year term of office. A transitional body governed education until the Proclamation of Independence on 16 August 1960. Thereafter, the administration of Greek Cypriot education was undertaken by the Greek Communal Chamber consisting of 26 members elected from the Greek community and the administration of the Turkish minority by the Turkish Communal Chamber. The Armenian and Maronite populations were given the option to choose the Communal Chamber by which they wished to be governed; both chose the Greek Communal Chamber. Within the framework of the Constitution, the Greek Communal Chamber has legislative power over all religious matters; all educational, cultural, and teaching matters; all staff matters; and the composition and instance of courts dealing with civil disputes relating to personal status and to religious matters. The Greek Communal Chamber was dissolved on 31 March 1965, with legislative powers passing to the House of Representatives and the administrative power to the Ministry of Education.


Educational SystemOverview


Knowledge Traditions: Unique to Cyprus may be the influence of the ancient Greek civilization, where the knowledge of theory was considered superior to the knowledge of practical skills (Persianis 1996b). Cypriot Greeks have historically related the concept of the "educated Cypriot" to the knowledge traditions of Greece. Cypriots traveled to Constantinople, Alexandria, Salamanca, Venice, Rome, and Paris for higher education during the years following the fall of Constantinople to the Ottomans in 1453 (Persianis in Koyzis 1997). The tradition accelerated with the creation of modern Greece in 1830, particularly following the founding of the University of Athens in 1837.

"Teachers in Cyprus before 1830 (during Turkish rule), were mainly priests, or others, with some reading and writing skills. After 1830, and the establishment of teacher training institutes in Greece, the first educated teachers started returning to Cyprus" (Persianis and Polyviou 1992). The first teacher training institution to be established in Cyprus was in 1893 (Maratheftis 1992), when Cyprus was under British rule. The Pancyprian Teacher Training School commenced as a branch of the Pancyprian Gymnasium in Nicosia. It consisted of four years of primary education, three years of postprimary and four years gymnasium. After 1893, the Pancyprian Teacher Training School was upgraded to six years primary education and six years gymnasium.

In 1903 the first female teacher training institution was established in Nicosia, and in 1910 a priest training institution was established in Larnaca. In 1915 gymnasium education for teachers was increased to seven years. In the 1930s all the teacher training institutions were abolished by the British after political disturbances, the governor taking full control over elementary education.

In 1937 the Morphou Teacher Training College was established as a two-year institution by the ruling British, offering teacher training in English both for Greeks and Turks, with graduates qualifying as primary teachers. This action of the colonial government was not popular with the church and other educationalists. In 1943 a similar institution opened for females, admitting only Greeks until 1948. In 1958 the Morphou Teacher Training College was transferred to a large area of land in Nicosia replacing the Morphou and Larnaca colleges.

In 1959, after the Zurich-London agreements for the independence of Cyprus, the Teacher Training College became the Pedagogical Academy, providing education for the training of primary school teachers, its programs being offered in Greek. Graduates of public high schools were admitted for a two-year teacher training program. The Pedagogical Academy followed the system offered in Greece. The program became of three year duration in 1965, while in 1975, a nursery department was established for the training of nursery school teachers (Anastasiou 1995).

Greece has remained the model for Cypriot knowledge traditions, education, and culture with a relatively steady number of Cypriot Greeks studying in Greece (35 to 40 percent of the students studying abroad as reported by Koyzis 1997). The majority of all secondary school teachers in the Greek secondary schools are graduates of Greek universities (Koyzis 1997).

Perhaps the greatest impact of the Greek higher education tradition was the favored area of study, philology. The term has been interpreted to mean an education combining classical Greek literature, philosophy, and history with a uniquely Greek version of educational humanismGreek Orthodoxy, classical Hellenism, and an emphasis on literary humane studies (Koyzis 1997; McClelland 1980). According to Koyzis (1997), over 60 percent of all secondary teachers are philologists, along with 70 percent of the personnel in the Ministry of Education. The philologist-humanist knowledge tradition is a dominant factor in the state's conception of what is worth knowing. The philologist-humanist ideal recognizes the university as an extension of the state with the institution serving to produce the "disciplined, cultured, and moral Christian-Greek" (Koyzis 1997).

The School of Philosophy at the University of Athens in Greece (where languages, literature, and history are taught as well as philosophy) has been the center for the preservation of the humanist tradition. It has maintained links with the secondary school teachers' union, whose members have been trained largely in this university school. There is also a wider consumer for humanist education. The School of Philosophy at Athens retains the highest prestige (Koyzis 1997).

Another knowledge tradition which has influenced Cypriot intellectual life and invariably the development of higher education has been English essentialism. A third knowledge tradition which influenced the development of higher education in Cyprus is North American educational utilitarianism (Koyzis 1997).


Contemporary Context: The main political goal of the governmentsurvival of Cyprus as a unified, independent, and sovereign countryhas contributed to the educational philosophy of "I do not forget" (Papanastasiou 1995; Katsonis & Huber 1998). Greek Cypriots do not forget the people, churches, schools, homes, and lands in the Turkish occupied territory. School materials, programs, and publications keep the invasion of 1974 and subsequent events in contemporary focus.

The Greek Cypriot community (which comprises about 85 percent of the population of about 1 million inhabitants) uses the Greek language as the language of instruction in schools, and the Turkish Cypriot community uses the Turkish language. Each community encourages the teaching and learning of foreign languages, especially English, but not each other's language. The minority population of other non-Greek, non-Turkish ethnic groups are normally trilingual, having a native command of their own ethnic language, a near-native command of Greek, and, in most cases, a mastery of English (Papapaviou 1999).

Since the 1974 invasion and the subsequent division of the island, the languages of instruction have remained divided with little interaction. Numerous overseas Cypriots, mainly from Australia, the United Kingdom, and the United States, have returned to their homelands. Immigrants to Cyprus, primarily for employment, have added their languages to the linguistic situation, mainly Arabic, Filipino, Rumanian, and Russian. The majority of children attend Greek-speaking monolingual state primary schools. These schools do not provide auxiliary classes in Greek as a second language, nor do they provide instruction in the children's native ethnic language (Papapaviou 1999). The linguistic situation of the early twenty-first century finds many bilingual children in monolingual public schools. Private instruction, relatively expensive, is available for those seeking an English-speaking educational experience.

The formal education system of Cyprus is highly centralized and controlled by the state. School curricula and textbooks are determined by governmental agencies, along with guidelines on how to implement the national curriculum. Schools at all levels are visited by the state inspectorate, which is responsible for evaluating schools. Private schools are owned and administered by individuals or committees, but are liable to supervision and inspection by the Ministry of Education.

Education is free at all levels and compulsory from the age of five years and six months to the age of 15. All public schools use the same curriculum and textbooks, though teachers are free to adapt the material to their local environment. The 205-day school year is based on a nationwide core curriculum. According to 1999 figures on education published by the Department of Statistics of Education, there were 163,800 full-time students at 1,208 educational institutions of the island with more than 80 percent enrolled in public institutions.

Curriculum Development: The centralized system of educational administration, a centre-periphery model (Schon 1971), impacts the management of curriculum improvement in Cyprus (Kyriakides 1999) along the following five dimensions:

  1. The design of the curriculum of 1981 and the new curriculum were almost completely controlled by the government inspectors and did not establish any mechanism for consulting teachers.... Inspectors control the design of the curriculum, the implementation through provision of guidelines and advice to teachers for problems with implementing the curriculum policy, and teacher evaluation.
  2. School Based Curriculum Development (SBCD) is weak in Cyprus and is also a consequence of high central control that does not allow for much differentiation among the schools. Cypriot teachers struggle with their problems and anxieties privately, spending most of their time apart from their colleagues. There is very rarely interaction concerned with professional issues among the staff of schools (Kyriakides 1994).
  3. The difficulties of the centre-periphery model of the curriculum change also has to do with the fact that the quality of teachers determines to some extent the implementation of curriculum policy. The need for a strong link between curriculum reform and teacher development is also reflected in theories of curriculum change (Fullan & Hargreaves 1992). This raises questions on links between teachers' professional development and curriculum reform in Cyprus. It is argued that there is no link between curriculum reform and teacher development, which is attributed to the process of curriculum change followed in Cyprus that implies a limited role for teachers (Kyriakides 1994). The underlying model of change management is based on contractual rather than professional accountability.
  4. The aims of the education service in Cyprus are set out in various government publications and policy documents. By analyzing these aims one can identify an attempt to link education to the historical, social, moral, cultural, economic, and political context of Cyprus (Kyriakides 1994; UNESCO 1997). However, the aims say little about the concept of partnership that is now given high priority in many countries. It can be argued that policy documents do not encourage the idea that schools should take account not only of policy decisions of government inspectors, but also of the expectations of parents, employers, and the community at large. Neither official policy documents nor any nonstatutory guidance suggest that the development of the curriculum at the local level should be seen in terms of the pupils' and parents' role (Kyriakides 1994).
  5. Systematic information about the conditions of schooling, educational processes, and educational outcomes for all grades and subjects appears to be lacking (Kyriakides 1999). In addition, innovation, evaluations, and curricular changes need to be designed for the specific conditions in Cyprus.

Examinations, Promotions, & Certifications: The Cypriot system requires no entrance examinations for primary and secondary schools. Almost all primary school students are promoted to the next grade. Only in the first grade is there a failure rate of about 1.5 percent of the students. Primary school students earn a leaving certificate at the end of the sixth year after evaluation through continuous assessment. All primary graduates proceed to secondary school without any examination. In secondary education, every student receives a school report three times a year at the end of each school term. At the end of grades 9 and 12, all students take common final exams prepared by the Ministry of Education.

Beginning in 1991, students in Grade 12 also take an externally prepared final exam. The following year, 1992, Grade 9 students were required to take compulsory common exams in four subjects.


Special Education: In 1995, the United Nations Educational, Scientific, and Cultural Organization (UNESCO) conducted an update of the initial "1988 Review of the Present Situation of Special Education." The division in the Ministry of Education in Cyprus provided information by means of questionnaire responses. The forms of special education available were reported as emotional and behavioral disturbance, mental retardation/severe learning difficulties, physical/motor disabilities, visual impairment, hearing impairment, language disorder, and learning disabilities (UNESCO 1995).

The aim of special education policy in Cyprus is to encourage and support the integration of children with special needs into the ordinary education system and give them an opportunity to grow and learn together with their peers. Special provision is made for physically handicapped children (e.g., deaf, blind) and the mentally retarded, who attend special schools.

Children who are profoundly handicapped, mainly characterized by physical disabilities and mental retardation, are cared for in residential institutions operated by the Ministry of Labour, the Ministry of Social Welfare, or voluntary agencies. The full range of facilities employed in meeting the needs of students in special education includes boarding special schools, day special schools, special classes in regular schools, resource rooms in regular schools, and the support of teaching in regular classes. The provision of these special education facilities is mainly the responsibility of the Director of Primary Education. The Inspector of Special Education has primary operational responsibility.

For secondary school students with special needs, the responsibility lies with the Department of Secondary Education and the Department of Technical Education within the Ministry of Education. Administrative decisions are made at the national level. In settings where special education is provided by voluntary bodies (estimated to be about 4 percent of the expenditure on special education), the Ministry of Education provides teaching staff to cover some of the needs of the institutions (UNESCO 1995).

Legislation specific to special educational needs is concerned principally with primary education. The basic law, Special Education Law 1979, describes the kind of special needs that should be met in special schools and special classes, the procedures for multiprofessional assessment and placement of these children, the roles of the psycho-pedagogical committees, the obligations of parents, and the roles of governing bodies of special schools. A further law in 1993 governs the integration of hearingimpaired children. More recent legislative consideration has been given to meeting students' needs in the least restrictive environment (UNESCO 1995).


Preprimary & Primary Education

Since Cyprus has been at the crossroads of world travel through the centuries, the country's educational system has been influenced by many different civilizations. During the Ottoman Period (1571-1878), children attended school as early as age four in sibyan classes of elementary schools. Classes were mixed-age and included both genders. The children were confided to the teacher in a special religious ceremony called Amin Alayi, and this trust required certain religious qualifications of the teachers, both male and female. In 1878, when the British took over administration of education in Cyprus, there were 65 Turkish elementary schools (Mertan 1995).

During the British Period (1878-1960), the Elementary Education Committees conducted meetings between Ottoman and British educators that continued until 1929. During this time, the education of children between the ages of four to six was an issue. In 1926, for instance, only four schools existed on the island to educate children in this nursery age group, one in Famagusta and three in Nicosia. Weir explained in 1952 that nursery schools were completely lacking in Cyprus. The few schools that had been in operation were closed due to economic issues. Both the need for teacher training and the subsequent availability of trained teachers were lacking.

State preprimary education is a particular priority since the Turkish invasion of 1974 in order to support refugee families, equalize educational opportunities across economic groups, and enable more mothers to secure gainful employment. Preprimary institutions include public, private, and community-based nursery schools, day care centers, and kindergartens. The nursery schools are certified and supervised by the Ministry of Education, the day care centers by the Department of Social Welfare and Services. A uniform curriculum is provided for the nursery school experience, promoting integrated development and preparation for citizenship. The Pancyprian School for Parents serves as a primary agency for parental education in Cyprus.

Since 1962, primary education has been free and compulsory for children between the ages of 6 to 12. Schools operate in every community of at least 15 children. Area schools serve neighboring communities with fewer than 15 pupils. Parental choice is not an option, and children must attend the school in their area.

Cyprus is a signatory to the Convention of the Rights of the Child and the action plan developed at the Summit for Children organized by UNICEF in 1991. In a paper prepared for the 1997 Health and Social Welfare Conference, van Oudenhoven and Wazir (of International Child Development Initiatives, the Netherlands) provided an extensive overview of the Mediterranean experience regarding early childhood development and social integration, including the issue of social inclusion/exclusion in early childhood education. They describe critical factors to consider in early childhood preprimary educationmost significantly, the inherent, inalienable right of every child to receive care and education with attention to physical, cognitive, social, and emotional development. In Cyprus, about 0.06 percent of the population is under the age of five with virtually none of the population living below the absolute poverty level. Equally positive is the life expectancy average age of 77, the highest in the Mediterranean region (with the same life expectancy reported for Israel and Malta). The under-five mortality rate (U5MR) of 11 percent, as an indicator of the crucial components that indicate early childhood development, places Cyprus in an enviable position in contrast to other countries of the Mediterranean regionIsrael was rated the only country with a better rate at 9 percent, while Turkey's rate was 50 percent and Morocco's, 75 percent (van Oudenhoven & Wazir 1997). Cyprus ranks comparatively healthy in the consideration of malnourished children as well, with 8 percent.

School enrollment and dropout rates can be considered as indicators of the psycho-social development of children. In Cyprus, school enrollment for all boys and girls in the late twentieth century stood at 99 percent, with virtually no dropout rate. That these rates are equal for boys and girls accounts for Cyprus having the highest female literacy rate in the region (91 percent), compared to only 31 percent in Morocco, 49 percent in Algeria, and 72 percent in Turkey.

Most of the primary schools in urban areas and larger communities are divided into two cycles: cycle A, catering to grades I through III, and cycle B, comprised of grades IV through VI. The pupil-teacher ratio at the national level is 19:1 with a ceiling set at 34 pupils for the largest classes.

Experiential, meaningful learning is promoted through an emphasis on environment, science and social subjects, language development, music, art, physical education, home economics, design and technology, and information technology. The acquisition of the basic skills of reading, writing, and mathematics is given an important place in all grades of primary schooling. Primary school graduates receive a leaving certificate at the end of the sixth year after evaluation through continuous assessment.


Northern Cyprus: The northern region of Cyprus under Turkish occupation provides preschool education in kindergartens for children between the ages of four and six. Primary education is provided at two stages: elementary school for the 7 to 12 age group, which lasts for five years, and secondary-junior school for the 13 to 15 age group, which lasts for three years. Both preschool and primary education is free and compulsory.

Secondary Education


Public general secondary education is divided into two cycles, the Gymnasium and the Lyceum, which provide a six-year course to children in the 11 to 17 age group. Secondary education has become compulsory up to the third year of gymnasium, and has been free for both cycles since 1985. The U.S. reader should be mindful that gymnasium has a different meaning in Europe. A student who attends a gymnasium will be studying at a level equivalent to the U.S. high school junior and senior (Bradshaw 1993).

The lower cycle comprises the first three years of secondary education, during which all pupils follow a common course of general education. The second cycle, which comprises the last three years of secondary education, is offered either in the Lyceum of Elective Subjects or in the technical/vocational schools. Pupils are assisted in making their choice by the vocational guidance services. At the Lyceum of Elective Subjects there are three categories of subjects: the subjects of the main core, which have to be attended by all pupils, specialization subjects, and supplementary subjects, which are elective. Although pupils are in principle free to choose any of the elective subjects, in practice there are five main combinations. These are combinations with emphasis on classical studies, sciences, economics, commercial subjects and subjects related to skills for office professions, or foreign languages.

In September 1995 the Department of Secondary Education introduced educational system reform on an experimental basis in three Lycea in Nicosia. This step was taken in connection with the change from the Lyceum of elective subjects to the unified Lyceum, in order to combine secondary general with secondary technical education. The goal is that the unification cost will not be unbearable for the public sector and will not prejudice technical education.


Northern Cyprus: In Northern Cyprus secondary education is designed for the 16 to 18 age group at high schools known as lycees and vocational schools. The technical and vocational schools are comprised of commercial lycees, technical training schools, agricultural vocational school, the school of nursing and midwifery, and the tourism and hotel management and catering school.


Vocational & Technical Education: Since independence from Britain in 1960, the establishment and organization of technical education in Cyprus has been one of the primary concerns of the Cyprus government (Bradshaw 1993). Seen as a contributing factor in the economic progress of the island, technical education was implemented to meet the needs of the newly independent country. During the first 30 years, 11 technical schools were established. The A Technical Schools in Nicosia and Limassol began under British administration in 1956. The Agriculture School opened in 1959 at Morphou. The Technical School at Xeros was begun in 1961. The B Technical School and Dianellos Technical School in Larnaca started in 1962, as did the Morphou and Kyrenia Commercial Schools. The Technical School in Polis and The Famagusta Technical School began in 1963. The Technical School in Paphos began in 1969. The next school, opened in 1976, was the B Technical School in Limmasol. Lazaros Technical School opened in 1980 in Larnaca, followed in 1981 by Makarios in Nicosia. The Hotel and Catering School at Paralimni opened in 1984, and, finally, the Hotel and Catering School at Limmasol opened in 1987. Before 1959 the British colonial government operated four bicommunal technical schools: apprentice schools in Nicosia, Limassol, and Lefka, and a junior preparatory school in Nicosia (Bradshaw 1993).

According to Bradshaw (1993), who worked with the Fulbright-Hayes Commission in Cyprus from January to July 1991, technical education program development has passed through a number of developmental stages. An overview of each of the six stages follows.

During the initial stage, which immediately followed independence in 1960 to 1961, the basic aims of technical education were the continuation of the traditional humanistic and cultural scope of education, and the training of suitably skilled manpower for the emerging Cyprus industries (Bradshaw 1993). This education was offered at two levels, or sectionsa four-year and a six-year program. During the initial years, general education was offered in both programstwo years of general education in the four-year program and three years of general education in the six-year program. Basic technical subjects were introduced in addition to the general education classes. During the second phase of the programs, emphasis was given to the technical subjects, while the percentage of time focused on general education was reduced (Bradshaw 1993).

The second developmental stage evolved in 1964, based on assessment of the implementation of the two types of programs of technical education for four years. More general education was assigned to the first two-year cycle in the four-year program, thus reducing the percentage of time for technical subjects.

The third developmental stage, initiated in 1967, was based on the prevailing trends in Europe and on the demands of the industries and the people of Cyprus. These pressures necessitated partial revision of the first cycle of the four-year program, increasing it to three years, thereby making the program a five-year program. The first three years became identical to the first three years of the six-year program, and identical to the gymnasia curricula (secondary schools). This development meant that students could choose the type of school they wanted to attend after completing the first cycle (Bradshaw 1993).

The political division of Cyprus in 1974 interrupted the fourth developmental stage that was introduced in 1972 and interfered with the evaluation of the reforms of 1972 and the assessment of the programs, as well as the functioning of the programs. The fourth stage was not implemented until 1976, and was based on the expansion of technical education; study of problems and functions of the technical schools; and the consideration of worldwide trends in education (i.e., equal opportunity). The following pattern was developed for implementation:

  1. Technical education was promoted as one unit, the second cycle having a three-year program (with the exception of hotel and catering curricula and the dressmaking curricula, which remained two-year programs).
  2. Broad, basic training in groups of related specializations during Class IV, followed by greater depth in the specialty for the following two years.
  3. The education and training offered to the students of classes IV, V, and VI were aimed at achieving a predetermined level of competence. (Bradshaw 1993)

After the division, the technical schools at Xeros (1961) and Famagusta were no longer available to Greek Cypriots because they were in the areas secured by the Turkish Army. "The loss of these two schools was especially severe... as they were large, well-equipped, modern facilities" (Bradshaw 1993). Following the division, the refugee students were distributed to the remaining technical schools. Overcapacity necessitated that all technical schools except those at Paphos and Polis operate both mornings and afternoons, which continued for four years, with Limassol continuing the two-shift basis until 1982. Enrollment continued to rise during this stage at a higher percentage than increases before the division of Cyprus.

Based in part on the determination that the unification of the vocational and technical sections had been made at the expense of the strengths of each, modifications were made and the fifth developmental stage was implemented as follows. After completing gymnasium, pupils could enroll in class IV in the technical and the vocational schools. Class IV was common to all students, but they were divided according to their interests into mechanical, electrical, or building and construction. During this year, the students were each provided with opportunities to gain extensive technical knowledge and training in their area of interest so they could discover their inclination and capabilities. At the end of class IV, students could choose either the vocational or technical section according to their test results in math, physics, chemistry, and technology. Special emphasis was given (technician level) to theory for the technical section, whereas the vocational program (craft level) had an emphasis on workshop training. The course duration was three years, the first common year followed by two years of technical, specialized education. The vocational students could leave school after one year of specialization. However, the vocational students who completed three years of specialization could sit for the technical section certificate exam.

Students who had completed two years could choose to attend afternoon or evening class to prepare for the certificate exam (Bradshaw 1993). The sixth developmental stage, determined by the Education Council at the Ministry of Education in 1976 and implemented in 1978, focused on allowing more flexibility in technical education and making that education available to all interested students. "The curriculum would allow those leaving school to continue their education and professional development, and to stay current in their specialization . . . [and] satisfy the needs of industry" (Bradshaw 1993).

The new structure provided for vocational and technical sections in all the Cyprus technical schools and required each course syllabus to be based on behavioral objectives. The technical section offered a three-year curriculum with an emphasis on mathematics, the sciences, and a technology of specialization. Graduates could be employed as technicians in industry or pursue further studies (for which they met the qualifications) in colleges and universities. The technical section had five branches, each with one or more specialization: mechanical engineering, with a specialization as a machinist-fitter or in automobile mechanics; electrical engineering, with specializations in electrical installations, electronics, and computers; building, with a specialization as a technical assistant; graphic arts, with a specialization in graphic design and interior decoration; and fashion design, with a specialization in garment design and construction (Bradshaw 1993).

The vocational section offered a two-year curriculum with an emphasis on acquiring skills by increasing the percentage of time spent in workshop practice. An optional sixth year offered on-the-job-training, with either one-third or twp-thirds industry/school attendance. Graduates could be employed as craftspersons in industry. In addition, the vocational student could move to the technical curriculum after passing prescribed examinations. By 1982, there were six vocational branches: mechanical engineering, electrical engineering, building and construction, hotel and catering, dressmaking, and pottery (Bradshaw 1993).

Since gaining independence from Britain, Cyprus has stressed the college preparatory course in both the gymnasium and vocational/technical curriculum, with the latter making a transition toward a comprehensive education curriculum (Bradshaw 1993). Since 1976, fewer changes have been made in technical education. Additional coursework has been offered in foundry, agriculture machinery, joinery, carpentry, graphic design technology, fashion design, garment construction, drafting, goldsmithing and silversmithing, building science and technology, shoemaking, and vocational catering and waiting, with increased space for hotel catering and graphic arts curricula. The pottery and ceramics program was dropped due to low enrollment.

An issue regarding technical education should be noted. All males are required to spend two years in the national military service after completion of secondary school. Given how quickly technical education changes and advances, this is problematic for the students who achieve a technical education and then are forced to postpone work to complete their two years of military service.


Higher Education

Postsecondary education was established in Cyprus when two teacher training colleges were opened by the then British Colonial Office of Education, one for male students in 1937 and one for female students in 1946 (Koyzis 1989). In January 1958, both of these institutions were combined in the coeducational pedagogical Academy of Cyprus, and by 1959 the institution was turned over to the Greek community of Cyprus, which was preparing for the following year's independence from Britain. In 1960, an equivalent Turkish teacher's college also began. In 1958 the Pedagogical Academy had adopted the two-year curriculum used by pedagogical academies in Greece. A third year was added to the curriculum in the early 1960s. At that time, mandatory teaching of English was added to the curriculum.

By the 1992-1993 school year, the Republic of Cyprus was providing postsecondary education to 33 percent of all Cypriot students. These students comprised 58 percent of all secondary school graduates who continued beyond that level. Of the students enrolled in postsecondary education, 25 percent were studying abroad. There was a significant decline in the percentage of students studying abroad in the mid-1980s, primarily due to the founding of the public university in 1992 and an expansion of the private sector of higher education (Koyzis 1997).

While the Ministry of Education was established in 1965, a separate Department of Tertiary Education was not established until 1984, with the first law regulating tertiary education enacted in 1987. Thus, the history of higher education in Cyprus is fairly recent.

Despite being a young republic, Cyprus compares favorably with older nations in terms of enrollment ratios. In 1990, approximately 36 percent of students continued to tertiary education, a percentage that compares positively with the most developed countries of the world (Anastasiou 1995).

Higher education includes: private tertiary institutions, of which the major ones are Cyprus College (founded in 1961), Frederick Institute of Technology (1975), Intercollege (1980), and Philips College (1978); public tertiary institutions, of which the largest ones are The Higher Technical Institute (established in 1968) and the School of Nursing (1964); and the first public university, the state University of Cyprus (1992). "The University of Cyprus' official languages of instruction are Greek and Turkish as primary languages, and English as the secondary language. But due to the political situation on the island, Turkish is only used in Turkish Studies Program. Since 1992 Greek has become the de facto language of the University of Cyprus. However all programs require some English instruction as well"(Koyzis 1997). The University of Cyprus includes schools of humanities and social sciences, a school of pure and applied sciences, and the school of economics and administration. Other public sector institutions include a school of nursing and midwifery, the Hotel and Catering Institute, the Higher Technical Institute, the Forestry College, and two management institutes. Other institutions function as Cyprus campuses for U.S. institutions, such as the Intercollege's connection with the University of Indianapolis (Koyzis 1989).

A significant feature of higher education in Cyprus is the large private sector developed since the mid-1970s. The private sector provides higher education to Cypriots in English and models its curricula and courses of study on British and North American institutions. These private sector institutions rely exclusively on British or North American accreditation and degree validation, offering programs in business studies, computers and information sciences, hotel management, engineering and technology, secretarial studies, and social sciences (Koyzis 1989, 1997).

Like other developing countries, the demand for higher education has risen in Cyprus over the last three decades, with 60 percent of all secondary school graduates continuing their studies beyond that level (Department of Statistics and Research 1995, as reported by Menon 1997). Unlike other developing countries, Cyprus has not yet recorded high graduate unemployment rates, with fewer than three percent of recent higher education graduates reporting unemployment, according to the Planning Bureau (Menon 1997).

A development in tertiary education at the close of the twentieth century was the announcement by the Cyprus government that it would promote the development of private colleges into private universities. The International Committee for the Establishment of an Independent University of Cyprus (Coufoudakis 2000) proposed a plan for accomplishing the goal at the Intercollege institutions. Intercollege, the largest private institution in Cyprus, enrolled more than 2,500 students during the academic 1999-2000 year, of which 25 percent were international. For the 2000-2001 academic year, the number of students enrolled at Intercollege's three campuses reached 3,500 students, making it the largest tertiary educational institution in Cyprus.

School curricula have focused on theory as preparation for postcompulsory education, rather than on the practical aspects of life and employment. In Menon's 1997 study of the forces impacting secondary school students' motivation to pursue higher studies, strong parental encouragement for the continuation of studies beyond the secondary level ranked at the top of the list.

Over 10,000 Cypriots were studying abroad in the 1997-1998 academic year. Of those, 45.2 percent were studying in Greece, 27.3 percent in the United Kingdom, 17.8 percent in the United States, and 9.7 percent in other countries.


Northern Cyprus: In Northern Cyprus, university education is provided by Teachers Training College, Eastern Mediterranean University, Near East University, Girne American University, and International American University, with distance education opportunities from Turkey's Anadolu University.

Administration, Finance, & Educational Research

According to Law 12/1965, the highest authority for making and shaping educational policy is the Council of Ministers. The Ministry of Education is responsible for the administration of education, policy, curricula, personnel preparation, hiring and promotions, enforcement of laws and regulations, and resource allocation and budget. Preprimary, primary, and secondary education are under the authority of the Ministry of Education. The Ministry of Education is advised in its policies by the Educational Council.

The president appoints the Educational Service Commission, an independent five-member committee with a six-year term. The commission has authority over appointments, promotions, transfers, disciplinary measures, and dismissal of teacher and instructors.

Construction, maintenance, and the equipping of school buildings are the responsibility of local school committees under the supervision of the technical services of the Ministry of Education. Committees may be appointed by the Council of Ministers, or, in rural areas, may be selected by community members. The committees have regional functions concerning the educational budget, which they submit to the Ministry of Education of the upcoming school year; they also submit a detailed financial statement at the end of each year for a state audit.

The most recently available figures show that government expenditures on education at all levels have reached 217.5 million Cyprus pounds, which accounts for 13.8 percent of the state budget and 5.0 percent of the island's GDP. There were 163,800 full-time students at 1,208 educational institutions on the island, with more than 80 percent enrolled in public institutions. The total number of teaching staff reached 10,984.

Public education is mainly financed by the government through school committees. In addition, elected members of the central committee of the Parents' Association (PA) assist schools financially by raising money through various events to support particular needs and school programs. The national assembly of the PA is a powerful pressure group and policymakers take the PA into account at all times.

The process followed for the design and diffusion of curriculum change in Cyprus has been a centre-periphery model (Schon 1971), operating in a highly centralized system (Kyriakides 1999). Inspectors control the design of the curriculum, the implementation through the provision of guidelines and advice to teachers, and the evaluation by being responsible for teachers' appraisal. No mechanism exists for consulting teachers.

A lack of systematic research in the field of research in Cyprus has been noted (Kyriakides 1999). The research studies that are undertaken are mainly small-scale and uncoordinated (UNESCO 1997). An important implication from the lack of any research for the evaluation of curriculum change is that no innovation has been designed for the specific conditions of Cyprus (Kyriakides 1999). It is important for the Ministry of Education to establish a national educational research unit (UNESCO 1997) to conduct research into curriculum policy and to inform pedagogical debate.

Despite 35 years of existence, the Ministry of Education has yet to pursue a complete analysis of all of Cyprus's tertiary education needs, costs, and benefits (Biggs 1992). A strategic plan to encompass private and public tertiary education, the Cyprus University, students traveling abroad, students coming from abroad, and a serious analysis on how to proceed is very much needed (Orphanides 1995).


Nonformal Education


The post-World War II era witnessed the development of adult and continuing education in Cyprus. Persianis (1996) has identified the following six features of adult and continuing education in Cyprus: the great impact of political developments; the great dependency on foreign know-how, models, and institutions; the low socio-economic origin of its target groups; a different educational and cultural tradition from that of mainstream education; an increased emphasis on social advancement courses rather than on cultural and community advancement courses; and its use as both a spearhead for modernization and a shield for protecting the integrity of mainstream education from foreign dependency.

The political independence of 1960 created a need for adult education owing to new administrative posts in the expanded political structure, government emphasis on economic and social advancement, the requirement of higher qualifications for civil service, and minimum educational qualifications required for "ex-fighters... who had established the new state with their sacrifices" (Persianis 1996).

The case of the ex-fighters was a real revelation and a blessing to many capable people who had not had an opportunity in their youth to acquire high educational qualifications. In fact it officially established the way towards adult education. It showed that the acquisition of academic qualifications by people who had passed the normal school age was possible, and it established completely new educational routes. At the same time it pointed out the need for additional routes, and it created pressure on the government to provide the necessary means (Persianis 1996).

One additional educational route the government established provided for evening gymnasia (seven-year, part-time secondary schools) for working young people, as well as evening technical classes leading to external examinations and evening foreign language institutes.

The political division of 1974 had tremendous impact on the value of adult education as well, as wealthy, landed people became destitute refugees. Only academic qualifications seemed to afford hope of gainful work in divided Cyprus or abroad.

A third wave of adult and continuing education appeal has started since Cyprus applied to join the European Union in 1990. The four freedoms envisioned by the Maastrict Treaty of 1992 have stressed the importance of the qualitative improvement of Cyprus products and services and the efficiency of its labor force in order to cope with the globalization of competition. The existing evidence is that the country seems to depend more on its adult and continuing education rather than on its mainstream schooling in its efforts to meet the challenges of the European Union (Persianis 1996).

The second feature of adult and continuing education, dependency on foreign models, was a logical outgrowth of four centuries of Ottoman occupation and 84 years of British rule. Independence in 1960 was followed by the immediate need for quick development to traverse the technological and industrial divide. As high-tech equipment was imported, the need for high-tech training created a dependency on foreign trainers, examining boards, and accreditation institutions. A number of Cyprus private schools of higher education have established dependent relationships with primarily British and U.S. institutions of higher learning that are characterized in one or more of the following ways: as a kind of foreign college offering foreign courses; as the initial source of coursework leading to completion of degrees abroad; as sites subject to external examiners; and as the site for course offerings identical to those of their foreign affiliates.

The third feature of adult education is that it targets people from the lower socioeconomic strata. An exception to this is "in the case of the foreign language institutes (now called State Further Education Institutes). The majority of their students are higher secondary schools students who need coaching either for the University of Cyprus and the Universities of Greece entrance examinations or for the external examinations (mainly GCE)" (Persianis 1996).

The fourth feature distinguishes the cultural tradition of adult education from the knowledge tradition of the mainstream educational system. The majority of the courses, mainly those offered by the Industrial Training Authority, constitute a different educational and cultural entity from the traditional one. The courses are mostly technological, managerial, and professionally oriented, and they are short and accelerated, built on different epistemological assumptions from those that are dominant in the formal education courses. The educators in the adult courses are usually professionals with a long history of hands-on experience, but without formal teaching qualifications. Some of them are foreigners (for 96 out of the 1,519 programs the educators were foreigners; 89 programs were held abroad).

The modes of teaching and learning in the adult education courses differ tremendously from those of formal teaching. This is considered an advantage both because it is regarded as more appropriate for adult learning and also because it alleviates the cultural embarrassment of adults having to become students at an advanced age.

Parallel to these courses, however, are the courses offered by the Ministry of Education (i.e., evening gymnasium, in-service training courses for teachers at the Pedagogical Institute), which follow the traditional mode of teaching and learning. So, in fact, with regard to this characteristic, there is a division of courses on the lines of the individual ministry offering the courses (Persianis 1996).

The fifth feature distinguishing adult education from mainstream general education is that, with the exception of the adult education centers and the state further education institutes (which offer cultural and advancement courses), all other institutes of adult and continuing education offer professional advancement courses (i.e., courses leading to qualifications necessary for appointment or promotion). For instance, in 1993, approximately 883 adults attended cultural courses, while 20,008 adults attended social advancement courses (Persianis 1996).

The final, and most important, feature of adult and continuing education has been its role as the source for meeting the needs of modernization, thus protecting the education system's tradition of Greek educational humanism. The goals of nonformal education are to help early school graduates to supplement their basic education, secondary school graduates to enter the world of work, and working people to acquire professional knowledge. The government covers the expenditure for public nonformal institutions.

Other public and private institutions offer courses as well, but may charge fees. It is estimated that 9.5 percent of people above the age of 18 attend nonformal education provided through various agencies and institutions, including evening gymnasia, part-time institutes, adult education centers, the Industrial Training Authority, and the Cyprus Productivity Center (Papanastasiou 1995).


Distance Learning: Cyprus was first introduced to cyberspace in 1990 (Miltiadou 1996). The Ministry of Education and Culture (MEC) recognized the significant academic uses of computers for a small country like Cyprus, and in the late 1990s, it was the first government department to connect with the European Academic and Research Network (EARN). The Trans-European Research and Education Networking Association (TERENA) was formed in 1994 by the merger of RARE (Réseaux Associés pour la Recherche Européenne) and EARN, "to promote and participate in the development of a high quality international information and telecommunications infrastructure for the benefit of research and education."

In October 1996 the Ministry of Education and Culture was invited to attend the Web for Schools (WfS)conference in Dublin, Ireland. The WfS program, funded by the European Union, is designed to produce a self-sustaining group of secondary school teachers who have the skills, knowledge, and understanding necessary to collaborate in order to use the World Wide Web to produce learning materials.

The Cyprus Fullbright Commission has created a web page that provides information about its grants to Cypriot and U.S. residents, educational advice concerning studies in the United States, and information on special bicommunal projects between the Republic of Cyprus and the Turkish-Cypriot side. Hypertext links provide U.S. education resources and other interesting links to students and teachers in Cyprus (Miltiadou 1996).


Teaching Profession


Preservice Teacher Training: Admission standards to the elementary education major at the University of Cyprus have been compared to those at U.S. institutions and were determined to be higher (Papanastasiou & Papanastasiou 1997). In order to be admitted to the Department of Education at the University of Cyprus, students have to compete with approximately 2,000 other candidates in the fiercely competitive University Entrance Examinations. Among those 2,000 candidates, only 150 are admitted to the elementary education program every year.

Since these examinations are highly competitive, the students that eventually get these positions are the best candidates. These students rank among the top 10 percent of the candidates that want to enter the elementary education major (Papanastasiou 1989).

At least one study of the factors influencing students' decisions to major in elementary education suggested that the external, extrinsic factors were the most compelling: high salaries, variety of benefits, guaranteed employment after graduation, job security, multiple job possibilities, and long vacations (Papanastasiou & Papanastasiou 1997). Intrinsic factors were reported to be the most compelling for a U.S. sample of elementary education majors who focused on the love of working with and teaching children. Certainly the national context for these disparate groups would need to be considered in applying the findings.

Cypriot preprimary and primary student teachers are trained through courses equivalent to a four-year bachelor's degree in education. However, neither the Pedagogical Academy of Cyprus nor the Department of Education at the University of Cyprus requires any compulsory course on curriculum development (Kyriakides 1999). The lack of emphasis on pedagogy is echoed at the secondary level, as well. To become a secondary teacher, the candidate must obtain a university degree related to the specific subject to be taught. Initial teacher training is not required.

Initial teacher training has an optional element on special needs, and teachers in regular schools can attend various in-service training courses about different aspects of special needs. Teachers specializing in special education may need to travel abroad for extended training in special education but have in-service training opportunities within Cyprus (UNESCO 1995).


In-Service Teacher Training: The in-service teacher training (INSET) of primary and secondary school teachers is the task of the Pedagogical Institute. There is no school-based INSET, though the argument for such has been provided for some time. Optional courses provided by the Pedagogical Institute are the main kind offered by INSET. The seminars are primarily held in the afternoon and may be difficult for teachers to attend. Moreover, the decision to attend these courses seems to be purely individual, rather than as part of an educational plan or building team outcome. This seems to support the interpretation that there is a lack of coherent educational planning in each school (Kyriakides 1999).

All secondary teachers must undergo in-service training during the first year of their probationary period. This compulsory training is provided by the Pedagogical Institute. Reduced teaching hours accommodate the weekly training. While the 1997 UNESCO report, "Appraisal Study on the Cyprus Education System," reported that INSET offered a balance between pedagogical considerations and subject teaching, Kyriakides's 1999 review of the model contested this claim because curriculum change and curriculum reform were not included. In addition, topics like school effectiveness and school improvement were not offered. Kyriakides called for professional development that linked teachers to the process of curriculum change.

In November 1999 the Ministry of Education and Culture, committed to the upgrading of educational provisions in public schools in Cyprus, organized an international workshop called The Teaching of Modern Languages to Mixed Ability Classes. The workshop, organized in collaboration with the European Center of Modern Languages of the Council of Europe (in Graz, Austria), with the assistance of the British Council, Goethe Institute, and other organizations, was held in No- vember 1999 in Nicosia. It was attended by 25 delegates from European countries with 15 local participants, mainly foreign language teachers at the secondary level. The aims of the workshop were to provide participants with input regarding the nature of mixed ability teaching and the key elements involved; examine the complex interaction of pupils, teachers, and materials in instruction so as to promote effective learning and teaching strategies; explore ways of assessing learners' performance in mixed ability classes; and encourage the exchange of relevant ideas and successful practices among foreign language teachers (Christodoulou 1999).

The Minister of Education and Culture, Ouranios Loannides, addressed the 30th session of the UNESCO General Conference (October to November 1999) in Paris. Cyprus has been a member of this organization since 1961 and has participated actively in its programs in the fields of education, science, and culture. In his address, the minister referred to Major Areas of the Proposed Program for the period 1999-2001. Concerning Major Program I, which deals with education for all throughout life, Loannides pointed out that illiteracy on the island has been eradicated, with attendance in primary and secondary education at 100 percent while approximately 60 percent of school graduates continue their studies beyond secondary level. Measures have been adopted for enhancing adult education, such as evening schools, institutes for further education, and an open university. Concerning Major Program II, which deals with the sciences in the service of development, the minister reported that a new type of school will be introduced where time allocated to science education is increased and more emphasis is placed on experimental and practical work (Christodoulou 1999).


Summary


Cyprus entered the twenty-first century as a divided nation state. Nearly three decades of ethnic conflict are symbolized in its divided capitol city, Nicosia. The United Nations peacekeeping forces stationed in Cyprus are a daily reminder to a generation that has suffered the pain of the Cyprus conflict. The effect of this ethnic conflict on students and the educational process is hard to understand or measure. The necessity for further research into the psychological effects of ethnic and political conflicts on children in general, and in Cyprus in particular, has been emphasized (Charalambous 2001; Erduran 1996; Ladd and Cairns 1996). The situation of the children of some 200,000 refugees is particularly vulnerable.

Though Cyprus cannot be characterized as a multilingual society, it has many small ethnic communities living permanently on the island, less permanent groups who live on the island for economic reasons but do not have their own language schools, and repatriated Cypriots who rely on state schools for their children's education. The monolingual Greek Cypriot educational system needs to be considered in the evaluation of the academic success of these students, particularly those who are bilingual and multilingual.

The division of Cyprus has impacted the languages of instruction. The political decision to offer foreign languages but not the language of the other major ethnic group on the island provides a stumbling block for dialogue between the Greek Cypriot and Turkish Cypriot communities. The increase in mixed-ethnic marriages and the addition of other ethnic groups and respective ethnic languages heightens the need for additional study and consideration of the official languages of instruction and the offering of foreign languages in Cypriot schools.

Representatives from the educational system could be sending teachers and sharing ideas with developing countries. As Bradshaw noted (1993), the educational system in Cyprus has distinguished itself in the following areas: highly qualified and sought after graduates of both gymnasium and technical/vocational programs, with top students continuing to study abroad after completion of secondary programs; well-established, ongoing curriculum development; and foremost skills in the translation of technical manuscripts, textbooks, and materials into the modern Greek language.

Based on the Bradshaw's (1993) experiences in Cyprus, the following suggestions were made to reduce tension between the two Cypriot communities and to enhance the quality of technical education: use a neutral language for instruction, perhaps English; free the technical school curriculum from religious education and allocate time for religious education for each student while having it taught within the religious communities of the family's choice by qualified religion teachers; free the technical school curriculum from ethnic history with provisions for historical background to be delivered outside the technical school curriculum and facilities; and develop a counseling program specifically designed to identify individual student weaknesses, prepare individual educational plans to address these deficiencies, and place students in classes where each has the opportunity to maximize his or her educational experience.

Regarding Bradshaw's first recommendation, Coufoudakis (2001) cautioned that Bradshaw's recommendations do not recognize either the educational traditions of the island or the political realities as they exist. Similar recommendations have been made for other divided ethnic societies, and were even made for countries like Germany during the Cold War. How could a bicommunal country like Cyprus abandon its traditional languages and opt for English? Recommendations of this type reflect a lack of understanding of the cultural foundations of societies (personal communication, March 15, 2001).

Curriculum change should be based on a two-way relationship of pressure and support and continuous negotiation between the center and the periphery which will amount to both top-down and bottom-up influences (Fullan 1993; Turnbull 1985). Both educational theory and teachers' perceptions should be taken into account by policymakers when they attempt to design and/or evaluate the national curriculum. The new model of curriculum change should also advocate the need for both national and local curricula. The new role of teachers will encourage both professional autonomy and self-motivated development that have been seen as significant sources of curriculum change (Kyriakides 1999). Finally, a close relationship between initial and in-service training with curriculum policy does not exist in Cyprus, but is required (Kyriakides 1999).

Koyzis (1997) has highlighted several poignant questions that require ongoing consideration as Cyprus evolves its educational policy: "What is the nature of Cypriot society? Should this be perceived as an extension of Greek society? Or rather is it unique and pluralistic enough to be able to be considered as a separate entity?" In addition to these questions should be added the challenge highlighted by Anastasiou (1995): the needs and future of tertiary education in Cyprus so that a planned development of Cyprus can occur.

The creation around the world of nation-states as political entities has relied greatly on the institutional socialization of the masses; state-controlled education has provided the major means of accomplishing the goal. Through homogenization, or the perception of sameness, a uniform account of history, culture, and national identity can be promoted. The division in Cyprus has made such homogenization difficult, as participants in and observers of the process explain that the focus has been on the differences rather than the similarities that have bound the communities of Cyprus together (Charalambous 2001; Gellner 1983; Hobsbawm 1990; Spyrou 2000).

"Teaching students in separate Greek and Turkish schools was perhaps one of the greatest errors in the recent history of the island" (Loizos 1974; Spyrou 2000). Furthermore, "the continuing division of the island is a testament to the thorough success of these curricula" (Charalambous 2001). Yet another scholar adds that, "if present difficulties are to be overcomeand the key to their solution probably lies far from Cyprus, as far away as Washington and Moscowit will once again play its historic role as a bridge between east and west" (Browning 1990). Discourse regarding education in Cyprus needs to be founded on the awareness of curriculum as "a political document 'that reflects the struggles of opposing groups to have their interests, values, histories, and politics dominate the school curriculum' fully applies in the case of Cyprus" (Koutselini-Ioannidou 1997).

The challenge for educators in the twenty-first century is to provide an education system that facilitates overcoming these difficultiesto promote tolerance, understanding, and respect as educators prepare future generations of citizens to lead meaningful lives in a globally interconnected, interdependent universe.


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Tonya Huber

Cyprus

views updated Jun 27 2018

Cyprus

PROFILE
PEOPLE AND HISTORY
GOVERNMENT
POLITICAL CONDITIONS
ECONOMY
FOREIGN RELATIONS
U.S.-CYPRUS RELATIONS
TRAVEL

Compiled from the January 2008 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:

Republic of Cyprus

PROFILE

Geography

Area: 9,251 sq. km. (3,572 sq. mi.); about the size of Connecticut.

Cities: Capital—Nicosia (pop. 197,800, 2000 fig.). Other cities—Limassol, Larnaca, Famagusta, Paphos, Kyrenia, Morphou.

Terrain: Central plain with mountain ranges to the north and south.

Climate: Mediterranean with hot, dry summers and cool, wet winters.

People

Nationality: Noun and adjective—Cypriot(s).

Population: (2006 est.) government-controlled area 778,700; area administered by Turkish Cypriots 264,172.

Annual population growth rate: (2006 est.) government-controlled area: 1.6%; area administered by Turkish Cypriots: 0.98%

Ethnic groups: (1960 census) Greek (77%), Turkish (18%), Armenian and other (4%).

Religions: Greek Orthodox, Muslim, Maronite, Roman Catholic, Armenian Orthodox.

Languages: Greek, Turkish, English.

Education: Years compulsory—6 in elementary; 3 in high school. Attendance—almost 100%. Literacy—about 99%.

Health: Infant mortality rate—7.04/ 1,000. Life expectancy—77 yrs.; males 75 yrs.; females 80 years.

Work force: Government-controlled area (2006), 373,000: agriculture and mining—7.4%; industry—38.2%; and services—54.4%. Turkish Cypriot-administered area (2005), 95,000: agriculture—14.5%; industry—29%; and services—56.5%.

Government

Type: Republic.

Independence: August 16, 1960.

Constitution: August 16, 1960.

Government branches: Executive—President elected to 5-yr. term. Legislative—unicameral House of Representatives, members elected to 5-yr. terms. Judicial—Supreme Court; six district courts.

Political subdivisions: Six.

Political parties: Greek Cypriots—Progressive Party of Working People or Anorthotikon Komma Erga-zomenou Laou—AKEL (communist); Democratic Party or Dimokratikon Komma—DIKO (center-right); Democratic Rally or Dimokratikos Synagermos—DISY (right); Movement for Social Democracy or Eleftheron Dimokratikon—EDEK (socialist); United Democrats or Enomeni Dimokrates—ED (center-left). Turkish Cypriots—National Unity Party or Ulusal Birlik Partisi—UBP (right); Democrat Party or Demokrat Partisi—DP (center-right); Republican Turkish Party or Cumhuriyetci Turk Partisi—CTP (center-left); Freedom and Reform Party or Free Party—Ozgurluk ve Reform Partisi—OP (center-right); Peace and Democracy Movement or Baris ve Demokrasi Hareketi—BDH (center-left); Communal Liberation Party or Toplumcu Kurtulus Partisi—TKP (center-left); New Party or Yeni Parti; Communal Democracy Party or Toplumcu Demokrasi Partisi—TDP.

Suffrage: Universal at age 18.

Economy

Section refers to the government-controlled area unless otherwise specified.

GDP: (2007) $20.98 billion.

Annual GDP real growth rate: (2007) government-controlled area:3.8%.

Per capita GDP income: Greek Cypriots (2006)—$23,672; Turkish Cypriots (2006)—$11,802.

Agriculture and natural resources: (2006) 3.2% of GDP. Products—potatoes and other vegetables, citrus fruits, olives, grapes, wheat, carob seeds. Resources—pyrites, copper, asbestos, gypsum, lumber, salt, marble, clay, earth pigment.

Industry and construction: (2006) 19.2% of GDP. Types—mining, cement, construction, utilities, manufacturing, chemicals, non-electric machinery, textiles, footwear, food, beverages, tobacco.

Services and tourism: (2006) 77.6% of GDP. Trade, restaurants, and hotels 19.5%; transport 8.2%; finance, real estate, and business 24.9%; government, education, and health 20.5%; and community and other services 4.6%.

Trade: (2006) Exports—$1,619 billion: citrus, grapes, wine, potatoes, pharmaceuticals, clothing, and footwear. Major markets—EU (especially the U.K. and Greece), Middle East, Russia. Imports—$6,345 billion: consumer goods, raw materials for industry, petroleum and lubricants, food and feed grains. Major suppliers—Greece, Italy, Germany, U.K. (U.S. trade surplus—for 2006: $100.6 million.)

PEOPLE AND HISTORY

Since 1974, Cyprus has been divided de facto into the government-controlled two-thirds of the island and the remaining one-third of the island, which is administered by Turkish Cypriots. Greek and Turkish Cypriots share many customs but maintain distinct identities based on religion, language, and close ties with their respective “motherlands.” Greek is predominantly spoken in the south, Turkish in the north. English is widely used. Cyprus has a well-developed system of primary and secondary education. The majority of Cypriots earn their higher education at Greek, Turkish, British, and other European or American universities. Both the Greek Cypriot and Turkish Cypriot communities have developed private colleges and state-supported universities.

Cypriot culture is among the oldest in the Mediterranean. By 3700 BC, the island was well inhabited, a crossroads between East and West. The island fell successively under Assyrian, Egyptian, Persian, Greek, and Roman domination. For 800 years, beginning in 364 AD, Cyprus was ruled by Byzantium. After brief possession by King Richard I (the Lion-Hearted) of England during the Crusades, the island came under Frankish control in the late 12th century. It was ceded to the Venetian Republic in 1489 and conquered by the Ottoman Turks in 1571. The Ottomans applied the millet system to Cyprus, which allowed religious authorities to govern their own non-Muslim minorities. This system reinforced the position of the Orthodox Church and the cohesion of the ethnic Greek population. Most of the Turks who settled on the island during the three centuries of Ottoman rule remained when control of Cyprus—although not sovereignty—was ceded to Great Britain in 1878. Many left for Turkey during the 1920s, however. The island was annexed formally by the United Kingdom in 1914 at the outbreak of World War I and became a crown colony in 1925.

Cyprus gained its independence from the United Kingdom and established a constitutional republic in 1960, after an anti-British campaign by the Greek Cypriot EOKA (National Organization of Cypriot Fighters), a guerrilla group that desired political union, or enosis, with Greece. Archbishop Makarios, a charismatic religious and political leader, was elected president.

Shortly after the founding of the republic, serious differences arose between the two communities about the implementation and interpretation of the constitution. The Greek Cypriots argued that the complex mechanisms introduced to protect Turkish Cypriot interests were obstacles to efficient government. In November 1963, President Makarios advanced a series of constitutional amendments designed to eliminate some of these special provisions. The Turkish Cypriots opposed such changes. The confrontation prompted widespread intercommunal fighting in December 1963, after which Turkish Cypriots ceased to participate in the government. Following the outbreak of intercommunal violence, many Turkish Cypriots (and some Greek Cypriots) living in mixed villages began to move into enclaved villages or elsewhere. UN peacekeepers were deployed on the island in 1964. Following another outbreak of inter-communal violence in 1967-68, a Turkish Cypriot provisional administration was formed.

In July 1974, the military junta in Athens sponsored a coup led by extremist Greek Cypriots against the government of President Makarios, citing his alleged pro-communist leanings and his perceived abandonment of enosis. Turkey, citing the 1960 Treaty of Guarantee, intervened militarily to protect Turkish Cypriots.

In a two-stage offensive, Turkish troops took control of 38% of the island. Almost all Greek Cypriots fled south while almost all Turkish Cypriots fled north. Since the events of 1974, UN peacekeeping forces have maintained a buffer zone between the two sides. Except for occasional demonstrations or infrequent incidents between soldiers in the buffer zone, the island was free of violent conflict from 1974 until August 1996, when violent clashes led to the death of two demonstrators and escalated tension. The situation has been quiet since 1996.

GOVERNMENT

Since 1974, Cyprus has been divided de facto into the government-controlled two-thirds of the island and the Turkish Cypriot-administered one-third. The Government of the Republic of Cyprus has continued to be the only internationally recognized authority; in practice, its authority extends only to the government-controlled area.

The 1960 Cypriot constitution provided for a presidential system of government with independent executive, legislative, and judicial branches, as well as a complex system of checks and balances, including a weighted power-sharing ratio designed to protect the interests of the Turkish Cypriots. The executive, for example, was headed by a Greek Cypriot president and a Turkish Cypriot vice president, elected by their respective communities for 5-year terms, and each possessing a right of veto over certain types of legislation and executive decisions. The Greek Cypriot-controlled Republic of Cyprus retains most elements of the presidential system of government expressed in the constitution, although it has cited the Turkish Cypriots' “withdrawal from government” and the “law of necessity” to enact structural changes that allow “effective governance.”

Following the 1974 hostilities, the Turkish Cypriots set up their own institutions in the area they administered with an elected “president” and a “prime minister” responsible to the “National Assembly” exercising joint executive powers. In 1983, the Turkish Cypriots declared an independent “Turkish Republic of Northern Cyprus” (“TRNC”). The United States does not recognize the “TRNC,” nor does any country other than Turkey.

POLITICAL CONDITIONS

Historically, none of the Greek Cypriot parties has been able to elect a president by itself or dominate the 56-seat House of Representatives. The 165,000 Greek Cypriot refugees from the area now administered by Turkish Cypriots are a potent political force, along with the independent Orthodox Church of Cyprus, which has some influence in secular as well as religious matters. In February 2003, Greek Cypriots elected Tassos Papadopoulos, leader of the center-right Democratic Party (DIKO), as president of the Republic of Cyprus. President Papadopoulos was supported by a broad coalition of parties ranging from his own DIKO to communist AKEL. AKEL withdrew from the arrangement in July 2007 after party leadership, who opposed Papa-dopolous's unilateral decision to represent the coalition in a February 2008 re-election campaign, instead called for party leader Dimitris Christofias to run. AKEL's four min-

isters resigned shortly thereafter. All major parties hold seats in the National Council, the top advisory board to the president on Cyprus settlement issues, although opposition DISY withdrew from the body in February 2006.

Parliamentary elections last took place in May 2006. AKEL emerged the leading party, garnering 31% of votes cast, with DISY a close second with 30%; each is represented in parliament by 18 MPs. Until the party's withdrawal from government, AKEL led a legislative coalition that depended on DIKO (11 seats) and EDEK (5) support, while DISY heads the opposition.

Mehmet Ali Talat was elected in April 2005 as leader of the Turkish Cypriot community (as the so-called “President of the TRNC”), replacing long-time nationalist leader Rauf Denktash. Talat's political rise was due largely to his support of the UN Settlement Plan for Cyprus (the “Annan Plan”), which Rauf Denktash opposed, but which was supported by a majority of Turkish Cypriots in a 2004 referendum. Talat's political allies in the Republican Turkish Party (CTP) currently hold 25 of the 50 seats in the “TRNC National Assembly,” and have had to establish a series of coalitions to form a stable “government.” In January 2004, the CTP teamed up with the Democrat Party (DP) of Serdar Denktash, a coalition which continued in various forms—first with Talat as “Prime Minister” and then, after Talat's election as “President,” under the leader-ship of CTP leader Ferdi Sabit Soyer—until September 2006. At that time, CTP formed a new coalition with the newly formed Freedom and Reform Party (Free Party, OP), with Soyer retaining his post as “PM” and OP party leader Turgay Avci replacing Serdar Denktash as “Deputy Prime Minister” and “Foreign Minister.”

Attempts To Achieve a Cyprus Settlement

The first UN-sponsored negotiations to develop institutional arrangements acceptable to both communities began in 1968; several sets of negotiations and other initiatives followed. Turkish Cypriots focus on bizonality, security guarantees, and political equality between the two communities. Greek Cypriots emphasize the rights of movement, property, settlement, and the return of territory. Turkish Cypriots favor a loose grouping of two nearly autonomous societies living side by side with limited contact. Greek Cypriots envision a more integrated structure.

The last major UN-led effort to deliver a Cyprus solution commenced in January 2002 with Secretary General Kofi Annan orchestrating direct talks between the Greek and Turkish Cypriot community leaders. Nine months later Annan released a comprehensive settlement proposal, informally called “the Annan Plan”. Intensive efforts were made to gain both sides' support for the plan prior to the December 2002 European Union (EU) Summit in Copenhagen, where member states would determine the island's future status vis-a-vis the union. Neither side agreed to the Annan Plan before the summit.

UN-sponsored talks continued following Copenhagen. In February 2003, Tassos Papadopoulos was elected president of the Republic of Cyprus. A year later, President Papadopoulos and then-Turkish Cypriot leader Rauf Denktash resumed negotiations on the Annan Plan. A comprehensive settlement package was put to both sides in simultaneous referenda on April 24, 2004. Sixty-five percent of Turkish Cypriots endorsed the Annan Plan, but a larger majority of Greek Cypriots (76%) voted “no.” The Secretary General later suspended his Good Offices Mission. Nonetheless, the EU invited the Republic of Cyprus (with Cyprus still divided) to join; the Republic of Cyprus became a full member on May 1, 2004, with the EU's acquis communautaire suspended in the area administered by Turkish Cypriots.

For two years following the Annan Plan referenda, the island saw little progress toward reunification. However, Under Secretary for Political Affairs Ibrahim Gambari, in his July 2006 visit to Cyprus, succeeded in securing commitment from both sides to commence exploratory talks, and on July 8, community leaders President Papadopoulos and Mr. Talat and met for the first time since 2004. They agreed to a UN-brokered negotiating framework that envisioned the establishment of technical committees to tackle everyday life issues and expert working groups to discuss substantive matters. A March 27, 2007 UN Security Council press statement urged the two communities to quickly begin implementing the July 8, 2006 agreement. While negotiators continue meeting frequently under the auspices of the UN Secretary General's Special Representative on Cyprus, the committees and working groups have yet to convene, and the July 8 agreement's anniversary passed without significant movement on negotiations. On September 5, 2007 President Papadopoulos and Mr. Talat met for the first time in 14 months. No agreement was reached to implement the July 8, 2006 agreement but, according to a UN press release, both “agreed on the need for the earliest start of the process, and discussed other issues, leading to a comprehensive settlement.”

Bi-Communal Contact, Crossing Procedures

In April 2003, then-leader of the Turkish Cypriots Denktash relaxed many restrictions on individuals crossing between the two communities leading to relatively unimpeded bi-communal contact for the first time since 1974. Since the relaxation, there have been nearly 12,000,000 buffer zone crossings in both directions. Under the current regulations, Greek Cypriots must present identity documents to cross to the area administered by Turkish Cypriots, something many are reluctant to do. They are able to drive their personal vehicles in the area administered by Turkish Cypriots, provided they first obtain a policy from a Turkish Cypriot insurance provider. Turkish Cypriots are permitted to cross into the government-controlled area upon presentation of a Turkish Cypriot ID card or other identity documentation acceptable to Republic of Cyprus authorities. They must also obtain car insurance from an insurer in the government-controlled area to drive their personal vehicles there.

Until recently, visitors choosing to arrive at non-designated airports and seaports in the area administered by Turkish Cypriots were not allowed to cross the United Nations-patrolled “green line” to the government-controlled area. In June of 2004, however, Cypriot authorities implemented new EU-related crossing regulations that allowed Americans (and citizens of most other countries) to cross freely regardless of their port of entry into Cyprus. Visitors arriving in the government-controlled area are normally able to cross the green line without hindrance, although on occasion difficulties are encountered at both the Greek Cypriot and Turkish Cypriot checkpoints. The Government of Cyprus considers ports in the area administered by Turkish Cypriots to be illegal. Policy and procedures regarding such travel are subject to change. More information on current procedures may be obtained at the UN “Buffer Zone” Ledra Palace checkpoint in Nicosia or by referral to the U.S. State Department's Country Specific Information sheet on Cyprus at: http://www.travel.state.gov.

Principal Government Officials

Last Updated: 2/1/2008

Pres.: Tassos PAPADOPOULOS

Min. of Agriculture, Natural Resources, & Environment: Fotis FOTIOU

Min. of Commerce, Industry, & Tourism: Antonis MICHAELIDES

Min. of Communications & Works: Maria Malachtou PAMPALLI

Min. of Defense: Christodoulos PASHIARDIS

Min. of Education & Culture

Min. of Finance: Michalis SARRIS

Min. of Foreign Affairs: Erato KOZAKOU-MARCOULLIS

Min. of Health: Kostandinos KADIS

Min. of Interior: Christos PATSALIDES

Min. of Justice & Public Order: Sophoclis SOPHOCLEOUS

Min. of Labor & Social Insurance: Antonis VASSILIOU

Under sec. to the pres.: Yeoryios HATZIANASTASIOU

Governor, Central Bank: Athanasios ORPHANIDES

Ambassador to the US: Andreas KAKOURIS

Permanent Representative to the UN, New York: Andreas MAVROYIANNIS

Cyprus maintains an embassy in the United States at 2211 R Street NW, Washington, DC 20008 (tel. 202-462-5772) and a Consulate General in New York City. Cyprus also maintains a trade center at 13 East 40th Street, New York, NY 10016 (tel. 212-686-6016). Turkish Cypriots maintain offices in Washington (tel. 202-887-6198) and at the Republic of Turkey's Mission to the United Nations.

ECONOMY

Cyprus has an open, free-market, services-based economy with some light manufacturing. Cyprus' accession as a full member to the European Union as of May 1, 2004, has been an important milestone in its recent economic development. The Cypriots are among the most prosperous people in the Mediterranean region. Internationally, Cyprus promotes its geographical location as a “bridge” between three continents, along with its educated English-speaking population, moderate local costs, good airline connections, and telecommunications.

In the past 20 years, the economy has shifted from agriculture to light manufacturing and services. Currently, agriculture makes up only 3.2% of the GDP and employs 7.1% of the labor force. Industry and construction contribute 19.2% and employ 20.8% of the labor force. The services sector, including tourism, contributes 77.6% to the GDP and employs 72.1% of the labor force. As in recent years, the services sector, and tourism in particular, provided the main impetus for growth. Manufactured goods account for 58.3% of domestic exports, while potatoes and citrus constitute the principal export crops. The island has few proven natural resources. This may change, however, as in March 2007, the Government of Cyprus launched a licensing round to explore for possible offshore oil and gas reserves off its southern coast. Trade is vital to the Cypriot economy and most goods are imported. The trade deficit increased in 2006, reaching $5.7 billion. Cyprus must import fuels, food, most raw materials, heavy machinery, and transportation equipment. More than 68% of its trade in goods is with the European Union, particularly with Greece, Italy and the United Kingdom, compared to less than 2% with the United States

GNP growth rates have gradually begun to decline as the Cypriot economy has matured over the years. The average rate of growth went from 6.1% in the 1980s, to 4.4% in the 1990s, to 3.5% from 2000 to 2007. In the last couple of years (2006 and 2007) growth has remained fairly strong at around 3.8% and is forecast to remain so for 2008. Cyprus also managed to keep its inflation in check at 2.2% in 2007, while having the third-lowest unemployment rate in the EU-27 at around 4.8%. Public finances have also improved considerably in recent years. The fiscal deficit, which had peaked at 6.3% of GDP in 2003, was eliminated by 2007. A fiscal surplus of 1.5% of GDP took its place in 2007, likely to be followed by a 0.5% surplus in 2008. Concurrently, the public debt declined to around 60% of GDP in 2007, from 65.2% the year before.

These developments have helped pave the way for the Euro, which replaced the Cyprus pound as Cyprus' national currency as of January 1, 2008. Joining the Eurozone was a major accomplishment for the Cypriot economy, promising to result in such benefits as a higher degree of price stability, lower interest rates, reduction of currency conversion costs and exchange rate risk, and increased competition through greater price transparency. Cyprus will allow both the Euro and the Cyprus pound to circulate on the island for a period of one month after January 1, 2008. Commercial banks will exchange Cyprus pound banknotes and coins free of charge until June 30, 2008. The Central Bank will exchange national coins free of charge until the end of 2009 and national banknotes until the end of 2017. Dual pricing in Cypriot pounds and Euros will be mandatory from September 1, 2006 until July 31, 2008. The final conversion exchange rate between the Cypriot pound and the Euro was one Euro per 0.585274 Cyprus pounds. The following website offers additional information on the mechanics of Cyprus's adoption of the Euro: http://www.euro.cy/euro/euro.nsf/dmlindex_en/dmlindex_en?OpenForm

Investment Climate

In the run-up to EU accession (May 1, 2004), Cyprus dismantled most investment restrictions, attracting increased flows of foreign direct investment (FDI), particularly from the EU. Cyprus has good business and financial services, modern tele-communications, an educated labor force, good airline connections, a sound legal system, and a low crime rate. Cyprus' geographic location, tax incentives and modern infrastructure also make it a natural hub for companies looking to do business with the Middle East, Eastern Europe, the former Soviet Union, the European Union, and North Africa. As a result, Cyprus has developed into an important regional and international business center. According to the latest United Nations Conference on Trade and Development (UNCTAD) “World Investment Report 2006,” Cyprus ranks among the world's leading countries per capita in terms of attracting FDI. Non-EU investors (both natural and legal persons) may now invest freely in Cyprus in most sectors, either directly or indirectly (including all types of portfolio investment in the Cyprus Stock Exchange). The only exceptions concern primarily the acquisition of property and, to a lesser extent, restrictions on investment in the sectors of tertiary education, banking, and mass media.

In 2006, the inflow of FDI reached U.S. $1.50 billion, compared with U.S. $1.18 billion in 2005. The geographic origin of new investment in 2006 was the EU 27.6%; non-EU countries in Europe 23.2%; and Asia 35.1%. In terms of sectoral allocation, incoming FDI in 2006 went to the following sectors: mining and quarrying 1.7%; construction 3.9%; trade and repairs 17.1%; financial intermediation 14.6%; real estate and business activities 35.0%; and other services 27.7%.

The flow of U.S. investment in Cyprus reached U.S. $51.9 million in 2006 or 3.4% of Cyprus' total inward FDI. The stock of U.S. investment in the island was U.S. $298.9 million at the end of 2006. U.S. investment in 2006 was focused in real estate and business activities (U.S. $27.9 million) as well as mining and quarrying (U.S. $22.2 million). Projects involving U.S. investment in recent years have included a well-known U.S. coffee retailing franchise, a university, an information technology firm, an equestrian center, a hair products manufacturing unit, a firm trading in health and natural foodstuffs, and a financial services company. U.S. investors may benefit from Cyprus' abolition of EU-origin investment restrictions, provided they operate through EU subsidiaries.

Additional information, with graphs, on foreign direct investment statistics can be obtained from: http://www.investincyprus.gov.cy.

European Union (EU)

Along with the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia, and Slovenia, the Republic of Cyprus entered the EU on May 1, 2004. The EU acquis communautaire is suspended in the area administered by Turkish Cypriots pending a Cyprus settlement.

Export Opportunities

Best prospects for U.S. firms generally lie in services, high technology sectors, such as computer equipment and data processing services, financial services, environmental protection technology, medical and telecommunications equipment, desalination and water purification equipment and services, and tourism development projects such as casinos, marinas, and golf courses. Moreover, alternative energy sources and the energy sector in general, are attracting an increasing amount of attention, while the possible existence of natural gas and petroleum reserves off the southern and eastern coast of Cyprus opens up new prospects. U.S. food franchises and apparel licensors are also finding fertile ground for expansion in Cyprus.

The Government of Cyprus, through the Ministry of Commerce, announced its plans to license 11 offshore blocks for exploration and exploitation of oil and natural gas within its Exclusive Economic Zone (EEZ). In August 2007 bidding opened for exploration of 11 offshore blocks, primarily to the south and southeast of Cyprus. Only 2 groups bid on 3 blocks: a consortium comprised of small U.K., Norwegian, and U.A.E. companies, and Noble Energy of Houston. Negotiations between the Cypriot Ministry of Commerce and the bidders were expected to begin in late December 2007, but due to the elections and political difficulties relating to the import of natural gas, negotiations have been delayed until after the February 2008 presidential elections.

Trade Between Cyprus and the United States

The U.S. Embassy in Nicosia sponsors a popular pavilion for American products at the annual Cyprus International State Fair and organizes other events to promote U.S. products throughout the year. The U.S. runs a significant trade surplus with Cyprus, on the order of $100.6 million in 2006 (exports of $111.0 million versus imports of $10.5 million—according to Republic of Cyprus statistics).

Principal U.S. goods exports to Cyprus include office machines and data processing equipment; electrical appliances; optical, measuring, and medical equipment; tobacco and cigarettes; passenger cars; and wheat. Principal U.S. imports from Cyprus consist of dairy products, fresh fish, and mineral substances.

Bilateral business ties also encompass a healthy exchange in services. In 2006, the inflow of services (from the United States to Cyprus) was $552.8 million, against an outflow (from Cyprus to the United States) of $335.9 million, according to Republic of Cyprus statistics.

Turkish Cypriot Economy

The economy of the Turkish Cypriot-administered area is dominated by the services sector including the public sector, trade, tourism and education, with smaller agriculture and light manufacturing sectors. The economy operates on a free-market basis, although it continues to be handicapped by the political isolation of Turkish Cypriots, the lack of private and public investment, high freight costs, and shortages of skilled labor.

Despite these constraints, the Turkish Cypriot economy turned in an impressive performance from 2003 to 2006, with estimated growth rates of 7.8% in 2006, 10.6% in 2005, 15.4% in 2004, and 11.4% in 2003. Over the same period, GDP per capita more than doubled; according to unofficial Turkish Cypriot statistics it reached $11,802 by the end of 2006. This growth has been buoyed by the relative stability of the Turkish Lira, the employment of around 5,000 Turkish Cypriots in the Greek Cypriot economy where wages are significantly higher, and by a boom in the education and construction sectors. In 2006, the services sector accounted for nearly two-thirds of GDP, industry and construction accounted for 22.5% of GDP, and agriculture 8.4%, according to Turkish Cypriot statistics. The partial lifting of travel restrictions between the two parts of the island in April 2003 has allowed movement of persons—over 12 million crossings to date—between the two parts of the island with no significant interethnic incidents.

Turkey remains, by far, the main trading partner of the area administered by Turkish Cypriots, supplying 65% of imports and absorbing around 50% of exports. In a landmark case, the European Court of Justice (ECJ) ruled on July 5, 1994 against the British practice of importing produce from the area based on certificates of origin and phytosanitary certificates granted by “TRNC” authorities.

The ECJ decision resulted in a considerable decrease of Turkish Cypriot exports to the EU—from $36.4 million (or 66.7% of total Turkish Cypriot exports) in 1993 to $13.8 million in 2003 (or 28% of total exports). In August 2004, new EU rules allowed goods produced or substantially transformed in the area administered by Turkish Cypriots to be sold duty-free to consumers in the government-controlled area and through that area to the rest of the EU. To qualify, goods must also meet EU sanitary/phytosanitary requirements. Animal products are excluded from this arrangement.

In May 2005, Turkish Cypriot authorities adopted a new regulation “mirroring” the EU rules and allowing certain goods produced in the government-controlled areas to be sold in the area administered by Turkish Cypriots. (However, suppliers cannot legally transport imported products over the green line in either direction.) Despite these efforts, direct trade between the two communities remains limited.

The EU continues to be the second-largest trading partner of the area administered by Turkish Cypriots, with a 22% share of total imports and 27% share of total exports. Total imports increased to $1.3 billion in 2006, while total exports decreased slightly to $65 million. Imports from the U.S. reached $9.3 million in 2006, while exports to the U.S. were less than $70,000.

Assistance from Turkey is crucial to the Turkish Cypriot economy. Under the latest economic protocol (signed in 2006), Turkey undertakes to provide Turkish Cypriots financial assistance totaling 1.875 billion New Turkish Lira (YTL—roughly $1.34 billion) over a three-year period (600 million YTL in 2007, 625 million YTL in 2008 and 650 million YTL in 2009). Turkey also provides millions of dollars annually in the form of low-interest loans to mostly Turkish entrepreneurs in support of export-oriented industrial production and tourism. Total Turkish assistance to Turkish Cypriots since 1974 is estimated to have exceeded $4 billion.

FOREIGN RELATIONS

The Republic of Cyprus aligns itself with European positions within the EU's Common Foreign and Security Policy. Cyprus has long identified with the West in its cultural affinities and trade patterns, and maintains close relations with Greece. Since 1974, the foreign policy of the Republic of Cyprus has sought the withdrawal of Turkish forces and the most favorable constitutional and territorial settlement possible. This campaign has been pursued primarily through international forums such as the United Nations. Turkey does not recognize the Republic of Cyprus.

The Republic of Cyprus enjoys close relations with many countries, including Greece, Russia, China, France, Israel, Egypt, Lebanon, and other countries in the region. Cyprus is a member of the United Nations and most of its agencies, as well as the World Trade Organization, the World Bank, International Monetary Fund, Council of Europe and the British Commonwealth. In addition, the government has signed the Multilateral Investment Guarantee Agency Agreement (MIGA).

U.S.-CYPRUS RELATIONS

The United States regards the status quo on Cyprus as unacceptable. Successive administrations have viewed UN-led inter-communal negotiations as the best means to achieve a fair and permanent settlement.

The United States is working closely with Cyprus in the war on terrorism. A Mutual Legal Assistance Treaty, which has been in force since September 18, 2002, facilitates bilateral cooperation. Cyprus also signed a Proliferation Security Initiative Ship Boarding Agreement with the United States on July 25, 2005, which reinforces bilateral counter-terrorism cooperation.

The United States has channeled more than $300 million in assistance to the two communities since the mid-1970s. The United States now provides approximately $15 million annually to reduce tensions and promote peace and cooperation between the two communities. In 2004, following the Annan Plan process, the U.S. appropriated an additional $30.5 million to assist economic development in the Turkish Cypriot community, aiming to reduce the economic costs of any future settlement.

Principal U.S. Embassy Officials

Last Updated: 2/19/2008

NICOSIA (E) Metochiou & Ploutarchou, P.O. Box 24536, Engomi 2407, Nicosia, Cyprus, APO/FPO US Embassy Nicosia, PSC 815, FPO AE 09836, 357-22-39-3939, Fax 357-22-780-944, INMARSAT Tel 683 -13-2645/6; fax: 683-13-2647, Workweek: M-F, 08:00-17:00, Website: http://nicosia.usembassy.gov

AMB OMS:Madeleine B. Ioannou
DCM/CHG:Jane Zimmerman
ECO:James Carouso
FM:Thomas O. Streiffert
MGT:Warren D. Hadley
AMB:Ronald L. Schlicher
CON:John R. Carlino
PAO:Tom Miller

GSO:
Jason S. Evans
RSO:Joan Andrews
CLO:Maryanne Macris & Sonia Evans
DAO:Ltc. Scott Miller
DEA:James Grace
EEO:Juliette A. Dickstein
ICASS:Chair Allen Fulcher
IMO:John Kelley Razer
IRS:Kathy Beck (Resident In Paris)
ISSO:John Kelley Razer & Robert Eddie Suttle
POL:Gregory P. Macris
State ICASS:Tom Miller

TRAVEL

Consular Information Sheet

November 1, 2007

Country Description: Since 1974, Cyprus, a developed Mediterranean island nation, has been divided de facto into a government-controlled area comprising the southern two-thirds of the island, and a northern third, (the self-declared “Turkish Republic of Northern Cyprus”), administered by Turkish Cypriots. The United States does not recognize the “ Turkish Republic of Northern Cyprus” nor does any country other than Turkey. Facilities for tourism in Cyprus are highly developed. Cyprus joined the European Union in 2004.

Entry Requirements: A passport is required for travel to Cyprus. A visa is not required for a stay of up to 90 days. For longer stays, a visa or residence permit is required. U.S. citizens should be mindful that the Government of Cyprus does not recognize the residence permits issued by Turkish Cypriot authorities for the portions of the island under Turkish Cypriot administration.

The Government of Cyprus requires all citizens of non-EU countries (including Americans) who may enter without a visa and who live outside the government-controlled area to obtain a residence permit from the Republic of Cyprus Migration Department if they remain on the island for more than 90 days. On occasion, Americans who resided in the area administered by Turkish Cypriots for more than 90 days without a Republic of Cyprus residence permit have been detained by officials at Larnaca airport and denied entry into the government-controlled area. They also may be subject to prosecution.

For further information on entry requirements for Cyprus, travelers can contact the Embassy of the Republic of Cyprus at 2211 R Street NW, Washington, DC 20008-4082, tel. (202) 462-5772, or the Cypriot Consulate in New York at 13 East 40th St., 5th Floor, New York, NY 10016, tel. (212) 686-6016/17. Visit the Embassy of Cyprus' web site at http://www.cyprusembassy.net for the most current visa information.

Safety and Security: Do not, under any circumstances, attempt to enter the U.N. buffer zone at any place other than a designated crossing point. This area is mined and militarized.

Never photograph military installations or anything that could be perceived as being of security interest (especially in the area administered by Turkish Cypriots). Pay particular attention to areas marked with “no photography” signs. Police on both sides strictly enforce these restrictions.

For the latest security information, Americans traveling abroad should regularly monitor the Department's Internet web site where the current Worldwide Caution Travel Alert, Travel Warnings and Travel Alerts can be found. Up-to-date information on safety and security can also be obtained by calling 1-888-407-4747 toll free in the U.S., or for callers outside the U.S. and Canada, a regular toll-line at 1-202-501-4444.

Crime: The crime rate in Cyprus is low but rising. Visitors in urban areas should take the normal precautions they would take in a large city. Americans frequenting bars should avoid so-called “cabarets” which sometimes employ women brought to Cyprus for sexual exploitation. These establishments can also present foreign patrons with grossly inflated bar tabs, threatening those customers who refuse to pay.

Information for Victims of Crime: The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, assist you to find appropriate medical care, contact family members or friends and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

Medical Facilities and Health Information: Medical care is available at both government hospitals and private clinics. Emergency rooms offer adequate care to stabilize patients, most of whom are then transferred to private hospitals. Many of the private-sector doctors have been trained in the United Kingdom or the United States. While fees are generally lower than those in the United States, medical supplies are often more expensive. Paramedics do not staff ambulances. The standard of medical care in the area administered by Turkish Cypriots is improving but still falls below that found in the government-controlled area. The World Health Organization considers Cyprus to be one of the healthiest areas of the Mediterranean. Water supplies are potable, and the refuse collection/sewage disposal system is adequate. Communicable diseases such as typhoid are rare. Respiratory ailments and allergies are sometimes exacerbated by the dry and dusty climate.

Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention's hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747) or via the CDC's site at http://wwwn.cdc.gov/travel. For information about outbreaks of infectious diseases abroad consult the World Health Organization's (WHO) web site at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith/en.

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Cyprus is provided for general reference only, and it may not be totally accurate in a particular location or circumstance.

In recent years Cyprus has ranked among the top three countries in Europe, on a per capita basis, in traffic fatalities. Speeding, tailgating, overtaking, and the running of caution lights are commonplace and major causes of accidents. Emergency assistance is available in the Republic of Cyprus by calling 112 or 199.

There are few public buses and no rail lines. Taxis are widely available. Traffic moves on the left side of the road, British style, and modern motorways link the major cities. Secondary roads, especially in mountainous areas, tend to be narrow and winding, and they are not as well maintained as major highways. Traffic laws, signs and speed limits are consistent with the standards used throughout Europe. Traffic circles (roundabouts) are often utilized at major intersections. The use of seat belts (in front seats) and child car seats is compulsory. Motorcyclists are required to wear helmets and the use of cellular phones while driving is prohibited unless used with some form of hands-free kit. Liability insurance is mandatory.

Road safety conditions in the area administered by Turkish Cypriots are similar to conditions in the south, except that the road network is less developed. Insurance purchased in the government-controlled areais not valid in the area administered by Turkish Cypriots, but insurance for that area may be purchased near the U.N. “buffer zone” checkpoints. Emergency assistance is available in the area administered by Turkish Cypriots by calling 155.

For specific information concerning driving permits, vehicle inspection, road tax and mandatory insurance in Cyprus, contact the Cyprus Tourism Organization at 13 East 40th Street, New York, NY 10016, tel. (212) 683-5280, email: [email protected], web site: http://www.cyprustourism.org.

Aviation Safety Oversight: Asthere is no direct commercial air service between the United States and Cyprus, the U.S. Federal Aviation Administration (FAA) has not assessed Cyprus' Civil Aviation Authority for compliance with International Civil Aviation Organization (ICAO) aviation safety standards. For more information, travelers may visit the FAA's Internet web site at http://www.faa.gov.

Special Circumstances: Since 1974, the Republic of Cyprus has designated Larnaca and Paphos international airports, and the seaports of Limassol, Larnaca, and Paphos, as the only legal points of entry into and exit from Cyprus. These ports are all in the government-controlled southern part of the island. Entry or exit via any other air or seaport is considered an illegal act by the Republic of Cyprus. Formerly, visitors choosing to arrive at non-designated airports and seaports in the area administered by Turkish Cypriots were not allowed to cross the United Nations-patrolled “buffer zone” to the government-controlled area in the south. Since June of 2004, when the Republic of Cyprus implemented new EU-related crossing regulations, Americans (and citizens of other non-EU countries not requiring visas) have been able to cross regardless of their port of entry into Cyprus.

Most American visitors to Cyprus are able to cross the “buffer zone” without hindrance, although on occasion difficulties are encountered at both the government and Turkish Cypriot checkpoints. In January, 2007, the Cypriot government announced that it would enforce a requirement that Americans and citizens of other non-EU countries not requiring visas who remain on the island longer than 90 days in the area administered by Turkish Cypriots obtain a valid residence permit from the Migration Department in the government-controlled area. Cypriot officials at the “buffer zone” checkpoints or at airports and seaports in the government-controlled area may detain and prosecute Americans who have been present for more than 90 days in the area administered by Turkish Cypriots without such a permit.

Policy and procedures regarding travel across the “buffer zone” are subject to change. More information on current procedures may be obtained at the U.N. “buffer zone” Ledra Palace checkpoint in Nicosia.

In an effort to prevent international child abduction, many governments have initiated procedures at entry/exit points. These often include requiring documentary evidence of relationship and permission for the child's travel from the parent(s) or legal guardian if not present. Having such documentation on hand, even if not required, may facilitate entry/ departure. Although Cyprus is party to the Hague Convention on the Civil Aspects of International Child Abduction, the Convention cannot be used effectively to recover a child abducted to the area administered by Turkish Cypriots.

Cyprus customs authorities enforce strict regulations concerning temporary importation into or export from Cyprus of items such as firearms. There are no restrictions on religious materials and medication for personal use. It is advisable to contact the Embassy of the Republic of Cyprus in Washington, D.C. for specific information regarding customs requirements or visit http://www.mof.gov.cy/ce.

In many countries around the world, counterfeit and pirated goods are widely available. Transactions involving such products are illegal and bringing them back to the United States may result in forfeitures and/ or fines. Cyprus restricts the export of Byzantine period ecclesiastical material and all archaeological material, including ancient coins. The U.S. Customs Service may impose corresponding import restrictions in accordance with the Convention on Cultural Property Implementation Act.

In addition to being subject to all Cypriot laws affecting U.S. citizens, individuals who also possess the nationality of Cyprus may also be subject to other laws that impose special obligations on citizens of Cyprus. U.S. citizens whom the Republic of Cyprus considers to be Cypriot citizens may be subject to compulsory military service and other aspects of Cypriot law while in Cyprus. Those who may be affected should inquire at the Embassy of the Republic of Cyprus regarding their status. U.S. citizens whom the Turkish Cypriot authorities consider to be "citizens" may also be subject to compulsory military service in the area administered by Turkish Cypriots. The U.S. Embassy is unable to exempt dual nationals from such service.

U.S. Citizens who buy or lease property, particularly in the area administered by Turkish Cypriots, may find their ownership challenged by people displaced as a result of the 1974 conflict. Prospective property buyers should always seek legal advice before buying. On October 20, 2006, the government of the Republic of Cyprus passed Article 303A of the Criminal Code which makes it a felony to buy, rent or sell property in Cyprus without the consent of the registered owner. Cypriot courts have used the law to prosecute people involved in the sale or purchase of property in the area administered by the Turkish Cypriots. The government of Cyprus has also attempted to enforce Cypriot legal judgments in property matters in other EU countries. Cypriot customs authorities routinely detain anyone arriving in Cyprus or crossing the buffer zone found to be in possession of documents relating to property purchases in the area administered by Turkish Cypriots.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country's laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Cyprus' laws, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession, use, or trafficking in illegal drugs in Cyprus are strict, and convicted offenders can expect jail sentences and heavy fines. Engaging in sexual conduct with children or using or disseminating child pornography in a foreign country is a crime, prosecutable in the United States.

Children's Issues: For information on international adoption of children and international parental child abduction, see the Office of Children's Issues website at http://travel.state.gov/family.

Registration and Embassy Locations: Americans living or traveling in Cyprus are encouraged to register with the U.S. Embassy through the State Department's travel registration web site, and to obtain updated information on travel and security within Cyprus. Americans without Internet access may register directly with the nearest U.S. Embassy or Consulate. By registering, American citizens make it easier for the Embassy or Consulate to contact them in case of emergency. The U.S. Embassy is located at Metochiou and Ploutarchou Streets, Engomi, Nicosia, tel. 357-22-393-939. The fax number of the Embassy's American Citizens Services section is 357-22-393344. The e-mail address is [email protected] and the Embassy's web site is http://nicosia.usembassy.gov. The U.S. Government also maintains an office in the area administered by Turkish Cypriots. The office is located at 6 Serif Arzik Street, Koskluciftlik, Nicosia, tel. 357-22-669-965, fax: 357-22-679-014. When calling within the area administered by Turkish Cypriots, please dial 2273930.

International Adoption

April 2006

The information in this section has been edited from a report of the State Department Bureau of Consular Affairs, Office of Overseas Citizens Services. For more information, please read the International Adoption section of this book and review current reports online at http://travel.state.gov/family.

Disclaimer: The information in this flyer relating to the legal requirements of specific foreign countries is based on public sources and current understanding. Questions involving foreign and U.S. immigration laws and legal interpretation should be addressed respectively to qualified foreign or U.S. legal counsel.

Please Note: There are no children available for adoption in Cyprus. Cypriot couples who wish to adopt usually look to other countries for adoption possibilities. No Cypriot orphans have received U.S. immigrant visas in the past five years. U.S. citizens living in Cyprus who are considering adopting from another country should consult with the appropriate authorities in all three countries (Cyprus, the U.S., and the child's country of origin) before proceeding with an adoption case. Questions concerning the effect of a third-country adoption on U.S. visa qualifications, U.S. citizenship and related issues may be directed to the U.S. Embassy in Nicosia.

Adoption Authority: The Department of Welfare at the Ministry of Labor & Social Insurance oversees adoptions in Cyprus.

Ministry of Labor & Social Insurance
Department of Welfare
63 Prodromou Street
1468 Nicosia
Cyprus
Tel: 357-22-406650/406609
Fax: 357-22-667907
E-mail: [email protected]
or [email protected]

Eligibility Requirements for Adoptive Parents: At least one parent must be 25 years old. If the adopting parents are relatives of the child, one of them must be at least 21 years old. Married couples must adopt jointly unless one spouse is incapable of giving consent or cannot be located. Unmarried couples may not adopt jointly. The court may approve adoptions by single adoptive parents if that person has applied alone and if the court determines that special reasons exist. “Special reasons” are not listed or defined in the Cypriot adoption code, but the prevailing view in Cyprus is that a family with two parents is in children's best interests.

Residency Requirements: Prospective adoptive parents must be permanent residents of Cyprus or have resided in Cyprus for at least two years prior to the submission of the application.

Time Frame: Since there are no children available for adoption in Cyprus, all times are related to the requirements of the child's country of birth. American citizens resident in Cyprus and considering adopting from another country should consult the Department of State's flyer for that country, available at http://travel.state.gov.

Adoption Agencies and Attorneys: There are no adoption agencies in Cyprus. The Consular Section at the U.S. Embassy in Nicosia maintains a list of English-speaking lawyers who are licensed to practice in Cyprus. The U.S. Embassy cannot recommend the services of any specific attorney. Prospective adopting parents are advised to fully research any adoption agency or facilitator they plan to use for adoption services.

Adoption Fees: Attorneys in Cyprus provide legal services only when Cypriot families adopt children from abroad. Fees vary from case to case.

Adoption Procedures: This information is for those adopting a child from another country who will then immigrate to Cyprus. Prospective adoptive parents must be approved for intercountry adoption by a local Cypriot welfare officer. The actual adoption of the child is governed by the laws of the child' country of origin. Once the information listed below has been submitted to the Cypriot Central Authority for the Hague Adoption Convention, the Central Authority will guarantee to the government of the child's country of origin that the child will be permitted to enter and reside permanently in Cyprus.

  • Information on the child's identity, adoptability, background, social environment, family and medical histories, and any special needs.
  • Proof that the necessary consents have been obtained and the reasons for the placement.
  • A determination that the placement of the child with the prospective adoptive parents is in the best interests of the child.
  • Confirmation from the Central Authority of Cyprus agreeing that the adoption may proceed.

The child will be authorized to enter and reside permanently in Cyprus as soon as a certificate is issued and presented to the Immigration Office of Cyprus stating that the adoption has been done in accordance with the Convention. Please see the Cypriot Department of Welfare web site at http://www.mlsi.gov.cy/sws and search the word adoption for detailed information.

Documents Required for Adoption: Prospective adopting parents need only to submit a written application signed by both spouses to the District Welfare officer of the district of their habitual residence. During the eligibility study they will be requested to undergo full medical tests.

Embassy of the Republic of Cyprus
2211 R St., NW
Washington, D.C. 20008-4082
Tel: (202) 462-5772
E-mail: [email protected]
Web: http://www.cyprusembassy.net

Cyprus also has a Consulate in New York City, which may be reached at (212) 686-6016.

U.S. Immigration Requirements: U.S. citizens residing in Cyprus who have adopted children from third countries are advised to contact the U.S. Embassy in Nicosia for information on how to apply for an immigrant visa on their child's behalf. Prospective adopting parents are strongly encouraged to consult USCIS publication M-249, The Immigration of Adopted and Prospective Adoptive Children, as well as the Department of State publication, International Adoptions. Please see the International Adoption section of this book for more details and review current reports online at http://travel.state.gov/family.

Embassy of the United States of America, Nicosia
Metohiou & Ploutarchou Street – Engomi 2407 Nicosia Cyprus or P.O.Box 24536, 1385 Nicosia Cyprus
Telephone number:357-22-393939
Fax 357-22-776841
email: [email protected]
http://cyprus.usembassy.go

Additional Information: Specific questions about adoption in Cyprus may be addressed to the U.S. Embassy in Nicosia. General questions regarding intercountry adoption may be addressed to the Office of Children's Issues, U.S. Department of State, CA/OCS/CI, SA-29, 4th Floor, 2201 C Street, NW, Washington, D.C. 20520-4818, toll-free Tel: 1-888-407-4747.

Cyprus

views updated Jun 08 2018

CYPRUS

Republic of Cyprus

Kypriaki Dimokratia

COUNTRY OVERVIEW

LOCATION AND SIZE.

The Republic of Cyprus is the internationally recognized government on the island. In 1983, a separate Turkish administration declared the northern territory an independent state and calls itself the Turkish Republic of Northern Cyprus (TRNC). Unless otherwise indicated, the "Republic of Cyprus" or "the government of Cyprus" mentioned in this entry refers to the internationally recognized government administered by the Greek Cypriots. For practical purposes, the terms "Greek zone" and "Turkish zone" are used to describe the 2 parts of the island.

The third largest Mediterranean island after Sicily and Sardinia, Cyprus is located in the East Mediterranean Basin 75 kilometers (47 miles) south of Turkey. The island has an area of 9,251 square kilometers (3,571 square miles) and a coastline of 648 kilometers (402 miles). Comparatively the island is only about half the size of the state of Connecticut. The capital, Nicosia, is located in the central part of the island. It is a militarily-divided capital, with the Greek Cypriots controlling the southern portion of the city (called Nicosia) and the Turkish Cypriots controlling the northern portion of the city (called Lefkosia).

POPULATION.

The population of the entire Republic of Cyprus in 2000 was 758,363. The predicted growth rate for the population is 0.6 percent, according to 2000 estimates. The country is relatively young, with the age group between 0 and 14 making up about 23 percent of the total population. The life expectancy is 72 years for women and 70 for men in the Turkish zone, but 80 and 75, respectively, in the Greek zone.

The population of the Turkish Republic of Northern Cyprus, according to the revisions of the 1996 census, was 200,587. Of this number, 164,460 were Turkish Cypriot citizens, 30,702 Turkish citizens, and 5,425 people with citizenship in other countries. The natural rate of population growth in the Turkish zone is 0.9 percent.

The Greek Cypriots make up slightly more than three-fourths of the island's population, with 99.5 percent of them living in the Greek zone and the remaining 0.5 percent in the Turkish zone. Turkish Cypriots make up nearly all of the remaining population, with 98.7 percent of them living in the Turkish zone and 1.3 percent in the Greek zone. Other ethnic minorities make up less than 5 percent of the island's total population, and they live mainly in the Greek zone. Turkish nationals can enter the Turkish zone without passport formalities. However, entry is restricted from the Turkish to the Greek zones.

Three languages are spoken on the island: Greek, Turkish, and English. Greek is the dominant language in the south; Turkish predominates in the north. A majority of the population can also speak English. More than 90 percent of the population is literate.

The religious structure of the island is divided, like its people. Members of Greek Orthodox churches comprise 78 percent of the island's total population and live mainly in the Republic of Cyprus. The Turks in the TRNC are mainly Muslims. Other religious groups like Maronites and Armenian Apostolics together account for less than 5 percent of the total population.

OVERVIEW OF ECONOMY

The division of Cyprus into 2 areas, controlled by Greek and Turkish authorities respectively, shapes the economic affairs and structure of the island. The economy of the Republic of Cyprus experienced rapid growth in the 1970s after the island's division into 2 zones. The government financed investment to replace housing for the Greek Cypriots who moved to the Greek zone after the division. That explains why the real gross domestic product (GDP) growth rates were over 6 percent annually in the 1980s. However, the GDP growth rate fell back to an average of 4.3 percent between 1994 and 1999.

Both the Greek and Turkish zones face severe water shortages. The island has no natural reservoir and experiences seasonal inequalities in rainfall. Although there is an aquifer (underground water supply) on the island, it is subject to seawater intrusion, which increases salt content, especially in the Turkish zone. Both administrations have sought ways to overcome the issue; several desalination (salt removal) plants are planned for construction in the near future.

GREEK ZONE:

The economy of the Greek zone is prosperous but can easily be affected by external shocks, since it is heavily dependent on the tourism industry. For instance, in the 1990s the region's economy attained inconsistent growth rates due to swings in tourist arrivals, caused by political instability on the island and changes in economic conditions in Western Europe. Being a candidate for membership in the European Union (EU), economic policies in the Greek zone are focused on meeting the criteria for admission. On the other hand, the attractiveness of the island has led to a concentration of investment and labor in the tourism sector, thus reducing the Greek zone's competitiveness in manufacturing and other sectors.

Inflation rates in the Greek zone have been moderate. The average was 4.8 percent between 1982 and 1990, and had dropped to 1.6 percent by 1999 as a result of economic slowdown. The government uses a wage determination system called COLA (cost-of-living-allowance), which automatically adjusts wages and salaries for inflation . The country's unemployment rate stood at 3.6 percent in 1999, below the levels of many EU countries. Immigration helps the Cypriot economy maintain its economic growth rate even in times of economic slowdown. Unskilled immigrant labor usually takes agricultural and domestic jobs.

TURKISH ZONE:

The economy of the Turkish zone (US$820 million) is much smaller compared to that of the Greek zone (US$9 billion). The northern region has about one-fifth the population and only one-third of the per capita GDP of the south. The GDP growth rates in the north averaged around 4.7 percent in the 1980s, slowing down to an average of 2.8 percent in the 1990-98 period. In 1991 real GDP actually fell by 4.3 percent, and then by 4.1 percent in 1994 as a result of the economic crisis in Turkey. The "Turkish Republic of Northern Cyprus" is recognized only by Turkey, which means the rest of the world still considers the southern Greek administration as the sole administrator of the whole island. This has created problems for the Turkish Republic of Northern Cyprus' government and its economy. Foreign firms and investors cannot do business in the Turkish zone, as they cannot transfer funds or goods from a country that is not recognized as an independent state. As a result, the economy of the Turkish zone remains heavily dependent on agriculture and government service, which together employ about half of the workforce. The economy also has a small tourism sector, with legalized gambling, serving especially tourists from Turkey, where all forms of gambling have recently been banned. The economy of the Turkish zone is more vulnerable to outside shocks not only because of its small size and its legitimacy (diplomatic recognition), but also because it uses Turkish lira as the legal tender, which has devaluated (decreased in value) greatly over the past decade. To compensate for the economy's weakness, Turkey provides direct and indirect aid to tourism, education, and industries located in the Turkish part of the island.

POLITICS, GOVERNMENT, AND TAXATION

Cyprus gained its independence from the United Kingdom in August 1960. Three years later, clashes between the Greek and Turkish communities on the island began, and the island started to disintegrate politically. A junta-based (a small military ruling group) coup attempt backed by Greece in July 1974 led to a Turkish intervention that divided the island in two, creating the de facto (existing if not officially recognized) Turkish Republic of Northern Cyprus. The Greek Cypriots took full control of the internationally recognized government of Cyprus while the Turkish Cypriot administration declared independence for its zone in November 1983. "The Turkish Republic of Northern Cyprus" (TRNC), however, has been recognized only by Turkey. The period from 1983 until 2001 has been characterized mainly by international efforts, under the leadership of the United Nations and the United States, to resolve the conflict between the 2 sides and to create a new type of government. The Greek Cypriot position on the issue has been towards a new federal system (with stronger power for the national government) while the Turkish Cypriots prefer a confederate system (with more power-sharing between Greeks and Turks).

The island has different constitutions and sets of governing bodies for each side. The Greek Cypriots are still using the constitution that took effect in 1960 following independence, while the Turkish Cypriots created their own constitution and governing bodies in 1975 following the 1974 break-up. The TNRC adopted a new constitution passed by a referendum (popular vote) in May 1985. Talks to find a peaceful resolution between the 2 Cypriot zones resumed in 1999.

Glafcos Clerides has served as the president of the Republic of Cyprus since February 1993. He serves as both the head of state and the head of government. According to the 1960 constitution, the post of the vice president is reserved for a Turkish Cypriot, but the office has not been filled since the 1974 separation.

The Turkish Republic of Northern Cyprus also elects a president by a popular vote, although he is only recognized as a head of state by Turkey. Rauf R. Denktash has served as president of the TRNC since February 1975. Dervis Eroglu has been the TRNC's de facto prime minister since August 1996, heading the Turkish zone's Council of Ministers (cabinet).

As there are 2 different heads of state and 2 separate sets of governing bodies on the island, political parties for the 2 zones are different. In the Greek Cypriot political system, the following parties have dominated: Democratic Party (DIKO), Democratic Rally (DISY), Ecologists, New Horizons, Restorative Party of the Working People (AKEL or Communist Party), United Democratic Union of Cyprus (EDEK), United Democrats Movement (EDI, formerly Free Democrats Movement or KED). In the Turkish Cypriot area the main parties have been: Communal Liberation Party (TKP), Democratic Party (DP), National Birth Party (UDP), National Unity Party (UBP), Our Party (BP), Patriotic Unity Movement (YBH), Republican Turkish Party (CTP).

Taxes and foreign economic aid provide the main sources of income for both the Greek Cypriot and Turkish Cypriot governments. In both zones, the government plays an important role in the island's economy. The Turkish zone relies heavily on financial aid from Turkey. Until recently, the Republic of Cyprus government has controlled key sectors of the economy by means of semi-governmental organizations such as those that oversee the telecommunications and power industries. The Republic of Cyprus government has been moving toward a more liberal role in the economy. The country's candidacy for EU membership supports efforts to loosen government control over the economy. For instance, the liberalization of air transportation in Europe has forced Cyprus Airways, the island's government-owned airline, to become more efficient. The traditional regulations that restricted retailers' hours of operations and limited special sales to certain times of the year have been recently liberalized so that the island's economy can be more competitive and productive.

INFRASTRUCTURE, POWER, AND COMMUNICATIONS

Cyprus has an efficient power and communications infrastructure according to European standards. The state-run enterprises handle most of the island's needs in

Communications
CountryTelephones aTelephones, Mobile/Cellular aRadio Stations bRadios aTV Stations aTelevisions aInternet Service Providers cInternet Users c
Cyprus488,162 (1998)138,000 (1999)AM 10; FM 71; shortwave 2366,4508 (1995)300,300680,000
United States194 M69.209 M (1998)AM 4,762; FM 5,542; shortwave 18575 M1,500219 M7,800148 M
Turkey19.5 M (1999)12.1 M (1999)AM 16; FM 72; shortwave 611.3 M635 (1995)20.9 M222 M
Lebanon)700,000 (1999)580,000 (1999)AM 20; FM 22; shortwave 42.85 M15 (1995)1.18 M22227,500
Note: Totals are combined for Greek and Turkish Cypriot areas.
aData is for 1997 unless otherwise noted.
bData is for 1998 unless otherwise noted.
cData is for 2000 unless otherwise noted.
SOURCE: CIA World Factbook 2001 [Online].

the way of power generation, harbors, airports, and telecommunications. The island does not have a railroad system; instead the country is covered by highways, of which 10,663 kilometers (approximately 6,626 miles) are within the Greek Cypriot zone and 2,350 kilometers (approximately 1,460 miles) within the Turkish zone. Most of these highways are double-lane highways. There is a limited bus system that connects the cities with the inland, and a convenient taxi service. The island also has 12 airports with paved runways (15 total), which benefits the growing tourist industry. Its main harbors are Famagusta, Kyrenia, Larnaca, Limassol, Paphos, and Vasilikos. Despite its small size, Cyprus maintains the sixth largest ship registry in the world with about 2,700 ships and 27 million gross registered tons. Power generation in the Greek Cypriot zone was 2.675 billion kilowatt hours in 1998, all derived from fossil fuels. Power details on the Turkish zone were unavailable.

The Cyprus Telecommunications Authority handles the communications services in the Greek Cypriot zone, while another state-run enterprise provides this service in the Turkish zone. The Greek zone has 405,000 main telephone lines and 68,000 mobile lines in use; the Turkish zone has 70,845 and 70,000, respectively. Direct international dialing is also available on the island, and postal and courier services are also efficient. There are 4 main TV broadcasting stations in both the Greek and Turkish zones. As of 1999, the island had 5 Internet service providers.

ECONOMIC SECTORS

GREEK ZONE:

The Greek Cypriots are among the most prosperous people in the Mediterranean region, and the Greek zone has enjoyed a high level of economic development, especially from the tourism industry. The inflation rate was 2.3 percent in 1998 and declined to 1.6 percent in 1999. The unemployment rate remains around 3.6 percent. The Greek zone has an open, free-market, service-based economy with some light manufacturing. Agriculture and natural resources make up only about 6 percent of its economy, according to 1998 figures. The industrial and construction sectors, on the other hand, accounted for nearly 25 percent of economic activity in that year, with most of the production for domestic need. The remainder of the economy is based on tourism and other services. Included in this category are restaurants and hotels, with 21.6 percent of the GDP; and banking, insurance, real estate, and business sectors with 17.5 percent. Transport, communication, government services, and social and personal services make up the remainder.

The island receives approximately US$3 billion from service-related exports led by tourism. Compared to only US$1.2 billion from merchandise exports, this is a fairly high proportion in the total economy. The service sector, including tourism, employs about 62 percent of the labor force . Consequently, the economy's growth rate is quite vulnerable to swings in tourist arrivals that are in turn affected by economic and political conditions in Cyprus, Western Europe, and the Middle East. According to the U.S. State Department's Country Background Notes on Cyprus, the real GDP growth was 9.7 percent in 1992, 1.7 percent in 1993, 6.0 percent in 1994, 6.0 percent in 1995, 1.9 percent in 1996, and 2.3 percent in 1997. Such a volatile pattern shows the effect of tourist arrivals on the overall economy.

Agriculture, on the other hand, employs only 12 percent of the population. Potatoes and citrus are the principal export crops. The island is not self-sufficient in agricultural products and must import other agricultural products for survival. More than 50 percent of Cyprus's trade is with the European Union. Cyprus signed an Association Agreement with the European Union in 1972, which established a Customs Union between the 2 zones. It applied for full EU membership in 1990 and since then the Cyprus pound has been pegged to the euro. The economic agenda in the Republic of Cyprus is geared towards joining the EU.

Trade is vital both to the Greek and Turkish Cypriot economies as the island is not self-sufficient. That explains why both zones have had structural trade deficits , which continue to grow. The Republic of Cyprus has a very important ship registry, and currently more than 2,700 ships are registered in Cyprus. As an open registry, it can include foreign ships and vessels. By 2001, more than 43 countries, including the United States, have registered ships with Cyprus. To encourage ship registrations, the Republic of Cyprus has enacted laws that provide incentives to Cypriot ships, including tax exemptions.

TURKISH ZONE:

The Turkish Republic of Northern Cyprus does almost all of its trade with Turkey and uses Turkish lira, the currency used in the republic of Turkey, as its legal tender. Assistance from Turkey is the mainstay of this zone's economy, thus making it very vulnerable to shocks coming from Turkey. For instance, the TRNC experiences the same rate of inflation that exists in mainland Turkey. As the value of Turkish lira falls against other currencies such as the dollar or the euro, so does the purchasing power of Turkish Cypriots against imported goods from the United States or Europe. In 1998, the Turkish zone experienced an inflation rate of 66 percent, which was the same as in Turkey. The unemployment rate in the Turkish zone reached 6.4 percent in 1997, almost double the rate in the Greek zone. According to an economic protocol signed in January 1997, Turkey has undertaken the provision of loans to the TRNC totaling $250 million for public finance, tourism, banking, and privatization .

AGRICULTURE

GREEK ZONE:

Agriculture accounted for 6 percent of the GDP in 1997, and it employed about 12 percent of the labor force. Agricultural products accounted for 21 percent of total domestic imports in 1997. In 1998 revenue from agricultural products was US$531 million. Citrus fruits and potatoes are the main export commodities, followed by grapes, barley, and vegetables. In 1996 the area under field crops was 93,000 hectares. Vineyards covered 15 percent of this acreage, while permanent orchards accounted for 11 percent, and olive vineyards and nut trees an additional 6.2 percent. Agricultural production is dependent on the island's temperate Mediterranean climate with hot dry summers and cool winters. In terms of value, 56 percent of the 1996 gross harvest was consumed in Cyprus. Although domestic markets are important for agriculture, processing of agricultural products for other uses is becoming more important. Per capita consumption levels of fruits and citrus are exceptionally high in Cyprus, with 55 kg per person for citrus and 146 kg for other fruits.

In Cyprus, farm processing is important, with production of halloumi cheese, raisins, and wine being the most important. Such processed farm products have higher export values than unprocessed food products and are easier to sell abroad, especially since closer integration with the European Union has made more of Cyprus's farm products available to consumers in Europe.

Fishing is an expanding sub-sector of agriculture. Fish farms have been installed on the south coast, and local and tourist fish markets provide a continuous demand. In recent years, the catch from inshore and trawler fisheries has increased, while marine aquaculture (sea fishing) has stagnated. The Cyprus government reported that the Cyprus Fisheries produced more than 3 tons of fish in 1997.

Agriculture in the Greek zone has an uncertain future, because the sector is declining in importance against other sectors like tourism. It is also affected by rainfall fluctuations and by the water-shortage problem on the island as a whole.

TURKISH ZONE:

The northern Turkish zone relies more heavily on agriculture than the southern Greek zone. Although only one-third of the island's area is under Turkish control, its agricultural sector accounts for 46 percent of Cyprus's total crop production and 47 percent of its livestock population. Agriculture employs more than 25 percent of the Turkish zone labor force. Its agriculture sector experienced a severe blow in 1995 when the region lost nearly 10 percent of its forests in a major fire. The sector has also been hurt by regulatory difficulties surrounding the export of agricultural products. The European Court of Justice has ruled that agricultural products must have phytosanitary (certifying that plants are disease-free) certificates from the legally recognized authorities of the Republic of Cyprus. As a result, many agricultural products from the Turkish zone must first be exported to Turkey before getting into European markets. Another disadvantage is that the Turkish Cypriots have to accept payments for their exports in Turkish liras instead of hard currency such as the dollar or the euro.

INDUSTRY

MINING.

Information about mining in the separate zones is not available. Mining has long played an important role in Cyprus's economy. For several thousand years, the island has been an important source of copper ores. It also produces pyrites, asbestos, gypsum, salt, marble, clay, and earth pigment. In the 1950s, minerals accounted for almost 60 percent of all exports and employed more than 6,000 people. After independence in 1960, however, the share of mineral exports had fallen to 34 percent. The 1974 Turkish intervention further disrupted the mining sector. In 1981 its share in total exports fell below 5 percent and by the end of the 1980s to less than 1 percent. The contribution of the sector to the GDP also declined, to 0.5 percent in 1985 and 0.4 percent in 1987 and 1988. Most of the deposits on the southern part of the island are nearly gone today. The asbestos mines were closed in 1988, thus further reducing the share of the mining sector in the economy. By the 1990s, the main mining products were pyrites and copper. The mining of sand and other construction minerals fluctuates with demand. By the late 1990s, 250 quarries were operating in the Republic of Cyprus. Though the mining industry had declined since the Turkish invasion, the Hellenic Copper Mine's 1996 establishment of a mine at Skouriotissa was encouraging.

MANUFACTURING.

According to the U.S. State Department's Background Notes on Cyprus, manufactured goods accounted for approximately 69 percent of the Greek zone's domestic exports in 1997. Before the partition of the island, most of the manufacturing goods were produced in what is now the Turkish zone by small, owner-operated plants. Most of the production was for the domestic market. After 1974, the industries were re-oriented for export, and large factories were built in the southern Greek-controlled zone. Output grew rapidly there through the 1980s. The manufacturing sector's contribution to the economy of the Greek zone declined from 17.3 percent in 1983 to 10.9 percent in 1999. During the same period, the total employment in the manufacturing sector has also declined, from 21 percent of the overall labor force to around 13 percent. The heavy industries include petroleum refining and cement while the light industries include clothing, footwear, and machinery and transport equipment. High tariffs put on imports to protect domestic manufacturing industries were lifted under the membership agreement with the European Union. This fact, plus the rise of tourism and the service economy, has hurt the competitiveness of the manufacturing sector in the Greek zone. In 2000, the Republic of Cyprus was actively trying to attract high-technology businesses to the country.

In the Turkish zone, industry in 1998 accounted for about 11.8 percent of the GDP and 55.4 percent of the total employment in its region, according to the World Factbook 2000. Manufacturing is almost entirely based on light industry, with textiles and clothing being the most important products. The only example of heavy industry is a cement factory at Boghaz. In the late 1980s, clothing accounted for over 30 percent of all exports in the Turkish region, exceeded only by citrus exports. In 1989, for the first time, manufacturing surpassed agriculture's contribution to the GDP and has grown since then. However, compared to the situation in the Greek zone, the Turkish-zone manufacturing sector is small.

SERVICES

TOURISM.

Tourism is very important to the functioning of the Cypriot economy both in the south and the north. Revenue from tourism contributed approximately US$1.7 billion to the economy of the Greek zone in 1998. The reduced airfares resulting from the liberalization of the airline industry in Europe helped make Cyprus a major tourist destination during the 1970s. The tourist industry on the island was hurt during that decade because of the ongoing disputes between the Turkish and Greek populations, but since the 1980s, it has grown dramatically, especially in the Greek zone. By 2001, Cyprus, especially the southern side, had become a popular holiday spot for many Europeans. Offering natural beaches, warm climate, and unspoiled nature, the island attracts many vacationers from nearby countries. The Greek zone is also more easily accessible via its international airports and cruise-ship ports.

Tourism in the Turkish zone is hampered by legitimacy problems. Since the TRNC is not recognized as an independent and sovereign state by any other nation except Turkey, it does not have consular offices (official offices to represent a country's commercial interests abroad) in other countries where visitors or tourism agencies can easily arrange travel. There are few international flights to the Turkish zone. The TRNC's official airline, Cyprus Turkish Airlines (KHTY), circumvents such problems by making brief stops on the Turkish mainland prior to its final destination in Turkish Cyprus. Tourists from Turkey make up more than 80 percent of all tourists coming to the Turkish zone. Despite these limitations, tourism continues to be the driving force behind the TRNC's economy. In 1999, earnings from tourism were estimated at around US$405 million, equivalent to 43 percent of the region's GDP. Since gambling is permitted, the TRNC serves as an important holiday destination for tourists coming from Turkey, where casinos are banned. The Turkish zone is also a popular shopping destination for mainland Turks who take advantage of the region's lower taxes.

Both the Greek and Turkish zones have a good tourism infrastructure with sufficient, quality lodging and other facilities. As of 1998, the Greek zone had a capacity of 86,151 beds, according to the Cyprus Statistical Service. In 1999, 2.4 million foreign tourists arrived in the southern zone. U.S. State Department surveys forecast even higher revenues from tourism in coming years, though the political dispute between the 2 sides on the island remains a potential barrier.

FINANCIAL SERVICES.

According to the U.S. State Department's Country Commercial Guide on Cyprus, finance, insurance, real estate, and business services recorded gains recently (from 16.6 percent of GDP in 1992 to 19.8 percent in 1998).

The banking system in Cyprus consists of the Central Bank of Cyprus and 9 local commercial banks, as well as several specialized financial institutions, leasing companies, and co-operatives. There is also an established foreign banking community, which includes 30 international banking units. Commercial banking arrangements and practices follow the British system. In 1996, the Central Bank of Cyprus achieved substantial progress in its campaign to liberalize and reform Cyprus's financial sector. Monetary policy is now conducted through the use of market-based instruments. Repurchase transactions between the Central Bank and financial institutions are the main tool of liquidity management, and the use of the minimum liquidity requirement has been abandoned. The new procedures are fully in line with EU practices.

In the Greek zone, a law that came into effect on 1 January 2001 abolished the 9 percent ceiling on interest rates that had existed since 1944, enabling depositors to receive higher returns on their savings. In addition, previous restrictions on Cypriots' ability to own foreign currency and make overseas investments are being loosened as part of a 3-stage plan to harmonize the country's financial industry with EU standards. The Greek zone is now an open country for foreign investment, whereas prior to 1997 there were restrictions on the participation of foreigners in Cypriot firms. In preparation for EU membership, all foreign-investment restrictions for EU investors have been abolished since January 2000. Foreigners can own up to 100 percent of companies in the manufacturing and services sectors and up to 49 percent of businesses in the agriculture, media, press, and travel sectors. Cyprus also has a stock exchange, where foreigners are permitted to own up to 49 percent of publicly traded companies. Foreign investment makes the economy stronger by bringing new capital and technologies to existing industries, helping to modernize them, and creating jobs.

Businesses in the Turkish zone cannot attract foreign investment because of the legitimacy problem mentioned earlier.

INTERNATIONAL TRADE

GREEK ZONE:

In 1998 the Greek zone recorded a balance of payments deficit of US$342.8 million compared to a deficit of US$229.9 million in 1997. The trade deficit reached a record of US$2.5 billion in 1998, due in part to a decline in tourism revenues in 1996 and 1997. Also, the volume of imports did not decrease as much as the decline in the country's export revenues, helping to make the deficit even higher.

Middle Eastern countries receive 20 percent of exports from Cyprus. Cyprus re-exports cigarettes from the United States to 2 major markets for tobacco products: Russia and Bulgaria. The economic crisis in these countries has hurt consumer purchasing power, thus lowering Cyprus's revenues from these exports.

The amount of total imports increased in 1998 to a total of US$3.5 billion. Most of these imports were intermediate goods and capital goods . While Cyprus faced difficulty in selling its products or re-selling U.S. products abroad, it bought more from abroad, making its trade deficit higher. Cyprus must import fuels, most raw materials, heavy machinery, and transportation equipment. More than 50 percent of the country's trade is with the European Union, especially with England.

Cyprus has recently attempted to liberalize its trade policies by eliminating import quotas and licenses. It has also lowered tariffs on most products as a result of its obligations to the EU for the Customs Union Agreement. The country's entry into the Customs Union with the EU has also made trade conditions more competitive (restrictive) for U.S. exporters doing business in Cyprus.

Trade (expressed in billions of US$): Cyprus
ExportsImports
1975.150.308
1980.5321.202
1985.4761.247
1990.9572.568
19951.2293.694
19981.0613.685
SOURCE: International Monetary Fund. International Financial Statistics Yearbook 1999.

However, according to the U.S. State Department's analysis, the United States has a competitive edge over its European allies in the sales of computer-assisted design systems, medical equipment, environmental products, and new capital equipment for production of textiles, clothing, and footwear. Compared to those of European origin, U.S. software products are in higher demand in Cyprus. U.S. pressure resulted in new copyright (1994) and patent (1998) laws that helped protect U.S. software products, thus increasing the sales of those products.

TURKISH ZONE:

The TNRC does most of its trade with Turkey (around 47 percent in 1998), followed by England (slightly more than 25 percent) and other EU countries (15 percent). The Turkish zone's trading account continues to be in deficit, but is offset by earnings from tourism and development programs, which come largely from Turkey, and also from income by United Nations personnel stationed in the zone.

MONEY

GREEK ZONE:

The Cyprus pound is printed and circulated through the Central Bank of Cyprus, which aims to keep it stable in relation to the euro. Cyprus does most of its trade with the European Union. As a result, the Cyprus pound has been linked to the European Monetary Union system of currencies (EMU). As of 1 January 1999, the Cyprus pound has been linked to the euro.

TURKISH ZONE:

Following the 1974 separation, the Turkish Cypriot zone adopted the Turkish lira as the legal tender, but the Cyprus pound was used until 1983. The Cyprus pound is now considered a foreign currency in this region and is subject to foreign exchange regulations. Still, the Cyprus pound is used by businesses, along with the British pound and the U.S. dollar in the Turkish zone to assess export and import prices or in trading. There is also a central bank in the Turkish zone, but its functions and powers are limited. Since the Turkish lira is the legal tender and is printed in mainland Turkey, the central bank can neither print money nor decide on monetary

Exchange rates: Cyprus
Cypriot pounds per US$1Turkish liras per US$
Jan 20010.6146N/A
20000.6208625,219
19990.5423418,783
19980.5170260,724
19970.5135151,865
19960.466381,405
SOURCE: CIA World Factbook 2001 [ONLINE].

policy. It receives daily exchange rates from Turkey and passes them on to commercial banks operating in the northern zone, but it has no control over the interest rates. Since it has such strong links to Turkey, the economy in the TNRC is affected by the same high inflation as in mainland Turkey, where the consumer-price inflation rate was 99.1 percent in 1997 and 69.7 percent in 1998. The economy of the Turkish zone also suffered in 1994 when Turkey experienced a severe economic crisis and devalued its currency. To compensate for these problems, Turkey has long provided direct and indirect aid to nearly every sector. Today, financial support from mainland Turkey accounts for about one-third of the zone's total GDP.

POVERTY AND WEALTH

The people of the Greek zone are among the most affluent in the world. According to the World Bank's Development Report, Cyprus is ranked 16th in terms of per capita income adjusted for purchasing power. In 1988 per capita income was US$15,500, according to the CIA World Factbook .

The Republic of Cyprus reported that 97 percent of the houses in Cyprus are in good or average condition and that 69 percent of those houses have facilities like electricity and plumbing. No information is available regarding the percentage of the population below the poverty line. A May 2000 editorial in the Sunday Mail, a Greek Cypriot newspaper, estimated that 70,000 people in the Greek zone (about 10 percent of the population) live below the poverty line and receive welfare from the government. When the Turkish invasion of 1974 displaced about 25,000 people, the Republic of Cyprus responded with policies to provide housing to low and middle-income people. By 1995, the government reported that 14,000 housing units had been constructed, including schools, shopping centers, and playgrounds, and that 12,000 people had taken advantage of subsidies available to build their own homes.

In the Turkish zone, the per capita income decreased to around US$5,000. The Republic of Cyprus estimated

GDP per Capita (US$)
Country19751980198519901998
Cyprus3,6196,3347,81810,40512,857
United States19,36421,52923,20025,36329,683
Turkey1,8981,9592,1972,5893,167
LebanonN/AN/AN/A1,7212,999
Note: Totals are combined for Greek and Turkish Cypriot areas.
SOURCE: United Nations. Human Development Report 2000; Trends in human development and per capita income.

that nearly one-third of the Turkish Cypriots have emigrated since 1974. Turkish nationals began moving to Cyprus in 1974 and by 1995 outnumbered Turkish Cypriots. In addition to the Turkish nationals, the TRNC maintains 35,000 Turkish military personnel who guard the area.

WORKING CONDITIONS

GREEK ZONE:

The Republic of Cyprus had a 3.3 percent unemployment rate in 1999 and a workforce of about 314,000 people. Workers are protected by laws regulating their health and safety on the job. In addition to legislation, trade unions also play an important role in workers' lives. The initial attempt to form trade unions in Cyprus took place in 1915, when the country was under British rule, but the first of them, the Nicosia Footwear Union, was not recognized until 1932, a year after it was established. After labor unrest in 1944, Cyprus adopted a cost-of-living allowance (COLA) for its workers. The 8-hour workday was accepted only after independence.

TURKISH ZONE:

The Turkish zone labor force was estimated at 80,200 people in 1998, and the unemployment rate was 6.4 percent. Almost one-third of the labor force in the Turkish zone is unionized. Minimum wages are untaxed and are fixed annually by law according to inflation indexing, the so-called "cost of living allowance" (COLA) standard.

COUNTRY HISTORY AND ECONOMIC DEVELOPMENT

1500-1450 B.C. First traces of settlement on Cyprus. Some evidence suggests that the settlers were related to the peoples of Asia Minor (present-day Turkey).

1450-1000 B.C. Beginning of the Egyptian domination of the island.

1200-1000 B.C. Establishment of the city-states of Salamis, Soli, Marion, Paphos, Kurium, and Kyrenna; arrival of Greek colonists.

850-750 B.C. Phoenicians settle in several areas and share political control with the Greeks.

750-612 B.C. Period of Assyrian rule. The Assyrian king Sargon II conquers the 7 independent kingdoms on the island.

568-525 B.C. Period of Egyptian rule.

525-333 B.C. Period of Persian rule.

333-58 B.C. Period of Hellenistic rule by the heirs of the Alexander the Great.

58 B.C.-395 A.D. Period of Roman Empire rule.

395-1191. Period of Byzantine Empire rule.

1191-1192. Briefly ruled by Richard the Lionheart of England.

1192-1489. Period of Lusignan rule. Tensions between the Greek Orthodox Church and the Roman Catholic Church increase. The Cypriots remain loyal to their Orthodox heritage and by the middle of the 14th century the Latin clergy become less determined to convert the islanders.

1489-1570. Island is dominated by the Italian city-state of Venice.

1571-1878. Period of Ottoman Empire rule. The Ottomans grant land to Turkish soldiers and peasants who then become the nucleus of the island's Turkish community.

1878-1914. Cyprus is administered by Great Britain according to an agreement with the Ottoman Empire.

1914. Cyprus is annexed by Great Britain at the start of World War I.

1925. Cyprus becomes a British Crown colony.

1960. Foundation of the Independent Republic of Cyprus.

1963. Inter-communal strife in Cyprus between Greek and Turkish sectors leads to establishment of United Nations peacekeeping mission.

1974. Greek army officers stage coup d'état and overthrow President Makarios with the aim of uniting the island with Greece. Turkey intervenes and lands its forces on the northern part of the island, where they have remained ever since. The island is divided into a Turkish Cypriot northern zone and a Greek Cypriot southern zone.

1983. Turkish Cypriots proclaim the Turkish Republic of Northern Cyprus (TRNC). Rauf Denktash is elected the president.

1987. The Republic of Cyprus signs a new association agreement with the European Union establishing a full customs union by 2002.

1996. Greece lifts its veto on Turkey's customs union with the European Union in exchange for a date for the commencement of negotiations to allow for Cyprus's membership.

1998. EU accession talks begin.

FUTURE TRENDS

Cyprus entered the 21st century as a separated island of 2 nations and 2 religions. The division between the two will be the main focus of debate and discussion in the international arena in the years to come. The division between the 2 economies also affects the level of development of the nation. The Greek zone (Republic of Cyprus) enjoys the benefits of international recognition and has attained high levels of development and per capita income, but the Turkish zone (TRNC) has suffered economically and politically from the international embargo .

Cyprus's application for full EU membership is also a critical step that will have further consequences for the island's political economy and development. It is unclear whether the Turkish Cypriots will abandon their claims for a confederation in favor of the Greek Cypriot proposal of a federated state. Although TRNC president Denktash has called for further integration with mainland Turkey, which would mean the annexation of the island's Turkish zone into the homeland, the likelihood of this scenario is still unclear. EU officials project that Cyprus will be a full member of the European Union by 2010.

As the Republic of Cyprus prepares for full EU membership, it will continue to harmonize its economy and institutional framework with EU standards. As indicated by the World Trade Organization (WTO) in its 1997 policy review, financial openness is one of the cornerstones of policy reform for Cyprus. The WTO also notes the growing importance of the nation's services sector. This sector accounts for roughly 70 percent of the country's foreign exchange receipts as well as its GDP. Although the economy of the Greek zone is a prosperous one, the fact that the country suffers from a structural deficit and that it must rely on imports is not likely to change, even after a possible EU membership.

DEPENDENCIES

Cyprus has no territories or colonies.

BIBLIOGRAPHY

Agribusiness Online. "World Agricultural Trade Import and Export of Agricultural Products including Fish." <http://www.agribusiness.asn.au/Statistics/International/world_agricultural_trade1.htm#TotalExports>. Accessed February 2001.

Central Bank of Cyprus. "Cyprus in Brief; Banking and Finance." <http://www.centralbank.gov.cy/cyprus/bank-fin.html>. Accessed February 2001.

Economist Intelligence Unit. <http://dataservices.bvdep.com>. Accessed March 2001.

. Country Profile: Cyprus and Malta. London: Economist Intelligence Unit, 2001.

. Country Report: Cyprus and Malta. London: Economist Intelligence Unit, December, 2000.

Federal Research Division/Library of Congress. "Cyprus, A Country Study." <http://lcweb2.loc.gov/frd/cs/cytoc.html>. Accessed February 2001.

"'In Your Face,' Wealth, 'Below the Line,' Poverty." The Sunday Mail (Nicosia, Cyprus), 14 May 2000.

The Republic of Cyprus. "The Official Web Site of the Republic of Cyprus." <http://www.pio.gov.cy/index.html>. Accessed February 2001.

Smith, Bamijoko S., editor. "International Development Options. USA." Global Development Studies. Winter-Spring 1999.

U.S. Central Intelligence Agency. The World Factbook. <http:// www.cia.gov/cia/publications/factbook>. Accessed January 2001.

U.S. Department of State. FY2001 Country Commercial Guide:2001. <http://www.state.gov/www/about_state/business/com_guides/2001/europe/cyprus_ccg2001.pdf>. Accessed February 2001.

World Trade Organization. "WTO: Trade Policy Reviews; Cyprus, June 1997." <http://www.wto.org/english/tratop_e/tpr_e/tp55_e.htm>. Accessed February 2001.

Emre Ozsoz

CAPITAL:

Republic of Cyprus:

Nicosia.

Turkish Republic of Northern Cyprus:

Lefkosia.

MONETARY UNIT:

Greek zone:

Cypriot pound (CP). One Cypriot pound equals 100 cents. There are coins of 1, 2, 5, 10, 20, and 50 cents and 1 pound. Paper notes include a 50 cent note, and 1, 5, 10, and 20 pound notes.

Turkish zone:

Turkish lira (TL). One Turkish lira equals 100 kurus. This zone uses the same currency as used in Turkey. The smallest unit in circulation in the TRNC is TL50,000. The kuru is no longer in circulation due to high rates of inflation and the devaluation of the currency. Paper money comes in bills of 50,000, 100,000, 250,000, 500,000, 1 million, 5 million, and 10 million lira. There are coins of 5,000, 10,000, 25,000, 50,000, and 100,000 lira.

CHIEF EXPORTS:

Both Greek and Turkish zones:

Citrus, potatoes, and textiles.

Additional exports from the Greek zone:

Grapes, wine, cement and shoes.

CHIEF IMPORTS:

Greek zone:

Consumer goods, petroleum and lubricants, food and feed grains, machinery.

Turkish zone:

Food, minerals, chemicals, machinery.

GROSS DOMESTIC PRODUCT:

Greek zone:

US$9 billion (1998 est.).

Turkish zone:

US$820 million (1998 est.).

BALANCE OF TRADE:

Exports: Greek zone, US$1 billion (1999); Turkish zone, US$63.9 million (1998). Imports: Greek zone, US$3.309 billion (1999); Turkish zone, US$421 million (1998).

Cyprus

views updated May 11 2018

CYPRUS

Republic of Cyprus

Major Cities: Nicosia, Limasso

Other Cities:
Famagusta, Kyrenia, Larnaca, Paphos, Salamis

EDITOR'S NOTE

This chapter was adapted from the Department of State Post Report dated September 1994. Supplemental material has been added to increase coverage of minor cities, facts have been updated, and some material has been condensed. Readers are encouraged to visit the Department of State's web site at http://travel.state.gov/ for the most recent information available on travel to this country.

INTRODUCTION

Cyprus has been divided since July 1974, when Turkey intervened militarily following a coup d'etat instigated by the military junta in Greece. The two Cypriot communities have lived separate existences since the outbreak of intercommunal trouble in 1963. Nearly all members of the Turkish Cypriot community live in the northern section of the island, while almost all Greek Cypriots are located in the south which is under the control of the Government of Cyprus. The 108-mile east-to-west "green line" between the two communities constitutes a buffer zone under the control of the United Nations Forces in Cyprus (UNFICYP). There is essentially no movement of goods, persons, or services between the two parts of the island.

Since the 1960's, the United States has supported efforts under U.N. auspices for a negotiated settlement of the Cyprus problem. Several sets of negotiations and initiations have been proposed. Because of changes in Cyprus developments, travelers going to Nicosia may want to update the more pertinent parts of this report by contacting either the State Department's Office of Southern European Affairs (EUR/SE), or the Embassy.

MAJOR CITIES

Nicosia

Nicosia, estimated combined population 195,000, has been the capital of Cyprus since the 7th century A.D., and is the political and administrative center of the island. It is also located in the geographic center of the island on a broad plain, at the site of one of the "city-kingdoms" of antiquity, Ledra, which today lends its name to the town's main shopping area.

Nicosia has spread far outside its ancient but still intact city walls. Modern flats and offices and attractive villas characterize the newer parts of the town.

Food

Local food shops are well stocked with domestic products and imports from Great Britain, Western Europe, and some from the United States. Imported items are more expensive than comparable items in the United States.

Beef, veal, pork, mutton, lamb, and chicken are always available. Domestic meats are sold freshly butchered. Since meat is not graded, careful selection of cuts is necessary. Fresh fish is surprisingly limited in supply; mullet, sea bass, swordfish and squid are the principal varieties on the market.

Frozen fish, shrimp and cod, as well as canned seafood such as oil or water-packed tuna, salmon and mussels are sold. Trout farms in the Troodos Mountains produce fresh and smoked fish, which is sold in stores in the city. There are numerous fish taverns and restaurants which offer both domestic and imported fish. Imported butter and margarine are stocked, as are fresh, powdered, evaporated, and condensed milk, and fresh cream. Pasteurized fresh milk is readily obtainable. Domestic olive oil is of good quality and not expensive. Cyprus cheeses, in most cases from goat's milk, are popular with Americans. The selection of imported cheeses is limited and often unpredictable in supply. English and Irish Cheddar and English Stilton are good and inexpensive. Imported French cheeses are expensive.

Fruits are varied, delicious, and reasonably priced in season. Cyprus grows an abundant winter-long supply of oranges, grapefruit, tangerines, lemons, and, to a lesser extent, avocados and apples. During the long summer, a variety of fresh fruit is available, such as watermelons, cantaloupes, cherries, apricots, plums, figs, pears, peaches, strawberries, nectarines, apples, pomegranates, and grapes. Good stocks of spinach, lettuce, cabbage, green beans, broad beans, chard, carrots, broccoli, mushrooms, celery, and green peppers are usually available.

Eggplant and artichokes in season are abundant and inexpensive. Asparagus is available in season but is expensive. Onions, tomatoes, summer squash, zucchini, and potatoes are almost always available. Various fresh herbs and prepared spices are also sold. American made spices such as Durkee and McCormick are available but a bit expensive.

Clothing

General: Cypriots, either officially or socially, dress well. Most Cypriot women prefer to be fashionably dressed. Cypriot men follow British custom in business dress and casual attire.

Women's Clothing: A normal year-round wardrobe, with perhaps fewer winter and more summer clothes, will do. Women wear either spring coats, blazers, and topcoats or light winter coats throughout the winter. Although some Cypriot women wear fur coats, there are no reliable fur storage facilities here. Lightweight dresses are needed in summer; daytime dresses with the slightest shoulder cover are acceptable. Imports from Europe are usually up-to-date but expensive.

Bathing suits and beach accessories can be purchased locally. Shoes produced locally are plentiful but can be more expensive than those made in the states. Shoes are also imported from Europe. Quality ranges from fine to poor; styles are current. Good quality leather goods are made here.

Men's Clothing: Men wear cotton or wool suits all year round. Sweaters or jackets are useful in the winter. Suits made of washable cotton or cotton-synthetic mixtures are the most practical for summer. Short sleeved shirts are also worn in the summer months. In summer, shorts are worn at home, for sports, and on informal social occasions. Men's custom-made business suits of fine British worsteds, are moderately expensive. Factory-made suits are cheaper, but are not always well-tailored. A variety of shirts, neckties, socks and underwear is available at fairly reasonable prices. There are good quality shoes available, but they are expensive. Men needing wider or narrower than average sizes may have difficulty being fitted.

Children's Clothing: Fine cotton or woolen fabrics cost more here than in the U.S. Children need warm indoor clothing and night-wear because houses and tile floors may be chilly. Clothing, shoes, and accessories for infants are much more expensive than in the United States, but all necessary items are obtainable here. However, local cribs, playpens and car seats do not meet U.S. safety standards.

Supplies and Services

Supplies: Among the better known cosmetics sold on the island are Clinique, Elizabeth Arden, Revlon, Helena Rubenstein, Lancome and Lancaster. American brands sold here are not made in the United States and are not always of the same quality. Cosmetics are more expensive here than in the United States.

Retail markets carry a good selection of very reasonably priced local wines and liquors. Imported liquors are expensive.

Local pharmacies, open day and night, carry complete stocks of medical supplies and drugs, including children's pharmaceuticals. These items are normally British brand name pharmaceuticals.

Basic Services: Good quality shoe repair and dry cleaning services are available and moderately priced. Although laundries do acceptable work, they are expensive. You will find a good choice of barber and beauty shops.

Religious Activities

The principal Christian religion of Cyprus is Greek Orthodox. The Turkish Cypriot community is predominately Sunni Moslem. The following churches conduct services in English and are attended by the American and other communities:

  • Nicosia Community Church (Interdenominational Protestant)
  • St. Paul's Anglican Church
  • Holy Cross Roman Catholic Church
  • Seventh Day Adventist Church
  • Interdenominational Congregation (Russian Cultural Center Building)
  • The Church of Jesus Christ (L.D.S.)
  • Even though the Jewish community numbers about 200, a synagogue has not been established. In Nicosia, services celebrating Jewish high holidays are held at the Israeli Embassy.

There are other church services, both Protestant and Catholic, on the U.N. base.

Education

The Montessori Centre: The Montessori Centre, opened in September l993, is a preschool for ages 2through 6. The school utilizes Dr.Maria Montessori's philosophies, methods and materials. The two teachers received their Montessori training in London. Winter and summer uniforms are encouraged. The school charges CP 60 per month and operates from September through July. The school is located at 20 Dorieon St. Ayias Andreas, Nicosia. Tel. 454038

The Romanos Nursery School:

The Romanos Nursery School is a private English speaking nursery school in Nicosia. They accept children ages 2 through 6. The school has good quality instructional supplies and a nice area for playing. The older children are taught numbers, letters and are prepared for reading. The school is located at 15 Romanos St. Tel. 454878

Wee Care Nursery School: The Wee Care Nursery School was founded by an American in l983. Affiliated with the American Academy school in Nicosia, Wee Care offers a full preschool curriculum with Christian religious values and beliefs. The school is located at 17 Delphon St., Nicosia. Tel. 462863.

Highgate Primary School: The Highgate Primary School is an English school, offering programs for children two to eleven. The school has special programs for gifted learners and children with learning disabilities. Winter and summer uniforms are required. Some grades have a waiting list. The school is located at 17 Heroes Ave., Ayios Andreas, Nicosia. Tel. 462027/499145.

American International School In Cyprus: The American International School in Cyprus was established by International Schools Services in September l987. An American based curriculum is offered to students in pre-kindergarten through grade twelve, with a boarding unit for students in grades nine through twelve. In 1992, the school was purchased by the owner of American schools in Cairo and Kuwait.

The facilities of the school include a modern library, computer and science laboratories, art, ceramics and photography rooms, a swimming pool, tennis and volleyball courts, and recreation, dining, audiovisual areas, and boarding facilities.

  • Calendar: The 180 day school year commences in late August, ends in mid-June, and is divided into two semesters. The school is closed during a two to three week winter holiday and a one week spring break in March.
  • Academic Program: The academic program of AISC is organized into three divisions, the elementary school (pre-kindergarten through grade 4), the middle school (grades 5-8), and the high school (grades 9-12).
  • Elementary School: The curriculum at the elementary level is integrated through a single homeroom teacher for reading, English, math, science, and social studies. Additional instruction is provided by specialists in physical education, music, art, computers, and foreign language. The style of instruction is hands-on, exploratory, and participatory.
  • Middle School: The curriculum at the middle school level is delivered through a semi-departmentalized structure. The English and social studies classes are integrated and usually are taught by the same teacher. In addition to English/social studies, all middle school students are enrolled in mathematics, science, and physical education. Each student is also enrolled in either a foreign language, one of the special classes in ESL or the learning center.
  • High School: A selection of required and elective courses are designed to prepare students for a wide range of options upon graduation. AISC requires 22 units of credit for either a college prep or general high school diploma.
  • Faculty: All teachers are experienced in American and international education. Many teachers are recruited from the United States to fill selected vacancies and hold advanced degrees. All faculty are active, participating members of the school community and sponsor after school and weekend activities.
  • Library: The school library contains over 10,000 volumes and periodicals. Word processing, CD ROM electronic references, and a reference library room are available for student use before, during and after school hours.
  • International Baccalaureate: The International Baccalaureate program, initiated in 1993, is a two year pre-university course, designed to facilitate the mobility of students and to promote international understanding. The comprehensive course of study for the Diploma is designed to provide students with a balanced education. Students holding the IB Diploma can be accepted by universities and other institutions of higher education in more than 65 countries.
  • ESL (English as a Second Language): The objective of the ESL program is to provide intensive English instruction in speaking, listening, reading, and writing, allowing non-English speaking students to attend the school and to quickly become a part of everyday learning and activities.
  • Activities: A variety of after school activities is available for students in grades 1-12. Students choose from such activities as volleyball, bowling, swimming, soccer, basketball, cross country, track and field, tennis, fine arts festival, student council, yearbook, Boy Scouts, weight training, charity fashion show, academic games, chess club, talent show, geography club, drama, ice skating, arts and crafts, gymnastics, horseback riding, newspaper, choir, and band.
  • Computers: All students, grades 1-12, use computers. The newest technology allows the students to use computers as an everyday tool.

The school's library uses CD ROM information access.

AISC is a member of the Middle States Accreditation Association, EMAC (Eastern Mediterranean Activities Conference), the Near East South Asia (NESA) Council of Overseas Schools, and the National Honor Society of Secondary Schools. It is also affiliated with the International Baccalaureate organization.

Senior Seminar is a required course for all seniors. A Senior Research Project is required for graduation.

The following must be completed before admission to the school is granted:

  • Complete and return an application form
  • Furnish records/transcript from previous school
  • Present themselves for a formal interview with the headmaster
  • Sit for placement exams, if requested
  • Boarding students must complete a separate application form, which includes recommendations from previous teachers

If there are any other questions, you may address them to:

Headmaster, AISC
PO Box 3947
Nicosia, Cyprus

The English School: The English School was founded in l900. The school is similar to a "selective grammar school" in England in its academic and out-of-class programs. It is coeducational with students aged 11-18, all pupils being admitted by selective and competitive examination.

The school year is from mid September to late June, with 2-week holidays at Christmas and Greek Orthodox Easter. The mailing address is:

The English School
P.O. Box 3575
Nicosia, Cyprus

The Falcon School: The Falcon School is an educational foundation offering a continuous education for girls and boys aged 4½-18. It has facilities for studying languages, the Sciences, the Arts, music and a wide range of sports. The language of instruction is English.

The school year begins in Early September and ends in late June. An entrance test and an interview is required prior to admission. The mailing address is:

The Falcon School
P.O. Box 3640
Nicosia, Cyprus

The Junior School: The Junior School was established in l944. Children are admitted to the school between the ages of 4 and 12. The curriculum and teaching methods are the same as would be found in the United Kingdom. There is a British Headmaster and the teachers are trained and qualified in the United Kingdom.

The school year begins in September and ends in June. School uniforms are required. The mailing address is:

The Junior School
P.O. Box 3903
Nicosia, Cyprus

Sports

Cyprus offers a variety of opportunities for participant and spectator sports. Beaches can easily be reached from Nicosia by private car. Bus transportation to the beaches is available, and "service taxis" may be shared at a nominal cost. Taxi service between Nicosia and other cities on the island is regularly available. Sports equipment and clothing of all kinds is available but expensive.

Swimming: The proximity of the sea and the very hot summers drive most people in Cyprus to the water. The south coast is less than an hour away from Nicosia and has good beaches. It is also possible to join sports clubs or health clubs at some hotels in Nicosia which includes use of their swimming pools.

Scuba Diving: Scuba tanks and equipment can be rented and filled locally, but if you have your own, bring them. Cost of locally made equipment is comparable to that in the United States.

Water Skiing: Water skiing is becoming more popular in Cyprus. It is best at Larnaca (45 minutes from Nicosia), but the sea is sometimes very choppy. Water skis are sold in Cyprus but at prices higher than in the United States.

Horseback Riding: The Lapatsa sports complex, a 15-20 minute drive south of Nicosia, offers horseback riding lessons and trail riding. A hard hat and riding boots are required.

Windsurfing: One of the most challenging and interesting sports in Cyprus is windsurfing. There are numerous beaches around the island with suitable conditions. Windsurfing is a good family sport. It is easily learned and requires few facilities. Equipment is available locally, but at prices higher than the United States.

Skiing: Snow skiing in Cyprus has developed in recent years. Simple skiing is done from the beginning of January to the end of March on the slopes of Mount Olympus, a one and one-half hour drive from Nicosia. Several short trails, one of which is groomed, are available for cross-country skiing.

The Cyprus Ski Club, located at Mount Olympus, offers the following facilities:

  • Permanent and temporary memberships
  • Four electrically driven "T"-bar ski lifts
  • A cross-country skiing track
  • A ski shop with ski equipment
  • Ski instruction by qualified instructors

Golf: A new golf course opened in 1993, near the town of Paphos about 2 hours from Nicosia, but is extremely expensive. Golf may be played at the British bases if you join the golf course.

Tennis: Tennis is popular and facilities are good. Periodic tournaments are held at local clubs.

Hunting: Hunting is limited to hares and partridges. The hunting season established by the government varies from year to year. During the season, hunting is permitted only on Wednesdays and Sundays. The number of licensed Cypriot hunters is quite large in proportion to the amount of game available.

Fishing: Although fish are extremely scarce in the coastal waters, fishing with spear and snorkel can be most interesting. At some distance from the coast, there is good deep sea fishing; boats can be rented. Shoreline fishing would not satisfy the serious angler. There is no river or stream fishing, but shoreline fishing in some reservoirs has been reported to be good.

Spectator sports include: Horseracing: The Nicosia horseracing season is nearly year round. Associate membership is open to Americans for a modest fee. The track has photo finish and an automatic tote board.

Basketball: There are several American basketball players on teams here in Cyprus. Local as well as visiting teams are popular.

Soccer: There are four divisions of soccer teams playing all over the island of Cyprus. Soccer is the most popular sport among Cypriots.

Gymnasiums: Several well-equipped gyms, offering both weightlifting and aerobics programs, are present and have reasonable prices.

Touring and Outdoor Activities

Picnics, sight-seeing, and camping are popular pastimes in Cyprus. A wide variety of old castles, monasteries, and ancient ruins are available to be explored.

Kyrenia lies 16 miles north of Nicosia. A 7th century Byzantine castle, which also served the Venetians in the 15th century, overlooks the picturesque harbor. There are three castles on the Kyrenia Mountain Range which provide a beautiful view of the northern coast of Cyprus.

Famagusta, once one of the main port cities of Cyprus, is about 40 miles east of Nicosia on Famagusta Bay. Its center is in a well-preserved Venetian walled city. Legend has it that the citadel which overlooks the Bay of Famagusta was the setting of Shakespeare's "Othello."

To the north of Famagusta is the biblical port of Salamis where St. Paul entered Cyprus on his evangelical tour. Most of this ancient port is now submerged and the site offers a challenge to the snorkeler who might be interested in underwater archaeology.

Larnaca is an active seaport located on Larnaca Bay about 30 miles southeast of Nicosia. Its salt lake is a winter haven for large flocks of flamingos. There is a monastery, churches and museums located in and around Larnaca.

Limassol lies approximately 50 miles southwest of Nicosia on Akrotiri Bay. Seven miles west of Limassol is the tower of Kolossi built in the 15th Century by the Knights of St. John Hospitaler. The ruins of Curium, an Achaean religious and political center of the 2nd century B.C., include remains of the Temple of Apollo and a beautiful stadium. It houses some Roman administrative and bathing facilities, fine mosaics and other ruins, including a fairly well-preserved Roman theater, sometimes put to contemporary use.

Paphos, off whose shores legend says Aphrodite arose from the sea foam, lies on the west coast. The scenic route to Paphos from Nicosia along the south shore comprises the grand tour of many of the archaeological high spots in Cyprus. The "Fontana Amorosa" (Love's Spring), in the north part of Paphos, was a source of poetic inspiration during the classical age. It was said that whoever drank from it would fall in love.

The cool, pine-forested Troodos Mountains, a 90-minute drive from Nicosia, offer relief from the heat in the summer and skiing in the winter. In the Troodos Mountains in the Paphos district, lies Kykko Monastery. It contains the cherished icon of the Virgin Mary painted by St. Luke. Not far from the monastery is a beautiful valley of 30,000 cedars.

Archaeological Sites : The numerous archaeological sites on Cyprus are nearly all open to the public. All digs are under the jurisdiction and supervision of the Cyprus Department of Antiquities, and expeditions from other nations are often at work there. Some sites charge a nominal entrance fee; at others, you may wander at will, picnic on or near the site, and enjoy a freedom unknown at archaeological sites in other countries. Guidebooks available in Cyprus and brochures published by the Cyprus Museum give details of all the antiquities.

Entertainment

Most cinemas in Nicosia are air-conditioned. They generally show first-run U.S. or British films. Admission is reasonably priced.

The Nicosia Municipal Theater has operas, concerts, plays and ballets.

Cyprus has a permanent, Government-sponsored national theater whose repertory consists of international and Greek plays, the vast majority performed in Greek. There are also private theatrical companies with a similar repertory. No opera or professional symphony orchestra exists, but occasionally foreign concert artists, symphony orchestras, or popular music ensembles visit the island.

Night club entertainment exists in limited scope with a number of popular discotheques.

In addition to the restaurants offering standard and European cooking and atmosphere, less expensive and simpler tavernas serve Cypriot dishes, as well as those typical of the Near East. Most Americans like Cypriot food.

Most types of photographic film are sold locally, although it is rather expensive. Facilities for developing and printing black-and-white and color film are adequate for all but color slides. Camera and photographic equipment sold in local shops is reasonably priced. The amateur photographer will find interesting subject matter in the varied landscape and local color of the island. During seven or eight months of the year, light conditions are excellent.

Social Activities

The American Women's Club is an active body open to all women in Cyprus. Its purpose is to promote friendship among American, Cypriot, and other foreign women.

It sponsors monthly programs of interest to the membership and organizes parties and fund-raising activities for charity. Activities include informal discussion groups, craft demonstrations, cooking classes, and tours to archaeological sites. This group is active in welcoming new arrivals, providing information on local shopping, sight-seeing, schools, and any additional information helpful to settling in.

Limassol

Limassol, with a population of 155,000, is on Akrotiri Bay, about 50 miles southwest of Nicosia. In this seaport city, the marriage of Richard the Lion-Hearted and his hard-won Berengaria of Navarre was celebrated with her coronation and dancing in the streets. Seven miles west of Limassol is the tower of Kolossi, built in the 15th century by the Knights of St. John Hospitale. The ruins of Curium, an Achaean religious and political center of the second century B.C., are a few miles west of Kolossi. This site includes remains of the Temple of Apollo and a stadium. Curium, with its superb Greco-Roman theater, is thought to have been founded by the Greeks; in the early centuries A.D., it housed some Roman administrative and bathing facilities, found in recent excavations. Some fine mosaics and other ruins, including a fairly well-preserved Roman theater sometimes put to contemporary use, have been unearthed.

Limassol is famed for its traditions and celebrationsan annual wine festival, the pre-Lenten carnivaland is rapidly developing as a tourist center. Hotels and apartment structures are being built close to the new harbor, and restaurants, tavernas, and nightclubs are opening up here in ever-increasing numbers.

The Logos School of English Education is a coeducational institution in Limassol for grades kindergarten through 12. Founded in 1973, the school employs a combined U.S. and U.K. curriculum. There are also facilities for boarding and a planned seven-day program for boarders. The mailing address is P.O. Box 1075, Limassol, Cyprus.

OTHER CITIES

FAMAGUSTA , once one of the main port cities of Cyprus, with a population of about 28,000, is 40 miles east of Nicosia on Famagusta Bay. Its center is in a well-preserved Venetian walled city. Legend has it that the citadel which overlooks the bay was the setting for Shakespeare's Othello. The beautiful sand beaches and good hotels all along the shore give Famagusta (in Greek, Ammochostos) its name, which means "sand-hidden." New Famagusta (Varasha) is now deserted, in the middle of a Turkish military zone.

Further north from Famagusta and Salamis in the Kyrenia Range is Kantara Castle, 2,068 feet above sea level. "Kantara" means bridge in Arabic. The castle was named either by the Arab invaders or by Maronites from Lebanon who allegedly settled in that part of the island. Some say it was so named because its setting looks like an arch. This beautiful spot commands excellent views of the sea on both sides and long stretches of plain all around it. Both the summer resort, two miles from the castle, and the young forest in the district are called Kantara after the castle.

KYRENIA , a city of 14,000 inhabitants, is 15 miles north of Nicosia. A seventh-century Byzantine castle, which also served the Venetians in the 15th century, overlooks the picturesque harbor. The city is dominated by the Kyrenia Range and the Castle of St. Hilarion, built in 1228 on a mountain peak 2,200 feet above sea level and said to have been a source of inspiration for Walt Disney's Snow White.

LARNACA is an active seaport with a population of approximately 69,000, situated on Larnaca Bay, about 30 miles southeast of Nicosia. Its salt lake is a winter haven for large flocks of flamingos. Belief here is that Lazarus came to Lanarca after his resurrection, and was later consecrated as the district's first bishop. The nearby Tekke of Umm Haram, a beautiful mosque built on the spot where the Prophet Mohammed's stepmother is said to have died, is a holy place to all Muslims. A new international airport near the city, and the reconstructed harbor, with its deep-water berths, have increased the popularity of Larnaca as a resort. Hotels and apartment buildings are continually under construction here. The American Academy on Gregory Afxentiou Avenue, in operation since 1908, serves an international student body and follows a U.S., U.K., and Greek Cypriot curriculum.

Twenty-five miles east of Larnaca is Ayia Napa, a small town with some of the best beaches in Cyprus. The town centers around a fine old monastery. Nearby are several coves with white sand beaches. The area is well developed for tourism. Good hotels abound and there are many apartments hotels and vacation apartments that can be rented short term. Aquatic sports facilities are good.

PAPHOS , from whose shores Aphrodite, the Greek goddess of love, is said to have risen from the sea foam, lies on the west littoral. It has about 40,000 inhabitants. The scenic route to Paphos from Nicosia, along the south shore, comprises the grand tour of many of the principal archaeological spots in Cyprus. The Fontana Amorosa (Love's Spring), also known as the Baths of Aphrodite, in the north part of Paphos, is about half a mile from the sea. The spring was a source of poetic inspiration during the classical age, and it was claimed that whoever drank from it would fall in love. At Paphos, Christianity was introduced to Cyprus with the conversion by St. Paul of the Roman governor, Sergius Paulus. The pillar on which Paul was tied to receive the 39 lashes still stands in Paphos. In the Troodos Mountains in the Paphos district, Kykko Monastery contains the cherished icon of the Virgin Mary painted by St. Luke. Warm hospitality is always extended to visitors. Not far from the monastery is a beautiful valley of 30,000 cedars.

The Anglo American International School, for pre-kindergarten through grade 13, is located in Paphos. A coeducational day school with boarding facilities, Anglo American was founded in 1980 and is accredited by the Cypriot Ministry of Education. The school offers a U.S. and U.K. curriculum. The mailing address is 22-26 Hellas Avenue, Paphos, Cyprus.

Just north of Famagusta, also on the bay, is the biblical port of SALAMIS , where St. Paul entered Cyprus on his evangelical tour. Most of this ancient port is now submerged, and the site, a fine swimming location, offers a challenge to the snorkeler who might be interested in underwater archaeology. The Greco-Roman ruins here include excellently preserved Corinthian pillars and some fine, although headless, caryatids and statues.

COUNTRY PROFILE

Geography and Climate

Cyprus is the third largest island in the Mediterranean, after Sicily and Sardinia, with an area of 3,572 square miles. It is in the eastern Mediterranean basin, 44 miles south of Turkey, 64 miles west of Syria, and 150 miles north of the Nile Delta. The island has a maximum length of 150 miles from northeast to southwest and a maximum width of 60 miles from north to south. Two mountain ranges dominate the landscape. The narrow and largely barren Kyrenia Range in the north (maximum elevation 3,360 feet) rises almost directly up from the northern coastline and follows it from east to west for some 80 miles. The forest covered Troodos Range rises in the southwestern sector of the island, culminating in Mount Olympus at an altitude of 6,400 feet. Between the two ranges, extending from Morphou Bay in the west to Famagusta Bay in the east, lies the Mesaoria ("between the mountains")a broad, fertile, coastal plain which produces most of the island's cereal grains and other crops. Nicosia, the capital of Cyprus, is on the Mesaoria. Throughout the long summer the plain is arid and parched, but in the winter and spring it is carpeted with a lush growth of young wheat and barley.

The climate of Cyprus may be compared to that of South Central Texas. Cyprus has hot, dry, dusty summers and fairly cool, damp winters. Nicosia's maximum mean temperature is approximately 80°F, while the minimum mean temperature is 50°F. From mid-June to mid-September, the temperature sometimes exceeds 100°F. After sundown, it usually falls to 60°F to 70°F. The summer heat is tolerable because humidity is usually low and high temperatures are often tempered by westerly winds. Nicosia's summer weather is generally more comfortable than in the seaside towns, where humidity is higher though temperatures are lower. Because rain falls almost exclusively from December through March, water may be rationed in Nicosia in the summer. Winters are usually cool and damp. On the whole, the climate can be characterized as Mediterranean, healthy, and quite enjoyable.

Population

Cyprus has had no official census since 1973. Before 1974, its population was estimated at 630,000 persons, of whom almost 80 percent were ethnic Greek and 18 percent ethnic Turk. The remainder were mainly Armenians and Maronites, with a few Latins. The population estimate for July 2001 is 763,000. The foreign population in Cyprus includes some 1,200 U.N. troops, a resident British presence of over 13,000 (including retired persons and troops in the Sovereign Base Areas), and some 1,000 American citizens.

The population is divided physically and culturally into two quite different societiesGreek Cypriot and Turkish Cypriot. Each maintains its distinct identity based on customs, religion, language, and ethnic allegiance. Historically, this population was intermingled among six larger towns and over 600 small villages. One of the results of intercommunal violence during the 1960's was the enclavement of most Turkish Cypriots and, after the 1974 war, the physical separation of the two communities by the present cease-fire line.

Communal Institutions

The 1960 Constitution created a presidential system, with a Greek Cypriot President and Turkish Cypriot Vice President elected by their respective communities. As part of a number of safeguards designed to protect the rights of the Turkish Cypriot minority, the Vice President was given veto rights over defense, foreign affairs, and security matters. The Turkish Cypriots were also assured a representation of 3O percent in the civil service, and in the unicameral legislature which was to consist of 35 Greek Cypriot and 15 Turkish Cypriot members. The same ratio obtained in the 10-member Council of Ministers, three of whose members were Turkish Cypriots, and one of whom had to hold the Defense, Interior, or Foreign Affairs portfolio. The constitutional system broke down with the outbreak of intercommunal fighting in late 1963, which led to the establishment of Turkish Cypriot enclaves.

In the summer of 1974, a coup d'etat backed by the military junta in Athens led to Turkey intervening militarily and the occupation of some 37 percent of the island's territory by the Turkish Army. In November, 1983, the Turkish Cypriot Administration declared itself the "Turkish Republic of Northern Cyprus". The "TRNC" is recognized only by Turkey.

Under the auspices of the U.N. Secretary General, intercommunal negotiations have been conducted at various stages since 1968, with the goal of trying to resolve differences between the Greek and Turkish Cypriot communities. The latest round of talks led to a draft "Set of Ideas." There is also a focus on developing ways of building confidence between the two communities. The basic issues in the talks center around security, the nature and structure of the federal constitution, territory, refugees, and settlers.

The Government of Cyprus has a Presidential system with a unicameral legislature, the House of Representatives. The President, Glafkos Ioannou Klirides, elected for a five-year term, was last elected in February 1998. The House was last elected in May 2001. The Greek Cypriot political scene is dominated by four main parliamentary parties. The oldest established Greek Cypriot party is the Communist party (AKEL), which currently has 20 of the 56 elected members of the legislature. The center-right Democratic Rally Party (DISY) holds 19 seats, the centrist Democratic Party (DIKO) holds 9 seats, and the Socialist party (EDEK) has 4 seats. The current President was a founding member of DISY party. The Democratic Party supported his candidacy in the final round of the elections.

There are also four main Turkish Cypriot political parties. The Democratic Party (center-right) and the Republican Turkish Party (left-wing) formed a coalition following the December 12, 1993 election. Together the two parties have 19 seats in the 50-seat "assembly." The National Unity Party (right-wing), has 24 seats, and the Communal Liberation Party (center-left) has 7 seats. The "TRNC President," Rauf Denktas, was last elected in April 2000. Although the "constitution" nominally gives him little power, he is generally considered the most important and powerful political figure in northern Cyprus.

Arts, Science, and Education

Prehistoric pottery and sculpture have been excavated throughout Cyprus. The making of pottery and other folk arts are still practiced on the island. Embroidery is one of the most developed of these arts.

The revival of Cypriot painting began toward the end of the British rule. Many artists still show the effects of classical European training, although others reflect the Byzantine tradition. Younger artists show a definite leaning to American "hard edge" and other modern schools.

Cypriots generally attend universities in Greece, the United Kingdom, Turkey, and the United States. There are many local colleges targeting foreign students and the new University of Cyprus opened its doors in Fall 1993.

Commerce and Industry

The island's division into two economic areas disrupted the country's economic unity and overall productive capacity. While the economy in the area controlled by the Government of Cyprus (GOC) has developed and grown, the economy in the Turkish Cypriot-controlled north has been much weaker. A lack of technical expertise, foreign exchange reserves, and international financing have been inhibiting factors in this part of the island.

Care of the refugee population took first priority in the years immediately after 1974. Satisfactory housing facilities were provided to displaced persons under the GOC low-cost housing and self-help schemes, partially financed by the U.S. Government through the United Nations High Commissioner for Refugees (UNHCR). U.S. grant assistance for refugee programs between 1974 and 1992 totalled over 200 million dollars. Another 65 million dollars has been provided through the Cyprus-America Scholarship Program, which was established in 1981.

In 2000, about 3.6 percent of the economically active population were unemployed and economic growth was identified at 2.2 percent. A political settlement of the Cyprus problem would likely greatly enhance the viability of the island and begin to bridge the disparity of economic opportunity between the two major communities. In 2000, estimated per-capita GDP was $16,000 in the Greek Cypriot community and $5,300 in the Turkish Cypriot community.

Clothing, citrus fruit, potatoes, vegetables, footwear, and vine products make up the bulk of exports. Main imports include food and feed grains, transport and industrial machinery, electronic equipment, and petroleum products. "Invisible" foreign exchange earnings, especially from tourism, remain strong and the Cyprus pound has been relatively stable. Although economic problems are by no means completely solved, economic prosperity is evident in all sectors of the Greek Cypriot economy. In 1988, Cyprus began a 15-year transition to a Customs Union with the European Union (EU).

Transportation

Local

Bus and taxi service are the only forms of local public transportation. Buses service is not developed in many localities and can be inconvenient and crowded. In the major towns of Cyprus, excellent taxi service is always available at moderate prices.

Scheduled taxi transportation between cities, on a shared-occupancy basis, is offered at a reasonable fixed charge per passenger. Automobiles, with or without chauffeurs, can be rented reasonably by the day, week, or month.

Regional

Cyprus Airways, Olympic Airways, British Airways and many other national airlines operate flights in and out of Larnaca International Airport to Athens, Tel. Aviv, Cairo, Frankfurt, and London, as well as to most other major European cities. Ships carrying cargo and passengers to Cyprus call at Larnaca and Limassol. Auto ferries are available between Piraeus (Athens port) and Limassol.

Communications

Telephone and Telegraph

Telephone service is very reliable. Dial calls can be made to all the cities and villages. Cyprus has telephone, telegraph, and telex communications with all parts of the globe, as well as telephone and telegraph service with ships at sea. The International Subscriber Dialing (ISD) system was installed in 1976 and services the United States, Greece, and 104 other countries. Telephone calls to Europe, the United States, and other countries served are clear and uninterrupted. A satellite station has been installed in the south and is operational. The Turkish Cypriot telephone system is entirely separate from the CYTA (Cyprus Telecommunications Authority) network. Telephone calls to the north can only be made to a very few stations still linked to CYTA lines.

Radio and TV

Radio and TV reception is good. BBC broadcasts daily in the regular medium wave (AM) band. A short-wave radio is recommended for picking up other foreign and VOA broadcasts. The British Forces Broadcasting Service offers news, popular music, and some BBC programs. Cyprus Radio broadcasts in Greek, Turkish, and English. It offers news in English and some BBC programs from London.

Television service covers the entire island, and transmissions are in color. News and current events programs are broadcast in Greek, Turkish, and English. The news in English is limited to a 5 minute tele-cast once every evening. Many TV features are U.S. or British movies or series with Greek subtitles.

Newspapers, Magazines, and Technical Journals

Nicosia's one English-language daily (except Monday) is the 12-15 page Cyprus Mail. The International Herald Tribune reaches Nicosia readers a day after publication. Subscriptions to the European edition of the Stars and Stripes are also available. Many local bookshops carry foreign periodicals, technical journals, and novels in English. The Cyprus Weekly newspaper appears every Friday in English. There is also a weekly English-language newspaper published in the Turkish Cypriot community, Cyprus Today.

Health and Medicine

Medical Facilities

Nicosia has specialists in obstetrics; surgery; ear, nose and throat; urology; orthopedics; and internal medicine. Nicosia has a number of small, private clinics in which Americans have been hospitalized or delivered babies. Cases requiring unusual diagnostic facilities may be evacuated to London or the United States. Medicine and laboratory services can usually be obtained locally. If you require special medication, however, bring a supply.

Optical care is generally quite good in Cyprus. Most lens prescriptions can be filled here. If your prescription is unusually complicated, bring spare glasses. Both hard and soft contact lenses are available at lower than U.S. prices.

Several good dentists, trained in Europe and America, practice in Nicosia. They use modern equipment and are highly recommended by Americans who have been treated by them. Fees are reasonable.

Community Health

Community and public sanitation standards, although lower than in the United States, are much higher than in many countries in the area. They may be compared favorably to those in most countries of southern Europe. Sanitary inspection laws are not always stringently enforced, however. Except at the top restaurants and markets, standards of sanitation can be suspect.

Window screening is generally uncommon. Flies and mosquitoes are common pests and can sometimes interfere with outdoor activities. Garbage is collected twice weekly.

Local health authorities consider the island one of the more healthful areas of the world because of the infrequency of serious diseases. Although the ordinary diseases usually found in most countries bordering the Mediterranean do occur here, Cyprus has no unusual health problems. Some cases of typhoid are reported occasionally.

The Cyprus Government conducts energetic campaigns to encourage immunization of young persons. Pollen and dust during the hot, dry summers can be a source of discomfort to those suffering from hay fever, asthma, allergy to dust or pollen, or from any chronic condition of the upper respiratory system. Rabies is nonexistent on the island. However, hydatid disease or echinococcosis, attributed to a tapeworm harbored by dogs, occurs among local inhabitants. There are no known cases of Americans having been infected while in Cyprus.

Preventive Measures

Children should have the DPT and measles, mumps, and rubella (MMR) inoculations.

Several local dairies pasteurize milk, making it safe to drink without further treatment.

Nicosia's water is treated and considered potable, but is sometimes rationed. Most homes have storage tanks on the roofs, which are a potential source of airborne disease contamination. For this reason, most kitchen sinks have a third water tap connected directly to the city main. This water tap should be used for all drinking, ice making, and vegetable rinsing. Bottled mountain spring water is available in supermarkets at reasonable prices, or large quantities can be delivered to one's home. Fresh fruits and vegetables should be washed thoroughly, especially when they are eaten raw.

NOTES FOR TRAVELLERS

The Cyprus Government carefully controls the exportation of antiquities. Before such items can be removed from the island, an export authorization must be obtained from the office of the Department of Antiquities at the Cyprus Museum.

No U.S. citizen needs a visa to enter Cyprus.

Regulations concerning the entry of dogs and cats include, as a general rule, a 6-month quarantine period. Exceptions to this requirement in the form of early release to home quarantine, are possible, but expensive. Dogs should be inoculated against rabies prior to arrival on Cyprus.

The unit of currency on the island is the Cyprus pound which is divided into 100 cents. Currency notes are issued in denominations of Cyp. Pds. 20, 10, 5, and 1. Coins are minted in the value of Cyp. Pds50, .20, .10, .05, .02, and .01. Adequate British and Cypriot banks are on the island. The Cyprus Pound trades at around $1.60 (January 2001) and is well backed by foreign exchange. In the north, although the Cyprus Pound and U.S. dollar are accepted in most places, the Turkish lira (TL) has been the de-facto medium of exchange since 1975. Commercial banking is well developed.

The metric system is now in common use in Cyprus, though more traditional forms of measurement are still encountered.

LOCAL HOLIDAYS

Greek Community Holidays

Jan.1New Year's Day

Jan 6Epiphany Day

Mar/Apr.Green Monday* (Beginning of Greek Orthodox Lent)

Mar. 25Greek Independence Day

Apr.1Eoka Day

Apr/MayGood Friday*

Apr/MayHoly Saturday*

Apr/MayEaster*

Apr/MayEaster Monday*

May 1 Labor Day

June/July Holy Spirit Day*

Aug. 15Assumption Day

Oct. 1Cyprus Independence Day

Oct. 28Ohi Day

Dec. 24 Christmas Eve

Dec. 25 Christmas Day

Dec. 26 Boxing Day

Turkish Cypriot Community

Jan. 1New Year's Day

Ramazan Bayram*

Apr. 23Opening of the Grand National Assembly

Kurban Bairam*

May 1Labor Day

May 19Turkish Youth Day

July 20Peace and Freedom Day

July 31Birthday of the Prophet

Aug. 30Victory Day

Oct. 29Turkish Republic Day

Nov. 15Republic Day of Northern Cyprus

RECOMMENDED READING

Alastos, D., Cyprus in History, a Survey of 5000 Years.

Arnold, Percy, Cyprus Challenge, London, 1956.

Attalides, Michael, Cyprus, Nationalism and International Politics.

Balfour, Patrick, The Orphaned Realm, London, 1951.

Ball, George, Chapter on Cyprus from George Ball's Memoirs.

Berlitz Travel Guide: Cyprus. New York: Macmillan, latest edition

Borowiec, Andrew, The Mediterranean Feud, New York, 1983.

Clerides, Glafkos, My Deposition, London, 1988.

Crawshaw, Nancy, The Cyprus Revolt.

Denktash, Rauf, Cyprus Triangle,London, 1982.

Durrell, Lawrence, Bitter Lemons,New York, 1957.

Foley, Charles, Island in Revolt, Legacy of Strike.

Foley, Charles, The Memoirs of Cyprus (four volumes).

Hart, Parker T. Two NATO Allies at the Threshold of War: Cyprus, a Firsthand Account of Crisis Management, 1965-1968. Durham, NC: Duke University Press, 1990.

Kyriakides, Stanley, Cyprus: Constitutionalism and Crisis in Government.

Luke, Sir Harry, Cyprus: A Portrait and Appreciation.

Necatigil, Zaim M. The Cyprus Question and the Turkish Position in International Law. New York: Oxford University Press, 1989.

Polyviou, P., Cyprus: Conflict and Negotiation, 1960-1980.

Polyviou, P., Cyprus in Search of a Constitution.

Polyviou, P., Cyprus, The Tragedy and the Challenge.

Reddaway, John, Burdened with Cyprus.

Salem, Norma, ed. Cyprus: A Regional Conflict and Its Resolution. New York: St. Martin's Press, 1992.

Thubron, Colin. Journey into Cyprus. New York: Atlantic Monthly, 1990.

Wilson, Rodney. Cyprus and the International Economy. New York: St. Martin's Press, 1992.

Cyprus

views updated Jun 27 2018

Cyprus

Compiled from the October 2006 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:
Republic of Cyprus

PROFILE

PEOPLE AND HISTORY

GOVERNMENT

POLITICAL CONDITIONS

FOREIGN RELATIONS

U.S.-CYPRUS RELATIONS

TRAVEL

PROFILE

Geography

Area: 9,251 sq. km. (3,572 sq. mi.); about the size of Connecticut.

Cities: Capital—Nicosia (pop. 197,800, 2000 fig.). Other cities—Limassol, Larnaca, Famagusta, Paphos, Kyrenia, Morphou.

Terrain: Central plain with mountain ranges to the north and south.

Climate: Mediterranean with hot, dry summers and cool, wet winters.

People

Nationality: Noun and adjective—Cypriot(s).

Population: (2005 est.) government-controlled area 784,301; area administered by Turkish Cypriots 264,172.

Annual population growth rate: (2005) 2.3%.

Ethnic groups: (1960 census) Greek (77%), Turkish (18%), Armenian and other (4%).

Religions: Greek Orthodox, Muslim, Maronite, Roman Catholic, Armenian Orthodox.

Languages: Greek, Turkish, English.

Education: Years compulsory—6 in elementary; 3 in high school. Attendance—almost 100%. Literacy—about 99%.

Health: Infant mortality rate—7.04/1,000. Life expectancy—77 yrs.; males 75 yrs.; females 80 years.

Work force: Government-controlled area (2005), 370,000: agriculture and mining—7.4%; industry—38.2%; and services—54.4%. Turkish Cypriot-administered area (2005), 95,000: agriculture—14.5%; industry—29%; and services—56.5%.

Government

Type: Republic.

Independence: August 16, 1960.

Constitution: August 16, 1960.

Government branches: Executive—President elected to 5-yr. term. Legislative—unicameral House of Representatives, members elected to 5-yr. terms. Judicial—Supreme Court; six district courts.

Political subdivisions: Six.

Political parties: Greek Cypriots—Progressive Party of Working People or Anorthotikon Komma Ergazemenou Laou—AKEL (communist); Democratic Party or Dimokratikon Komma—DIKO (center-right); Democratic Rally or Dimokratikos Synagermos—DISY (right); Movement for Social Democracy or Eleftheron Dimokratikon—EDEK (socialist); United Democrats or Enomeni Dimokrates—ED (center-left). Turkish Cypriots—National Unity Party or Ulusal Birlik Partisi—UBP (right); Democrat Party or Demokrat Partisi—DP (center-right); Republican Turkish Party or Cumhuriyetci Turk Partisi—CTP (center-left); Freedom and Reform Party or Free Party—Ozgurluk ve Reform Partisi—OP (center-right); Peace and Democracy Movement or Baris ve Demokrasi Hareketi (center-left); Communal Liberation Party or Toplumcu Kurtulus Partisi (center-left); New Party or Yeni Parti. Suffrage: Universal at age 18.

Economy

GDP: (2005) $16.78 billion.

Annual GDP real growth rate: (2005) 3.8%.

Per capita GDP income: (2005) Greek Cypriots—$21,500; Turkish Cypriots—about $10,200.

Agriculture and natural resources: (3.7% of GDP) Products—potatoes and other vegetables, citrus fruits, olives, grapes, wheat, carob seeds. Resources—pyrites, copper, asbestos, gypsum, lumber, salt, marble, clay, earth pigment.

Industry and construction: (19.8% of GDP) Types—mining, cement, construction, utilities, manufacturing, chemicals, non-electric machinery, textiles, footwear, food, beverages, tobacco.

Services and tourism: (76.5% of GDP) Trade, restaurants, and hotels 20.4%; transport 10.9%; finance, real estate, and business 23.8%; government, education, and health 16.1%; and community and other services 4.9%.

Trade: (2005) Exports—$1.237 billion: citrus, grapes, wine, potatoes, pharmaceuticals, clothing, and footwear. Major markets—EU (especially the U.K. and Greece), Middle East, Russia. Imports—$5.55 billion: consumer goods, raw materials for industry, petroleum and lubricants, food and feed grains. Major suppliers—Greece, Italy, Germany, U.K. (U.S. trade surplus—for 2004: $112.0 million.)

PEOPLE AND HISTORY

Since 1974, Cyprus has been divided de facto into the government-controlled two-thirds of the island and the remaining one-third of the island, which is administered by Turkish Cypriots. Greek and Turkish Cypriots share many customs but maintain distinct identities based on religion, language, and close ties with their respective “motherlands.” Greek is predominantly spoken in the south, Turkish in the north. English is widely used. Cyprus has a well-developed system of primary and secondary education. The majority of Cypriots earn their higher education at Greek, Turkish, British, and other European or American universities. Both the Turkish and Greek communities have developed private colleges and state-supported universities.

Cypriot culture is among the oldest in the Mediterranean. By 3700 BC, the island was well inhabited, a crossroads between East and West. The island fell successively under Assyrian, Egyptian, Persian, Greek, and Roman domination. For 800 years, beginning in 364 AD, Cyprus was ruled by Byzantium. After brief possession by King Richard I (the Lion-Hearted) of England during the Crusades, the island came under Frank-ish control in the late 12th century. It was ceded to the Venetian Republic in 1489 and conquered by the Ottoman Turks in 1571. The Ottomans applied the millet system to Cyprus, which allowed religious authorities to govern their own non-Muslim minorities. This system reinforced the position of the Orthodox Church and the cohesion of the ethnic Greek population. Most of the Turks who settled on the island during the three centuries of Ottoman rule remained when control of Cyprus—although not sovereignty—was ceded to Great Britain in 1878. Many left for Turkey during the 1920s, however. The island was annexed formally by the United Kingdom in 1914 at the outbreak of World War I and became a crown colony in 1925.

Cyprus gained its independence from the United Kingdom and established a constitutional republic in 1960, after an anti-British campaign by the Greek Cypriot EOKA (National Organization of Cypriot Fighters), a guerrilla group that desired political union, or enosis, with Greece. Archbishop Makarios, a charismatic religious and political leader, was elected president.

Shortly after the founding of the republic, serious differences arose between the two communities about the implementation and interpretation of the constitution. The Greek Cypriots argued that the complex mechanisms introduced to protect Turkish Cypriot interests were obstacles to efficient government. In November 1963, President Makarios advanced a series of constitutional amendments designed to eliminate some of these special provisions. The Turkish Cypriots opposed such changes. The confrontation prompted widespread intercommunal fighting in December 1963, after which Turkish Cypriots ceased to participate in the government. Following the outbreak of intercommunal violence, many Turkish Cypriots (and some Greek Cypriots) living in mixed villages began to move into enclaved villages or elsewhere. UN peacekeepers were deployed on the island in 1964. Following another outbreak of intercommunal violence in 1967-68, a Turkish Cypriot provisional administration was formed.

In July 1974, the military junta in Athens sponsored a coup led by extremist Greek Cypriots against the government of President Makarios, citing his alleged pro-communist leanings and his perceived abandonment of enosis. Turkey, citing the 1960 Treaty of Guarantee, intervened militarily to protect Turkish Cypriots.

In a two-stage offensive, Turkish troops took control of 38% of the island. Almost all Greek Cypriots fled south while almost all Turkish Cypriots fled north. Since the events of 1974, UN peacekeeping forces have maintained a buffer zone between the two sides. Except for occasional demonstrations or infrequent incidents between soldiers in the buffer zone, the island was free of violent conflict from 1974 until August 1996, when violent clashes led to the death of two demonstrators and escalated tension. The situation has been quiet since 1996.

GOVERNMENT

Since 1974, Cyprus has been divided de facto into the government-controlled two-thirds of the island and the Turkish Cypriot one-third. The Government of the Republic of Cyprus has continued as the internationally recognized authority; in practice, its authority extends only to the government-controlled area.

The 1960 Cypriot constitution provided for a presidential system of government with independent executive, legislative, and judicial branches, as well as a complex system of checks and balances, including a weighted power-sharing ratio designed to protect the interests of the Turkish Cypriots. The executive, for example, was headed by a Greek Cypriot president and a Turkish Cypriot vice president, elected by their respective communities for 5-year terms, and each possessing a right of veto over certain types of legislation and executive decisions. The Greek Cypriot-controlled Republic of Cyprus retains most elements of the presidential system of government expressed in the constitution, although it has cited the Turkish Cypriots’ “withdrawal from government” and the “law of necessity” to enact structural changes that allow “effective governance.” Following the 1974 hostilities, the Turkish Cypriots set up their own institutions in the area they administered with an elected president and a prime minister responsible to the National Assembly exercising joint executive powers. In 1983, the Turkish Cypriots declared an independent “Turkish Republic of Northern Cyprus” (“TRNC”). Only Turkey recognizes the “TRNC.”

POLITICAL CONDITIONS

Historically, none of the Greek Cypriot parties has been able to elect a president by itself or dominate the 56-seat House of Representatives. The 165,000 Greek Cypriot refugees from the area now administered by Turkish Cypriots are a potent political force, along with the independent Orthodox Church of Cyprus, which has some influence in secular as well as religious matters. In February 2003, Greek Cypriots elected Tassos Papadopoulos, leader of the center-right Democratic Party (DIKO), as president of the Republic of Cyprus. President Papadopoulos was supported by a broad coalition of parties ranging from his own DIKO to communist AKEL. Currently, AKEL-affiliated ministers fill four of 11 cabinet positions; DIKO holds three, EDEK two, and independents the remainder. All major parties hold seats in the National Council, the top advisory board to the president on Cyprus settlement issues, although opposition DISY withdrew from the body in February 2006. Parliamentary elections last took place in May 2006. AKEL emerged the leading party, garnering 31% of votes cast, with DISY a close second with 30%; each is represented in parliament by 18 MPs. AKEL leads a legislative coalition that depends on DIKO (11 seats) and EDEK (5) support, while DISY heads the opposition.

Mehmet Ali Talat was elected in April 2005 as leader of the Turkish Cypriot community (as the so-called “President of the TRNC”), replacing longtime nationalist leader Rauf Denktash. Talat’s political rise was due largely to his support of the UN Settlement Plan for Cyprus (the “Annan Plan”), which Rauf Denktash opposed, but which was supported by a majority of Turkish Cypriots in a 2004 referendum. Talat’s political allies in the Republican Turkish Party (CTP) currently hold 25 of the 50 seats in the “TRNC National Assembly,” and have had to establish a series of coalitions to form a stable “government.” In January 2004, the CTP teamed up with the Democrat Party (DP) of Serdar Denktash, a coalition which continued in various forms—first with Talat as “Prime Minister” and then, after Talat’s election as “president,” under the leadership of CTP leader Ferdi Sabit Soyer—until September 2006. At that time, CTP formed a new coalition with the newly formed Freedom and Reform Party (Free Party, OP), with Soyer retaining his post as “PM” and OP party leader Turgay Avci replacing Serdar Denktash as “Deputy Prime Minister” and “Foreign Minister.”

Attempts To Achieve a Cyprus Settlement

The first UN-sponsored negotiations to develop institutional arrangements acceptable to both communities began in 1968; several sets of negotiations and other initiatives followed. Turkish Cypriots focus on bizonality, security guarantees, and political equality between the two communities. Greek Cypriots emphasize the rights of movement, property, settlement, and the return of territory. Turkish Cypriots favor a loose grouping of two nearly autonomous societies living side by side with limited contact. Greek Cypriots envision a more integrated structure.

The last major UN-led effort to deliver a Cyprus solution commenced in January 2002 with Secretary General Kofi Annan orchestrating direct talks between the Greek and Turkish Cypriot community leaders. Nine months later Annan released a comprehensive settlement proposal, informally called “the Annan Plan.” Intensive efforts were made to gain both sides’ support for the plan prior to the December 2002 EU Summit in Copenhagen, where member states would determine the island’s future status vis-à-vis the union. Neither side agreed to the Annan Plan before the summit. UN-sponsored talks continued following Copenhagen. In February 2003, Tassos Papadopoulos was elected president of the Republic of Cyprus. A year later, President Papa-dopoulos and then-Turkish Cypriot leader Rauf Denktash resumed negotiations on the Annan Plan. A comprehensive settlement package was put to both sides in simultaneous referenda on April 24, 2004. Sixty-five percent of Turkish Cypriots endorsed the Annan Plan, but a larger majority of Greek Cypriots (76%) voted “no.” The Secretary General later suspended his Good Offices Mission. Nonetheless, the EU invited the Republic of Cyprus (with Cyprus still divided) to join; the Republic of Cyprus became a full member on May 1, 2004, with the EU’s acquis communautaire suspended in the area administered by Turkish Cypriots.

For two years following the Annan Plan referenda, the island saw little progress toward reunification. A senior UN official visiting Cyprus in July 2006 succeeded, however, in brokering commitment from both sides to commence exploratory talks. Negotiators continue meeting frequently under the auspices of the UN Secretary General’s Special Representative on Cyprus, and on July 8, 2006 community leaders Papadopoulos and Talat met for the first time since 2004.

Bi-Communal Contact, Crossing Procedures

In April 2003, then-leader of the Turkish Cypriots Denktash relaxed many restrictions on individuals crossing between the two communities leading to relatively unimpeded bi-communal contact for the first time since 1974. Since the relaxation, there have been nearly 10,000,000 buffer zone crossings in both directions. Under the current regulations, Greek Cypriots must present identity documents to cross to the area administered by Turkish Cypriots, something many are reluctant to do. They are able to drive their personal vehicles in the area administered by Turkish Cypriots, provided they first obtain a policy from a Turkish Cypriot insurance provider. Turkish Cypriots are permitted to cross into the government-controlled area upon presentation of a Turkish Cypriot ID card or other identity documentation acceptable to Republic of Cyprus authorities. They must also obtain car insurance from an insurer in the government-controlled area to drive their personal vehicles there.

Until recently, visitors choosing to arrive at non-designated airports and seaports in the area administered by Turkish Cypriots were not allowed to cross the United Nations-patrolled “green line” to the government-controlled area. In June of 2004, however, Cypriot authorities implemented new EU-related crossing regulations that allowed Americans (and citizens of most other countries) to cross freely regardless of their port of entry into Cyprus. Visitors arriving in the government-controlled area are normally able to cross the green line without hindrance, although on occasion difficulties are encountered at both the Greek-Cypriot and Turkish-Cypriot checkpoints. Policy and procedures regarding such travel are subject to change. More information on current procedures may be obtained at the UN “Buffer Zone” Ledra Palace checkpoint in Nicosia.

Principal Government Officials

Last Updated: 12/13/2006

President: Tassos PAPADOPOULOS

Min. of Agriculture, Natural Resources, & Environment: Fotis FOTIOU

Min. of Commerce, Industry, & Tourism: Antonis MICHAELIDES

Min. of Communications & Works: Harris THRASSOU

Min. of Defense: Nikos SYMEONIDES

Min. of Education & Culture: Pefkios GEORGIADES

Min. of Finance: Michalis SARRIS

Min. of Foreign Affairs: Yiorgos LILLIKAS

Min. of Health: Charis CHARALAMBOUS

Min. of Interior: Andreas CHRISTOU

Min. of Justice & Public Order: Sophoclis SOPHOCLEOUS

Min. of Labor & Social Insurance: Antonis VASSILIOU

Under Sec. to the Pres.: Christodoulos PASIARDIS

Governor, Central Bank: Christodoulos CHRISTODOULOU

Ambassador to the US: Andreas KAKOURIS

Permanent Representative to the UN, New York: Andreas MAVROYIANNIS

Cyprus maintains an embassy in the United States at 2211 R Street NW, Washington, DC 20008 (tel. 202-462-5772) and a Consulate General in New York City. Cyprus also maintains a trade center at 13 East 40th Street, New York, NY 10016 (tel. 212-686-6016). Turkish Cypriots maintain offices in Washington (tel. 202-887-6198) and at the Republic of Turkey’s Mission to the United Nations.

Economy

Cyprus has an open, free-market, services-based economy with some light manufacturing. Cyprus’ accession as a full member to the European Union as of May 1, 2004, has been an important milestone in its recent economic development. The Cypriots are among the most prosperous people in the Mediterranean region. Internationally, Cyprus promotes its geographical location as a “bridge” between West and East, along with its educated English-speaking population, moderate local costs, good airline connections, and telecommunications. In the past 20 years, the economy has shifted from agriculture to light manufacturing and services. The service sector, including tourism, contributes 76.5% to the GDP. Industry and construction contribute 19.8% and employ 38.2% of labor. Manufactured goods account for approximately 58.0% of domestic exports. Agriculture and mining is responsible for 4.4% of GDP and 5.3% of the labor force. Potatoes and citrus are the principal export crops.

Following a classical pattern, growth rates have gradually begun to decline as the Cypriot economy has matured over the years. The average rate of growth went from 6.1% in the 1980s, to 4.4% in the 1990s to 3.4% from 2000 to 2005. In 2005, growth picked up to 3.8%, from 1.9% in 2003. Unemployment was fairly constant at 4% in 2005, while inflation declined to 2.3% in 2004 from 4.1% the year before. As in recent years, the services sectors, and tourism in particular, provided the main impetus for growth.

Trade is vital to the Cypriot economy; the island is not self-sufficient in food, and has few natural resources. The trade deficit increased in 2005, reaching $4.3 billion.

Cyprus must import fuels, most raw materials, heavy machinery, and transportation equipment. More than 55% of its trade is with the European Union, particularly with the United Kingdom.

The economic outlook is bright for Cyprus in 2006. Economic growth is projected to reach 3.5%, marginally lower than the 3.8% recorded in 2005. Inflation is still low at around 2.5%, while the fiscal deficit and public debt remain in check. The EU will decide in May 2007 whether Cyprus has met the EU convergence criteria and is thus eligible to adopt the Euro on January 1, 2008. Currently, Cyprus is on track to meet this goal, having cut its budget deficit to well below 3% of GDP, although inflation remains a concern.

Investment Climate

Cyprus, a full EU member since May 1, 2004, has a liberal climate for investments. On October 1, 2004, the Republic of Cyprus lifted most investment restrictions concerning non-EU residents, completing earlier reforms (introduced in January 2000) concerning EU investors. Through this decision, the Republic of Cyprus has lifted most capital restrictions and limits on foreign equity participation/ownership, thereby granting national treatment to foreign investors. Non-EU investors (both natural and legal persons) may now invest freely in Cyprus in most sectors, either directly or indirectly (including all types of portfolio investment in the Cyprus Stock Exchange). The only exceptions concern primarily the acquisition of property and, to a lesser extent, restrictions on investment in the sectors of tertiary education and mass media.

The inflow of approved foreign direct investment reached $1.22 billion in 2004, compared with $1.0 billion in 2003, and $1.06 billion in 2002. The sectoral allocation of this investment in 2003 was as follows: manufacturing 0.8%; construction 0.8%; trading 14.6%; hotels and restaurants 0.2%; transport and communications 11.1%; financial intermediation 24.7%; real estate and business 41.0%; other services 6.7%. In terms of geographical origin, the majority of new investments in 2003 (58.1% of total value) originated from the EU; 31.1% originated from other European countries; 4.6% from the United States of America; and the remaining 6.2% from various other countries.

The gradual liberalization of foreign direct investment regulations has made Cyprus progressively a more attractive destination for U.S. investors in recent years. Traditionally, U.S. direct investment in Cyprus consisted of relatively minor projects, mostly by Greek-Cypriot expatriates. New investment projects with U.S. involvement in 2003-2005 included a luxury health spa, a local private university, a well-known U.S. coffee retailing franchise, an equestrian center, a hair products manufacturing unit, a firm trading in health and natural foodstuffs, and a financial services company. It should also be noted that the abolition of restrictions on investment originating from the EU allows U.S. investors to benefit as well, provided they work through subsidiaries in the EU.

Cyprus has good business and financial services, modern telecommunications, an educated labor force, good airline connections, a sound legal system, and a low crime rate. Cyprus’ geographic location, tax incentives and modern infrastructure also make it a natural hub for companies looking to do business with the Middle East, Eastern Europe, the former Soviet Union, the European Union, and North Africa. As a result, Cyprus has developed into an important regional and international business center.

European Union (EU)

Along with the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia, and Slovenia, the Republic of Cyprus entered the EU on May 1, 2004. The EU’s acquis communautaire is suspended in the area administered by Turkish Cypriots pending a settlement of the island’s division.

Export Opportunities

Best prospects for U.S. firms generally lie in services, high technology sectors, such as computer equipment and data processing services, financial services, environmental protection technology, medical and telecommunications equipment, and tourism development projects. Moreover, alternative energy sources and the energy sector in general are attracting an increasing amount of attention, while the possible existence of natural gas and petroleum reserves off the southern and eastern coast of Cyprus opens up new prospects. Finally, the island’s private sector has a growing appetite for U.S.-made office machines, computer software and data processing equipment, while U.S. food franchises and apparel licensors have found fertile ground for expansion in Cyprus in recent years.

Trade Between Cyprus and the United States

The U.S. Embassy in Nicosia sponsors a popular pavilion for American products at the annual Cyprus International State Fair and organizes other events to promote U.S. products throughout the year. The U.S. runs a significant trade surplus with Cyprus, on the order of $80.2 million in 2005 (exports of $102.8 million versus imports of $22.6 million—according to Republic of Cyprus statistics).

Principal U.S. goods exports to Cyprus include office machines and data processing equipment; electrical appliances; optical, measuring, and medical equipment; tobacco and cigarettes; passenger cars; and wheat. Principal U.S. imports from Cyprus consist of dairy products, fresh fish, and mineral substances.

Bilateral business ties also encompass a healthy exchange in services. In 2005, the inflow of services (from the United States to Cyprus) was $631.2 million, against an outflow (from Cyprus to the United States) of $388.1 million, according to Republic of Cyprus statistics.

Turkish Cypriot Economy

The economy of the Turkish Cypriot-administered area is dominated by the services sector including the public sector, trade, tourism and education, with smaller agriculture and light manufacturing sectors. The economy operates on a free-market basis, although it continues to be handicapped by the political isolation of Turkish Cypriots, the lack of private and governmental investment, high freight costs, and shortages of skilled labor. Despite these constraints, the Turkish Cypriot economy turned in an impressive performance in 2004 and 2005, with growth rates of 10.6% in 2005 and 15.4% in 2004. Over the same period, GDP per capita almost doubled reaching $10,200 at the end of 2005. This growth has been buoyed by the relative stability of the Turkish Lira, the employment of over 5,000 Turkish Cypriots in the Greek Cypriot economy where wages are significantly higher, and by a boom in the education and construction sectors. In 2005, the services sector accounted for nearly two-thirds of GDP, industry accounted for 20.5% of GDP, and agriculture 10.6%, according to Turkish Cypriot statistics.

The partial lifting of travel restrictions between the two parts of the island in April 2003 has allowed movement of persons—almost ten million crossings to date—between the two parts of the island with no significant interethnic incidents.

Turkey remains, by far, the main trading partner of the area administered by Turkish Cypriots, supplying 65% of imports and absorbing around 50% of exports. In a landmark case, the European Court of Justice (ECJ) ruled on July 5, 1994 against the British practice of importing produce from the area based on certificates of origin and phytosanitary certificates granted by “TRNC” authorities. The ECJ decision resulted in a considerable decrease of Turkish Cypriot exports to the EU—from $36.4 million (or 66.7% of total Turkish Cypriot exports) in 1993 to $13.8 million in 2003 (or 28% of total exports). In August 2004, new EU rules allowed goods produced or substantially transformed in the area administered by Turkish Cypriots to be sold duty-free to consumers in the government-controlled area and through that area to the rest of the EU. To qualify, goods must also meet EU sanitary/phytosanitary requirements. Animal products are excluded from this arrangement. In May 2005, Turkish Cypriot “authorities” adopted a new regulation “mirroring” the EU rules and allowing certain goods produced in the government-controlled areas to be sold in the area administered by Turkish Cypriots. (However, suppliers cannot legally transport imported products over the green line in either direction.) Despite these efforts, direct trade between the two communities remains limited.

The EU continues to be the second-largest trading partner of the area administered by Turkish Cypriots, with a 22% share of total imports and 27% share of total exports. Total imports increased to almost $1.2 billion in 2005 (from $853.1 million in 2004), while total exports increased to $67.9 million (from $61.9 million in 2004). Imports from the U.S. reached $8.2 million in 2005, while exports to the U.S. were less than $50,000.

Assistance from Turkey is crucial to the Turkish Cypriot economy. Under the latest economic protocol (signed in 2005), Turkey undertakes to provide Turkish Cypriots loans and financial assistance totaling $450 million over a three-year period for public finance, tourism, banking, and privatization projects. Turkey also provides millions of dollars annually in the form of low-interest loans to mostly Turkish entrepreneurs in support of export-oriented industrial production and tourism. Total Turkish assistance to Turkish Cypriots since 1974 is estimated to exceed $3 billion.

FOREIGN RELATIONS

The Republic of Cyprus aligns itself with European positions within the EU’s Common Foreign and Security Policy. Cyprus has long identified with the West in its cultural affinities and trade patterns, and maintains close relations with Greece. Since 1974, the foreign policy of the Republic of Cyprus has sought the withdrawal of Turkish forces and the most favorable constitutional and territorial settlement possible. This campaign has been pursued primarily through international forums such as the United Nations. (See Political Conditions.) Turkey does not recognize the Republic of Cyprus. The Republic of Cyprus enjoys close relations with Greece. Cyprus is expanding relations with Russia, Israel, Egypt, and Syria, from which it purchases most of its oil. Cyprus is a member of the United Nations and most of its agencies, as well as the World Trade Organization, the World Bank, International Monetary Fund, Council of Europe and the British Commonwealth. In addition, the country has signed the Multilateral Investment Guarantee Agency Agreement (MIGA).

U.S.-CYPRUS RELATIONS

The United States regards the status quo on Cyprus as unacceptable. Successive administrations have viewed UN-led inter-communal negotiations as the best means to achieve a fair and permanent settlement, but after the failure of the Greek Cypriots to approve the comprehensive settlement plan in April 2004, the path to a settlement is unclear.

The United States is working closely with Cyprus in the war on terrorism. A Mutual Legal Assistance Treaty, which has been in force since September 18, 2002, facilitates bilateral cooperation. Cyprus also signed a Proliferation Security Initiative Ship Boarding Agreement with the United States on July 25, 2005, which reinforces bilateral counter-terrorism cooperation. The United States has channeled $305 million in assistance to the two communities through bi-communal projects, the UN Office of Project Services, the UN High Commissioner for Refugees, and the Cyprus Red Cross since the mid-1970s. The United States now provides approximately $13.5 million annually to promote bi-communal projects and finance U.S. scholarships for Greek and Turkish Cypriots. In 2004, following the Annan Plan process, the U.S. appropriated an additional $30.5 million to assist economic development in the Turkish Cypriot community, aiming to reduce the economic costs of any future settlement.

Principal U.S. Embassy Officials

NICOSIA (E) Address: Metochiou & Ploutarchou PO Box 24536 Engomi 2407 Nicosia Cyprus; APO/FPO: U.S. Embassy Nicosia PSC 815 FPO AE 09836; Phone: 357-22-393-939; Fax: 357-22-780-944; INMARSAT Tel: 683-13-2645/6; fax: 683-13-2647; Workweek: M-F, 08:00–17:00; Website: americanembassy.org.cy.

AMB:Ronald L. Schlicher
DCM/CHG:Jane Zimmerman
DCM OMS:Carol Hazzard
POL:Gregory P. Macris
CON:Henry H. Hand
MGT:Katherine A. Munchmeyer
AID:Thomas Dailey
CLO:Danuta Libby & Maryanne Macris
DAO:Thomas Mooney
DEA:Anthony Carter
ECO:Michael S. Dixon
EEO:Juliette A. Dickstein
GSO:Jason S. Evans
IMO:John Kelley Razer
IRS:Kathy Beck (resident in Paris)
ISSO:Lee Smith
PAO:Tom Miller
RSO:Joan Andrews
State ICASS:Tom Miller

Last Updated: 1/3/2007

TRAVEL

Consular Information Sheet : February 6, 2007

Country Description: Since 1974, Cyprus, a developed Mediterranean island nation, has been divided de facto into a government-controlled area comprising the southern two-thirds of the island, and a northern third, (the self-declared “Turkish Republic of Northern Cyprus”), administered by Turkish Cypriots. The United States does not recognize the “Turkish Republic of Northern Cyprus” nor does any country other than Turkey. Facilities for tourism in Cyprus are highly developed. Cyprus joined the European Union in 2004.

Entry Requirements: A passport is required for travel to Cyprus. A tourist and business entry stamp is issued at the port of entry for a stay of up to 90 days. For further information on entry requirements for Cyprus, travelers can contact the Embassy of the Republic of Cyprus at 2211 R Street NW, Washington, D.C. 20008-4082, tel. (202) 462-5772, or the Cypriot Consulate in New York at 13 East 40th St., 5th Floor, New York, N.Y. 10016, tel. (212) 686-6016/17. Visit the Embassy of Cyprus’ web site at http://www.cyprusembassy.net for the most current visa information. Americans can generally enter and remain in the area administered by Turkish Cypriots for up to 90 days without a visa. The Cypriot government does not recognize residence permits issued by the authorities in the Turkish Cypriot administered areas. In January 2007, the Cypriot government announced it would enforce the requirement that Americans and citizens of other non-EU countries not requiring visas, including those who live outside the government-controlled area, obtain a residence permit from the Republic of Cyprus Migration Department if they remain on the island for more than 90 days.

Safety and Security: Travelers should not, under any circumstances, attempt to enter the U.N. buffer zone at any place other than a designated crossing point. This area is heavily mined and militarized.

Never photograph military installations or anything that could be perceived as being of security interest (especially in the area administered by Turkish Cypriots). Pay particular attention to areas marked with “no photography” signs. Police on both sides strictly enforce these restrictions.

For the latest security information, Americans traveling abroad should regularly monitor the Department’s Internet web site, where the current Worldwide Caution Public Announcement, Travel Warnings and Public Announcements, can be found. Up-to-date information on safety and security can also be obtained by calling 1-888-407-4747 toll free in the U.S., or for callers outside the U.S. and Canada, a regular toll-line at 1-202-501-4444. These numbers are available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays).

Crime: The crime rate in Cyprus is low but rising. Visitors in urban areas should take the normal precautions they would take in a large city. Americans frequenting bars should avoid so-called “cabarets” which sometimes employ women brought to Cyprus for sexual exploitation. These establishments can also present foreign patrons with grossly inflated bar tabs, threatening those customers that refuse to pay.

Information for Victims of Crime: The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, assist you to find appropriate medical care, contact family members or friends and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

Medical Facilities and Health Information: Medical care is available at both government hospitals and private clinics. Emergency Rooms offer adequate care to stabilize patients, most of whom are then transferred to private hospitals. Many of the private-sector doctors have been trained in the United Kingdom or the United States. While fees are generally lower than those in the United States, medical supplies are often more expensive. Paramedics do not staff most ambulances. The standard of medical care in the area administered by Turkish Cypriots is improving but still falls below that found in the government-controlled area. The World Health Organization considers Cyprus to be one of the healthiest areas of the Mediterranean. Water supplies are potable, and the refuse collection/sewage disposal system is adequate. Communicable diseases such as typhoid are rare. Respiratory ailments and allergies are sometimes exacerbated by the dry and dusty climate.

Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention’s hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747) or via the CDC’s Internet site at http://www.cdc.gov/travel. For information about outbreaks of infectious diseases abroad consult the World Health Organization’s (WHO) website at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith.

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Cyprus is provided for general reference only, and it may not be totally accurate in a particular location or circumstance.

In recent years Cyprus has ranked among the top three countries in Europe, on a per capita basis, in traffic fatalities. Speeding, tailgating, overtaking, and the running of caution lights are commonplace and major causes of accidents. Emergency assistance is available in the Republic of Cyprus by calling 199.

There are few public buses and no rail lines. Taxis are widely available. Traffic moves on the left side of the road, British style, and modern motorways link the major cities. Secondary roads, especially in mountainous areas, tend to be narrow and winding, and they are not as well maintained as major highways. Traffic laws, signs and speed limits are consistent with the standards used throughout Europe. Traffic circles (roundabouts) are often utilized at major intersections.

The use of seat belts (in front seats) and child car seats is compulsory. Motorcyclists are required to wear helmets and the use of cellular phones while driving is prohibited unless used with some form of hands-free kit. Liability insurance is mandatory. Road safety conditions in the area administered by Turkish Cypriots are similar to conditions in the south, except that the road network is less developed. Insurance purchased in the government-controlled area is not valid in the area administered by Turkish Cypriots, but insurance for that area may be purchased near the U.N. “Buffer Zone” checkpoints. Emergency assistance is available in the area administered by Turkish Cypriots by calling 155.

For specific information concerning driving permits, vehicle inspection, road tax and mandatory insurance in Cyprus, contact the Cyprus Tourism Organization at 13 East 40th Street, New York, NY 10016, tel. (212) 683-5280, email: [email protected], website: http://www.cyprustourism.org.

Aviation Safety Oversight: As there is no direct commercial air service between the United States and Cyprus, the U.S. Federal Aviation Administration (FAA) has not assessed Cyprus’ Civil Aviation Authority for compliance with International Civil Aviation Organization (ICAO) aviation safety standards. For more information, travelers may visit the FAA’s Internet web site at http://www.faa.gov.

Special Circumstances: Since 1974, the Republic of Cyprus has designated Larnaca and Paphos international airports, and the seaports of Limassol, Larnaca, and Paphos, as the only legal points of entry into and exit from Cyprus. These ports are all in the government-controlled southern part of the island. Entry or exit via any other air or seaport is considered an illegal act by the Republic of Cyprus. Formerly, visitors choosing to arrive at non-designated airports and seaports in the area administered by Turkish Cypriots were not allowed to cross the United Nations-patrolled “Green Line” to the government-controlled areas in the south. Since June 2004, when the Republic of Cyprus implemented new EU-related crossing regulations, Americans and citizens of other non-EU countries not requiring visas have been able to cross regardless of their port of entry into Cyprus.

Most American visitors to Cyprus are able to cross the “Green Line” without hindrance, although on occasion difficulties are encountered at both the government and Turkish-Cypriot checkpoints. In January 2007, the Cypriot government announced it would enforce the requirement that Americans and citizens of other nonEU countries not requiring visas, including those who live outside the government-controlled area, obtain a residence permit from the Republic of Cyprus Migration Department if they remain on the island for more than 90 days. Cypriot officials at the “Green Line” checkpoints or at airports and seaports in the government-controlled areas may detain and prosecute Americans who have been present for more than 90 days in the area administered by Turkish Cypriots without such a permit. Policy and procedures regarding such travel are subject to change. More information on current procedures may be obtained at the U.N. “Buffer Zone” Ledra Palace checkpoint in Nicosia.

In an effort to prevent international child abduction, many governments have initiated procedures at entry/exit points. These often include requiring documentary evidence of relationship and permission for the child’s travel from the parent(s) or legal guardian if not present. Having such documentation on hand, even if not required, may facilitate entry/departure. Although Cyprus is party to the Hague Convention on the Civil Aspects of International Child Abduction, the Convention cannot be used effectively to recover a child abducted to the area administered by Turkish Cypriots.

Cyprus customs authorities enforce strict regulations concerning temporary importation into or export from Cyprus of items such as firearms. There are no restrictions on religious materials and medication for personal use. It is advisable to contact the Embassy of the Republic of Cyprus in Washington, D.C. for specific information regarding customs requirements or visit http://www.mof.gov.cy/ce.

In many countries around the world, counterfeit and pirated goods are widely available. Transactions involving such products are illegal and bringing them back to the United States may result in forfeitures and/or fines. Cyprus restricts the export of Byzantine period ecclesiastical material and all archaeological material. The U.S. Customs Service may impose corresponding import restrictions in accordance with the Convention on Cultural Property Implementation Act.

In addition to being subject to all Cypriot laws affecting U.S. citizens, individuals who also possess the nationality of Cyprus may also be subject to other laws that impose special obligations on citizens of Cyprus. U.S. citizens whom the Republic of Cyprus considers to be Cypriot citizens may be subject to compulsory military service and other aspects of Cypriot law while in Cyprus. Those who may be affected should inquire at the Embassy of the Republic of Cyprus regarding their status. U.S. citizens whom the Turkish-Cypriot authorities consider to be “citizens” may also be subject to compulsory military service in the area administered by Turkish Cypriots. The U.S. Embassy is unable to exempt dual nationals from such service.

U.S. Citizens who buy or lease property, particularly in the area administered by Turkish Cypriots, may find their ownership challenged by people displaced as a result of the 1974 conflict. Prospective property buyers should always seek legal advice before buying. On October 20, 2006, the government of the Republic of Cyprus passed Article 303A of the Criminal Code which makes it a felony to buy, rent or sell property in Cyprus without the consent of the registered owner. Cypriot courts have used the law to prosecute people involved in the sale or purchase of property in the area administered by the Turkish Cypriots. The government of Cyprus has also attempted to enforce Cypriot legal judgments in property matters in other EU countries. Cypriot customs authorities routinely detain anyone arriving in Cyprus or crossing the Green Line found to be in possession of documents relating to property purchases in the area administered by Turkish Cypriots.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country’s laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Cyprus’ laws, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession, use, or trafficking in illegal drugs in Cyprus are strict, and convicted offenders can expect jail sentences and heavy fines. Engaging in sexual conduct with children or using or disseminating child pornography in a foreign country is a crime, prosecutable in the United States.

Children’s Issues: For information on international adoption of children and international parental child abduction, see the Office of Children’s Issues website at http://travel.state.gov/family.

Registration/Embassy Locations: Americans living or traveling in Cyprus are encouraged to register with the U.S. Embassy through the State Department’s travel registration website, and to obtain updated information on travel and security within Cyprus. Americans without Internet access may register directly with the nearest U.S. Embassy or Consulate. By registering, American citizens make it easier for the Embassy or Consulate to contact them in case of emergency. The U.S. Embassy is located at Metochiou and Ploutarchou Streets, Engomi, Nicosia, tel. 357-22-393-939. The fax number of the Embassy’s American Citizens Services section is 357-22-776-841. The email address is [email protected] and the Embassy’s website is http://cyprus.usembassy.gov.

The U.S. Government also maintains an office in the area administered by Turkish Cypriots. The office is located at 6 Serif Arzik Street, Koskluciftlik, Nicosia, tel. 357-22-669-965, fax: 357-22-679-014. When calling within the area administered by Turkish Cypriots, please dial 2273930.

International Adoption : April 2006

The information below has been edited from a report of the State Department Bureau of Consular Affairs, Office of Overseas Citizens Services. For more information, please read the International Adoption section of this book and review current reports online at www.travel.state.gov/family.

Disclaimer: The information in this flyer relating to the legal requirements of specific foreign countries is based on public sources and current understanding. Questions involving foreign and U.S. immigration laws and legal interpretation should be addressed respectively to qualified foreign or U.S. legal counsel.

Please Note: There are no children available for adoption in Cyprus. Cypriot couples who wish to adopt usually look to other countries for adoption possibilities. No Cypriot orphans have received U.S. immigrant visas in the past five years. U.S. citizens living in Cyprus who are considering adopting from another country should consult with the appropriate authorities in all three countries (Cyprus, the U.S., and the child’s country of origin) before proceeding with an adoption case. Questions concerning the effect of a third-country adoption on U.S. visa qualifications, U.S. citizenship and related issues may be directed to the U.S. Embassy in Nicosia.

Patterns of Immigration: Please review current reports online at travel.state.gov/family.

Adoption Authority: The Department of Welfare at the Ministry of Labor & Social Insurance oversees adoptions in Cyprus.

Ministry of Labor & Social Insurance
Department of Welfare
63 Prodromou Street
1468 Nicosia
Cyprus
Tel: 357-22-406650/406609
Fax: 357-22-667907
E-mail: [email protected]
or [email protected]

Eligibility Requirements for Adoptive Parents: At least one parent must be 25 years old. If the adopting parents are relatives of the child, one of them must be at least 21 years old. Married couples must adopt jointly unless one spouse is incapable of giving consent or cannot be located. Unmarried couples may not adopt jointly. The court may approve adoptions by single adoptive parents if that person has applied alone and if the court determines that special reasons exist. “Special reasons” are not listed or defined in the Cypriot adoption code, but the prevailing view in Cyprus is that a family with two parents is in children’s best interests.

Residency Requirements: Prospective adoptive parents must be permanent residents of Cyprus or have resided in Cyprus for at least two years prior to the submission of the application.

Time Frame: Since there are no children available for adoption in Cyprus, all times are related to the requirements of the child’s country of birth. American citizens resident in Cyprus and considering adopting from another country should consult the Department of State’s flyer for that country, available at http://travel.state.gov.

Adoption Agencies and Attorneys: There are no adoption agencies in Cyprus. The Consular Section at the U.S. Embassy in Nicosia maintains a list of English-speaking lawyers who are licensed to practice in Cyprus. The U.S. Embassy cannot recommend the services of any specific attorney.

Please see the International Adoption section of this book for more details and review current reports online at travel.state.gov/family.

Adoption Fees: Attorneys in Cyprus provide legal services only when Cypriot families adopt children from abroad. Fees vary from case to case.

Adoption Procedures: Prospective adoptive parents must be approved for intercountry adoption by a local Cypriot welfare officer.

The actual adoption of the child is governed by the laws of the child’s country of origin. Once the information listed below has been submitted to the Cypriot Central Authority for the Hague Adoption Convention, the Central Authority will guarantee to the government of the child’s country of origin that the child will be permitted to enter and reside permanently in Cyprus.

  • Information on the child’s identity, adoptability, background, social environment, family and medical histories, and any special needs.
  • Proof that the necessary consents have been obtained and the reasons for the placement.
  • A determination that the placement of the child with the prospective adoptive parents is in the best interests of the child.
  • Confirmation from the Central Authority of Cyprus agreeing that the adoption may proceed.
  • The child will be authorized to enter and reside permanently in Cyprus as soon as a certificate is issued and presented to the Immigration Office of Cyprus stating that the adoption has been done in accordance with the Convention.

Please see the Cypriot Department of Welfare web site at http://www.mlsi.gov.cy/sws and search the word “adoption” for detailed information.

Documents Required: Prospective adopting parents need only to submit a written application signed by both spouses to the District Welfare officer of the district of their habitual residence. During the eligibility study they will be requested to undergo full medical tests.

Embassy and Consulate in the United States:

Embassy of the Republic of Cyprus
2211 R St., NW
Washington, D.C. 20008-4082
Tel: (202) 462-5772
E-mail: [email protected]
Web: http://www.cyprusembassy.net

Cyprus also has a Consulate in New York City, which may be reached at (212) 686-6016.

U.S. Immigration Requirements: Prospective adopting parents are strongly encouraged to consult USCIS publication M-249, The Immigration of Adopted and Prospective Adopting Children, as well as the Department of State publication, International Adoptions. Please see the International Adoption section of this book for more details and review current reports online at travel. state.gov/family.

Embassy of the United States of America, Nicosia:

Metohiou & Ploutarchou Street Engomi—2407 Nicosia—Cyprus
or
P.O.Box 24536, 1385 Nicosia—Cyprus
Telephone number:357-22-393939
Fax: 357-22-776841
email: [email protected]
http://cyprus.usembassy.gov

Additional Information: Specific questions about adoption in Cyprus may be addressed to the U.S. Embassy in Nicosia. General questions regarding intercountry adoption may be addressed to the Office of Children’s Issues, U.S. Department of State, CA/OCS/CI, SA-29, 4th Floor, 2201 C Street, NW, Washington, D.C. 20520-4818, toll-free Tel: 1-888-407-4747.

Cyprus

views updated May 14 2018

CYPRUS

Compiled from the December 2003 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:
Republic of Cyprus

PROFILE
PEOPLE AND HISTORY
GOVERNMENT
POLITICAL CONDITIONS
ECONOMY
FOREIGN RELATIONS
U.S.-CYPRUS RELATIONS
TRAVEL


PROFILE


Geography

Area: 9,251 sq. km. (3,572 sq. mi.); about the size of Connecticut.

Cities: Capital—Nicosia (pop. 197,800, 2000 fig.). Other cities—Limassol, Larnaca, Famagusta, Paphos, Kyrenia, Morphou.

Terrain: Central plain with mountain ranges to the north and south.

Climate: Mediterranean with hot, dry summers and cool, wet winters.


People

Nationality: Noun and adjective—Cypriot(s).

Population: (2001 census) 793,000.

Annual growth rate: 1%.

Ethnic groups: Greek (77%), Turkish (18%), Armenian and other (4%).

Religions: Greek Orthodox, Muslim, Maronite, Roman Catholic, Armenian Orthodox.

Languages: Greek, Turkish, English.

Education: Years compulsory—6 in elementary; 3 in high school. Attendance—almost 100%. Literacy—about 99%.

Health: Infant mortality rate—9/1,000. Life expectancy—73 yrs. males; 78 yrs. females.

Work force: (2002) Government-controlled area, 311,000: agriculture and mining—8.0%; manufacturing and utilities—12.5%; construction—8.8%; trade, hotels, and restaurants—28.42%; transport—7.0%; finance, real estate, and business—9.9%; government, education, and health—17.2%; community and other services—8.2%. Turkish Cypriot-administered area: agriculture and mining—16.5%; manufacturing and utilities—9.6%; construction—15.6%; trade, hotels, and restaurants—10.7%; transport—9.0%; finance, real estate, and business—2.7%; government, education, and health—20.0%; community and other services—15.9%.


Government

Type: Republic.

Independence: August 16, 1960.

Constitution: August 16, 1960.

Branches: Executive—President elected to 5-yr. term. Legislative—unicameral House of Representatives, members elected to 5-yr. terms. Judicial—Supreme Court; six district courts.

Administrative subdivisions: Six.

Political parties: Greek Cypriot Community—Democratic Rally (right); Democratic Party (center-right); AKEL (communist); KISOS (socialist); United Democrats (center-left). Turkish Cypriot Community—National Unity (right); Democratic party (center-right); Republican Turkish (left); Communal Liberation (center-left); National Revival (center-right); Patriotic Unity Movement (left); National Justice Party (ultra-nationalist).

Suffrage: Universal at age 18.


Economy

GDP: (2002) $9.9 billion.

Annual real growth rate: (2002) 2.2%.

Per capita GDP: (2002) Greek Cypriots—$14,499; Turkish Cypriots—about $4,610.

Agriculture and natural resources: (4.6% of GDP) Products—potatoes and other vegetables, citrus fruits, olives, grapes, wheat, carob seeds. Resources—pyrites, copper, asbestos, gypsum, lumber, salt, marble, clay, earth pigment.

Industry and construction: (19.3% of GDP) Types—mining, cement, construction, utilities, manufacturing, chemicals, non-electric machinery, textiles, footwear, food, beverages, tobacco.

Services and tourism: (76.1% of GDP) Trade, restaurants, and hotels 23.3%; transport 11.2%; finance, real estate, and business 20.6%; government, education, and health 16.3%; and community and other services 4.8%.

Trade: (2002) Exports—$926 million: citrus, grapes, wine, potatoes, clothing, footwear. Major markets—EU (especially the U.K. and Greece), Middle East, Russia. Imports—$3.8 billion: consumer goods, raw materials for industry, petroleum and lubricants, food and feed grains. Major suppliers—Greece, Italy, Germany, U.K. (U.S. trade surplus—projected for 2002: $237 million.)


PEOPLE AND HISTORY

Greek and Turkish Cypriots share many customs but maintain distinct identities based on religion, language, and close ties with their respective "motherlands." Greek is predominantly spoken in the south, Turkish in the north. English is widely used. Cyprus has a well-developed system of primary and secondary education. The majority of Cypriots earn their higher education at Greek, Turkish, British, or American universities. Both the Turkish and Greek communities have developed private colleges and state-supported universities.


Cypriot culture is among the oldest in the Mediterranean. By 3700 BC, the island was well inhabited, a crossroads between East and West. The island fell successively under Assyrian, Egyptian, Persian, Greek, and Roman domination. For 800 years, beginning in 364 AD, Cyprus was ruled by Byzantium. After brief possession by King Richard I (the Lion-Hearted) of England during the Crusades, the island came under Frankish control in the late 12th century. It was ceded to the Venetian Republic in 1489 and conquered by the Ottoman Turks in 1571. The Ottomans applied the millet system to Cyprus, which allowed religious authorities to govern their own non-Muslim minorities. This system reinforced the position of the Orthodox Church and the cohesion of the ethnic Greek population. Most of the Turks who settled on the island during the 3 centuries of Ottoman rule remained when control of Cyprus—although not sovereignty—was ceded to Great Britain in 1878. Many left for Turkey during the 1920s, however. The island was annexed formally by the United Kingdom in 1914 at the outbreak of World War I and became a crown colony in 1925.

Cyprus gained its independence from the United Kingdom and established a constitutional republic in 1960, after an anti-British campaign by the Greek Cypriot EOKA (National Organization of Cypriot Fighters), a guerrilla group that desired political union, or enosis, with Greece. Archbishop Makarios, a charismatic religious and political leader, was elected president.


Shortly after the founding of the republic, serious differences arose between the two communities about the implementation and interpretation of the constitution. The Greek Cypriots argued that the complex mechanisms introduced to protect Turkish Cypriot interests were obstacles to efficient government. In November 1963, President Makarios advanced a series of constitutional amendments designed to eliminate some of these special provisions. The Turkish Cypriots opposed such changes. The confrontation prompted widespread intercommunal fighting in December 1963, after which Turkish Cypriots ceased to participate in the government. Following the outbreak of intercommunal violence, many Turkish Cypriots (and some Greek Cypriots) living in mixed villages began to move into enclaved villages or elsewhere. UN peacekeepers were deployed on the island in 1964. Following another outbreak of intercommunal violence in 1967-68, a Turkish Cypriot provisional administration was formed.


In July 1974, the military junta in Athens sponsored a coup led by extremist Greek Cypriots against the government of President Makarios, citing his alleged pro-communist leanings and his perceived abandonment of enosis. Turkey, citing the 1960 Treaty of Guarantee, intervened militarily to protect Turkish Cypriots.


In a two-stage offensive, Turkish troops took control of 38% of the island. Almost all Greek Cypriots fled south while almost all Turkish Cypriots fled north. Since the events of 1974 UN peacekeeping forces have maintained a buffer zone between the two sides. Except for occasional demonstrations or infrequent incidents between soldiers in the buffer zone, the island was free of violent conflict from 1974 until August 1996, when violent clashes led to the death of two demonstrators and escalated tension. The situation has been quiet since 1996. Under the auspices of the United Nations efforts to reunite the island under a federal structure are ongoing.


GOVERNMENT

Since 1974, Cyprus has been divided de facto into the government-controlled two-thirds of the island and the Turkish Cypriot one-third. The Government of the Republic of Cyprus has continued as the internationally recognized authority; in practice, its authority extends only to the government-controlled areas.


The 1960 Cypriot Constitution provided for a presidential system of government with independent executive, legislative, and judicial branches, as well as a complex system of checks and balances, including a weighted powersharing ratio designed to protect the interests of the Turkish Cypriots. The executive, for example, was headed by a Greek Cypriot president and a Turkish Cypriot vice president, elected by their respective communities for 5-year terms and each possessing a right of veto over certain types of legislation and executive decisions.


Following the 1974 hostilities, the Turkish Cypriots set up their own institutions with an elected president and a prime minister responsible to the National Assembly exercising joint executive powers. In 1983, the Turkish Cypriots declared an independent Turkish Republic of Northern Cyprus ("TRNC"). Only Turkey recognizes the TRNC.


POLITICAL CONDITIONS

In February 2003, Greek Cypriots elected Tassos Papadopoulos, leader of the center right Democratic Party, as president of the Republic of Cyprus. President Papadopoulos was supported by a broad coalition of parties ranging from his own Democratic Party to communist AKEL. None of the Greek Cypriot parties has been able to elect a president by itself or dominate the 56-seat House of Representatives. The 165,000 Greek Cypriot refugees also are a potent political force, along with the independent Orthodox Church of Cyprus, which has some influence in temporal as well as ecclesiastical matters.


"TRNC President" Rauf Denktash won re-election in 2000 to a 5-year term in office. Turkish Cypriot "parliamentary " elections were held on December 14, 2003. Because the question of whether Turkish Cypriots desired a settlement on the basis of UN Secretary-General Annan's peace plan in time to join the EU on May 1, 2004 alongside Greek Cypriots was central to the elections, they elections received considerable international attention. Two pro-solution parties — Mehmet Ali Talat's Republican Turkish Party (CTP), and Mustafa Akinci's Peace and Democracy Movement (BDH), captured over 48% of the popular vote. They evenly split the 50 seats in the "TRNC assembly," 25-25, with two conservative status quo parties — "Prime Minister" Eroglu's National Unity Party (UBP), and the Democrat Party (DP), led by "DPM" Serdar Denkt ash, which together captured over 45% of the vote.

According to the "TRNC" "constitution," "President" Denktash is tasked with entrusting the duty to form a new administration to the party or group most likely to obtain a vote of confidence. This party or group must obtain a vote of confidence within 15 days. If it is unable to do so, the "President" may ask another party or group to form an administration.

The first UN-sponsored negotiations to develop institutional arrangements acceptable to both communities began in 1968; several sets of negotiations and other initiatives followed. Turkish Cypriots focus on bizonality, security guarantees, and political equality between the two communities. Greek Cypriots emphasize the rights of movement, property, settlement, and the return of territory. Turkish Cypriots favor a loose grouping of two nearly autonomous societies living side by side with limited contact. Greek Cypriots envision a more integrated structure.


The most recent round of direct talks began in January 2002 between President Clerides and Mr. Denktash under the auspices of the UN Secretary General Kofi Annan. The two leaders set as a target date the end of June 2002 for reaching an overall solution. Three rounds of talks under the auspices of the UN were held from January to April, and a fourth round began in May. Secretary General Annan visited the island May 14-15, met with each of the two leaders, and had a joint dinner with both. The Secretary General expressed concern over the slow progress at the talks and urged the two leaders to step up the process in order to resolve the core issues by the end of June.


The June "deadline" passed without significant result, however. Both leaders were invited to New York in early October 2002 for meetings with UN officials, including the Secretary General. Agreement was reached to establish two ad hoc committees to discuss technical aspects of possible solution and for the leaders to resume direct talks in November, after Mr. Denktash recuperated from a heart operation. Annan said that he hoped to see substantive progress on the core issues of the Cyprus problem by year's end.

In November 2002, Secretary General Annan released a comprehensive plan for the resolution of the Cyprus issue. It was revised in early December. In the lead up to the December 2002 EU Copenhagen Summit, intensive efforts were made to gain both sides' signatures to the document prior to a decision on the island's EU membership. Neither side agreed to sign. The EU invited the Republic of Cyprus to join on December 16.


Following the Copenhagen Summit, the UN continued dialogue with the two sides with the goal of reaching a settlement prior to Cyprus' signature of the EU accession treaty on April 16, 2003. A third version of the Annan plan was put to the parties in February 2003. That same month the Secretary General again visited the island and asked that both leaders agree to put the plan to referendum in their respective communities. Also in February 2003, Tassos Papadopoulos was elected as the fifth president of the Republic of Cyprus. On March 10, 2003, this most recent phase of talks collapsed in The Hague when Mr. Denktash told the Secretary General he would not put the Annan plan to referendum. (President Papadopoulos did agree to hold a referendum if certain conditions were met.)


On April 23, 2003, Mr. Denktash relaxed many restrictions on individuals crossing between the two communities, including abolishing all crossing fees. Since April, the relaxed crossing procedures have led to relatively unimpeded bicommunal contact for the first time since 1974. Between April 23 and August 31, 2003, there were over 1,470,000 crossings of the buffer zone in both directions. Greek Cypriots are currently required to present their passports at the checkpoints along the buffer zone, some thing many are reluctant to do. Greek Cypriots are permitted to drive their personal vehicles in the Turkish Cypriot community, provided they first obtain a policy from an insurance provider in the north. Turkish Cypriots are permitted to cross into the government-controlled area upon presentation of their Turkish Cypriot ID card. Turkish Cypriots must obtain car insurance from an insurer in the south to drive their personal vehicles in the government-controlled area. Individuals with Turkish citizenship and all third country nationals are not permitted to enter the government-controlled area from the TRNC. Third country nationals in the Republic of Cyprus are permitted to cross into the TRNC upon presentation of their passports at the checkpoints along the buffer zone.


Principal Government Officials
Last Updated: 8/13/03


President: Papadopoulos, Tassos

Min. of Agriculture, Natural Resources, & Environment: Efthymiou, Efthymios

Min. of Commerce, Industry, & Tourism: Lillikas, Yiorgos

Min. of Communications & Public Works: Kazamias, Kyriakos

Min. of Defense: Mavronicolas, Kyriakos

Min. of Education & Culture: Georgiades, Pefkios

Min. of Finance: Kyprianou, Markos

Min. of Foreign Affairs: Iacovou, Georgios

Min. of Health: Akkelidou, Costandia

Min. of Interior: Christou, Andreas

Min. of Justice & Public Order: Theodorou, Doros

Min. of Labor & Social Insurance: Keravnos, Iacovos

Under Sec. to the Pres.: Pasiardis, Christodoulos

Governor, Central Bank: Christodoulou, Christodoulos

Ambassador to the US: Kozakou-Marcoullis, Erato

Permanent Representative to the UN, New York: Mavroyiannis, Andreas



Cyprus maintains an embassy in the United States at 2211 R Street NW, Washington, DC 20008 (tel. 202-462-5772) and a Consulate General in New York City. Cyprus also maintains a trade center at 13 East 40th Street, New York, NY 10016 (tel. 212-686-6016). Turkish Cypriots maintain offices in Washington (tel. 202-887-6198) and at the Republic of Turkey's Mission to the United Nations.


ECONOMY

Cyprus has an open, free-market, serviced-based economy with some light manufacturing. The Cypriots are among the most prosperous people in the Mediterranean region. Internationally, Cyprus promotes its geographical location as a "bridge" between West and East, along with its educated English-speaking population, moderate local costs, good airline connections, and telecommunications.


In the past 20 years, the economy has shifted from agriculture to light manufacturing and services. The service sector, including tourism, contributes 75.7% to the GDP and employs 70.7% of the labor force. Industry and construction contribute 19.3% and employ 21.3% of labor. Manufactured goods account for approximately 63.6% of domestic exports. Agriculture and mining is responsible for 4.9% of GDP and 8.0% of the labor force. Potatoes and citrus are the principal export crops.


The average rate of growth in the 1990s was 4.4%, compared with 6.1% in the 1980s. In 2002, economic growth dropped to 2.2%, compared with 4.0% in 2001 and 5.1% in 2000. In 2002, unemployment accelerated to 3.4% of GDP, from 3.0% the year before. Inflation also recorded an increase to 3.0% from 2.0% in 2001. As in recent years, the services sectors, and tourism in particular, provided the main impetus for growth. Economic activity in manufacturing remained a bout the same in 2002,while agricultural activity recorded a small increase.


Trade is vital to the Cypriot economy—the island is not self-sufficient in food and has few natural resources. The trade deficit increased by 4.0% in 2002, reaching $3.1 billion.


Cyprus must import fuels, most raw materials, heavy machinery, and transportation equipment. More than 50% of its trade is with the European Union, particularly with the United Kingdom.

Growth in 2003 is expected to remain around 2.0%-2.5%, largely due to the unstable environment prevailing internationally. Unemployment is expected to edge up to 3.5% in 2003, while inflation is forecast to reach 5.0%. Despite efforts to cut government spending and enhance revenue, the fiscal deficit is forecast to reach 4.0% of GDP in 2003, compared with 3.5% in 2002, remaining above Maastricht targets.


Investment Climate

Cyprus adopted a new copyright law in 1994 and a new patent law in 1998. In 1997, the government introduced a more liberal regime for foreign investments and portfolio investment, complementing a modern banking law passed in the same year. At the same time, the government liberalized regulations for foreign portfolio investment in the Cyprus Stock Exchange.


Additionally, it has abolished investment restrictions for EU investors as of January 7, 2000. This has resulted in a healthy increase in investment over the last 2 years, particularly from the EU. The inflow of approved foreign investment in 2001 reached $74.1 million, compared with $85.7 million in 2000 and $56.6 million in 1999. Cyprus has 15 bilateral agreements for the encouragement and reciprocal protection of investments with the following countries: Armenia, Belgium, Bulgaria, Belarus, China, Egypt, Greece, Hungary, India, Israel, Lebanon, Poland, Russia, Romania, and Seychelles. Another 40 bilateral investment agreements are currently under negotiation. Cyprus does not have a bilateral investment protection agreement with the United States.


Cyprus also has entered into bilateral double tax treaties with 40 countries, including one with the United States. The main purpose of these treaties is the avoidance of double taxation of income earned in any of these countries. Under these agreements, a credit is usually provided for tax levied by the country in which the taxpayer resides for taxes levied in the other treaty country. The effect of these arrangements is normally that the taxpayer pays no more than the higher of the two rates.


International Business Center

Cyprus has good business and financial services, modern telecommunications, an educated labor force, good airline connections, a sound legal system, and a low crime rate. Cyprus' geographical location, tax incentives, and modern infrastructure also make it a natural hub for companies looking to do business with the Middle East, Eastern Europe, the former Soviet Union and North Africa. As a result, Cyprus has developed into an important regional center for many International Business Companies (IBCs) conducting their offshore affairs from the island.


In 2001 the Central Bank issued 5,858 permits to nonresidents for new IBCs (compared with 5,713 permits in 2000). About 79% of new IBC registrations came from the EU, and another 11% from North America. IBCs in Cyprus, including shipping companies, generated foreign exchange earnings of U.S. $454 million in 2001, an increase of 9.3% over 2000. Cyprus first started developing its offshore business sector in 1976. Since then, nonresidents have established nearly 50,000 IBCs, only about one-third of which are currently active. The Central Bank systematically deletes companies that are inactive or fail to submit annual accounts. Of the active IBCs, a total of 1,098 maintain fully fledged offices on the island, at least 30 of which are from the United States, including two oil companies, two computer companies, and several accounting firms.


In June/July 2002 the House passed tax reform legislation abolishing tax discrimination afforded to offshore companies by the end of 2005, in line with Cyprus' commitments to the EU and OECD. Under the new regime, corporate tax on profits for IBCs will rise from 4.25% to 10.0%—the same as for local companies—which may compromise future growth prospects for the sector.

Ties with the European Union (EU)

Cyprus is scheduled to join the European Union on May 1, 2004. Cyprus signed an association agreement with the EU in 1972, which resulted in the establishment of a Customs Union between the two sides. Cyprus applied for full EU membership in 1990 and began formal accession negotiations with the EU on March 31, 1998. Preparations for EU membership mobilized both the government and private sectors in Cyprus to undertake extensive and far-reaching structural reforms to harmonize Cypriot laws, standards, and regulations with those of the EU. This effort has transformed the economic structure of Cyprus, resulting in a significantly more open economy, comparable to the economies of EU member states.


At the Copenhagen Summit in mid-December 2002, the leaders of EU member countries approved Cyprus's membership. Cyprus continues its preparations for accession on May 1, 2004, the planned accession date. The EU Commission issued a comprehensive monitoring report on November 5, 2003. Some of the challenges still around the corner for Cyprus include completing liberalization of utilities, including telecommunications and power generation, and redirecting the economy away from its heavy reliance on the tourism sector.


Export Opportunities

On January 1, 1996, Cyprus began full implementation of the Uruguay Round agreement. Under this agreement, the Government of Cyprus eliminated quantitative restrictions and other nontariff barriers to trade, allowing improved access to the Cypriot market. Cyprus is a full member of the World Trade Organization.


Additionally, completion of the first phase of the EU-Cyprus Customs Union agreement on January 1, 1998, liberalized the island's trade regime further, allowing most goods to be traded between Cyprus and the EU with a zero tariff rate. Under the same agreement, Cyprus also has adopted the EU's Common Customs Tariff (CCT) for most products from third (non-EU) countries.


Significantly, the preference now given to EU products under the CCT is less than the preference Cyprus gave to EU countries under its previous tariff regime. These developments have helped make U.S. exports to Cyprus more competitive in recent years.


Best prospects for U.S. products and services in Cyprus include government and semi-government tenders in telecommunications equipment, air traffic control systems, medical equipment for a major new hospital, computer services, and construction of airports and marinas. Local municipalities are working on long-term plans for sewerage projects and for new highways. By far the most recent visible U.S. commercial success story in Cyprus was the decision in 2001 of Cyprus Airways to lease four new Boeing 737-800 aircraft, valued at more than $200 million, for its subsidiary Eurocypria. The island's private sector also has a growing appetite for U.S.-made office machines, computer software, and data processing equipment. Recent changes in the tariff regime have opened up many other opportunities for exporters to Cyprus.


Trade Between Cyprus and the United States

The U.S. Embassy in Nicosia sponsors a popular pavilion for American products at the annual Cyprus International State Fair, and organizes other events to promote U.S. products throughout the year. Total U.S. exports to Cyprus are expected to decline to around $250 million in 2002, from $368.7 million in 2001. Principal U.S. exports to Cyprus include tobacco and cigarettes, office machines and data processing equipment, electrical equipment, passenger cars and wheat. Principal U.S. imports from Cyprus consist of portland cement, clothing, hunting rifle cartridges, canvas, dairy products, and fresh fish.

Turkish Cypriot Economy

The economic disparity between the two communities is pronounced. Although the Turkish Cypriot area operates on a free-market basis, the lack of private and governmental investment, shortages of skilled labor, plus inflation and the devaluation of the Turkish lira—which the Turkish Cypriots widely use as their currency—continue to plague the economy.


Since the April 23, 2003 relaxation of restrictions on travel across the buffer zone there have been more than 1.5 million crossings in both directions. Greek Cypriot spending in the north provided a short-term boost to the Turkish Cypriot economy. This initial influx has tapered off, however, as both the number of trips per month and the average spending per trip by Greek Cypriots has declined. Travel by Turkish Cypriots to the south continues, and Turkish Cypriot business are increasingly concerned that they are losing sales to purchases in the south by Turkish Cypriots. Despite initial expectations, the relaxation of travel restrictions has not yet resulted in measurable commercial trade between the two communities, largely due to barriers to trade resulting from the continued division of the island.


Turkey is, by far, the main trading partner of the TRNC, supplying 64% of imports and absorbing 57% of exports. In a landmark case, the European Court of Justice (ECJ) ruled on July 5, 1994 against the British practice of importing produce from northern Cyprus based on certificates of origin and phytosanitary certificates granted by TRNC authorities. The ECJ decision stated that only goods bearing certificates of origin from the Government of Cyprus could be recognized for trade by EU member countries.


That decision resulted in a considerable decrease of Turkish Cypriot exports to the EU—from $36.4 million (or 66.7% of total Turkish Cypriot exports) in 1993 to $21.8 million in 2001 (or 35% of total exports) in 2001. Even so, the EU continues to be the TRNC's second-largest trading partner, with a 23% share of total imports and 35% share of total exports. Additionally, the economic crisis in Turkey has had a negative impact on TRNC foreign trade in the last 2 years. Total imports increased to $293 million in 2002 (from $272 million in 2001), while total exports increased to $48 million (from $35 million in 2001).

Assistance from Turkey is the mainstay of the Turkish Cypriot economy. Under the latest economic protocol (signed January 2001), Turkey undertakes to provide Turkish Cypriots loans and financial assistance totaling $350 million for the purpose of implementing projects included in the protocol related to public finance, tourism, banking, and privatization. Turkey also has agreed to provide a supplementary amount of $160 million to entrepreneurs in the form of low-interest loans with the purpose of supporting export-oriented industrial production and tourism. Fluctuation in the Turkish lira continues to exert downward pressure on the Turkish Cypriot standard of living.


Turkish Cypriot authorities have instituted a free market in foreign exchange and authorize residents to hold foreign-currency denominated bank accounts. This encourages transfers from Turkish Cypriots living abroad.


FOREIGN RELATIONS

The Government of Cyprus historically followed a nonaligned foreign policy, but it increasingly aligns itself with European positions within the EU's Common Foreign and Security Policy as accession approaches. Cyprus has long identified with the West in its cultural affinities and trade patterns and maintains close relations with Greece. Since 1974, the foreign policy of the Government of Cyprus has sought the withdrawal of Turkish forces and the most favorable constitutional and territorial settlement possible. This campaign has been pursued primarily through international forums such as the United Nations. (See Political Conditions.) Turkey does not recognize the Government of Cyprus.


The Government of Cyprus enjoys close relations with Greece. Cyprus is expanding relations with Russia, Israel, Egypt, and Syria, from which it purchases most of its oil. Cyprus is a member of the United Nations and most of its agencies as well as the World Trade Organization, the World Bank, International Monetary Fund, Council of Europe, and the Commonwealth. In addition, the country has signed the Multilateral Investment Guarantee Agency Agreement (MIGA).


U.S.-CYPRUS RELATIONS

The United States regards the status quo on Cyprus as unacceptable. Successive administrations have viewed UN-led intercommunal negotiations as the best means to achieve a fair and permanent settlement. The United States will continue actively to support and aid the UN Secretary General's Good Offices Mission. The United States is working closely with Cyprus in the war on terrorism. A Mutual Legal Assistance Treaty, which has been in force since September 18, 2002, facilitates bilateral cooperation.


The United States has channeled $305 million in assistance to the two communities through the UN High Commissioner for Refugees and the Cyprus Red Cross since the mid-1970s. The United States now provides $15 million annually to promote bicommunal projects and finance U.S. scholarships for Greek and Turkish Cypriots.


Principal U.S. Embassy Officials

Nicosia (E), Metochiou and Ploutarchou Streets, 2407 Engomi, Nicosia • P.O. Box 24536, 1385 Nicosia Tel [357] (22) 776400, after-hours Tel 22-776934, Fax 22-780944; CON Fax 22-776841; PAO Fax 22-773688; E-mail: [email protected]

AMB:Michael Klosson
AMB OMS:Margaret A. Conlon
DCM:R. Edwin Nolan
POL:Matthew Palmer
ECO/COM:David W. Renz
CON:Mark A. Leoni
MGT:Jeffrey R. Cellars
RSO:Schurman J. Christian
PAO:Craig L. Kuehl
IRM:Robert P. McCumber
DAO:COL Steve Boukedes
FAA:[Vacant]
DEA:B.J. Lawrence III
IRS:Fred Pablo (res. Rome)


Last Modified: Wednesday, September 24, 2003


TRAVEL


Consular Information Sheet
January 9, 2004


Country Description: Cyprus is a developed Mediterranean island nation divided "de facto" into two areas. The government of the Republic of Cyprus is the internationally recognized authority on the island but, in practice, its control extends only to the Greek Cypriot southern part of the island. The northern area operates under an autonomous Turkish-Cypriot administration. In 1983, this administration declared itself the "Turkish Republic of Northern Cyprus," which is only recognized by Turkey. Facilities for tourism in the Republic of Cyprus are highly developed. Most facilities in north Cyprus, while adequate, tend to be smaller and less modern. English is widely spoken in the government-controlled areas, less so in the north.


Entry Requirements: A passport is required for travel to Cyprus. Tourist and business visas are issued at the port of entry for a stay of up to three months. For further information on entry requirements for Cyprus, travelers can contact the Embassy of the Republic of Cyprus at 2211 R Street NW, Washington, D.C. 20008-4082, tel. (202) 462-5772, or the Cypriot Consulate in New York at 13 East 40th St., 5th Floor, New York, N.Y. 10016, tel. (212) 686-6016/17. The Embassy's Internet address is www.cyprusembassy.net.

Since 1974, the Cypriot government has designated Larnaca and Paphos international airports, and the seaports of Limassol, Larnaca, and Paphos, as the only legal points of entry into and exit from Cyprus. These ports are all in the government-controlled southern part of the island. The Cypriot government does not authorize entry or exit via any other air or seaport. If visitors choose to arrive at non-designated airports and seaports in the north, they should not expect to cross the United Nations-patrolled "green line" to the government-controlled areas in the south. The government of Cyprus does not permit such travel, even for transit purposes. Visitors arriving through designated ports of entry in the south are normally able to cross into the north, though on occasion difficulties are encountered at both the Greek-Cypriot and Turkish-Cypriot checkpoints. Policy and procedures regarding such travel are subject to change. Information on this may be obtained at the U.N. "Buffer Zone" Ledra Palace checkpoint in Nicosia.


In an effort to prevent international child abduction, many governments have initiated procedures at entry/exit points. These often include requiring documentary evidence of relationship and permission for the child's travel from the parent(s) or legal guardian if not present. Having such documentation on hand, even if not required, may facilitate entry/departure. Although Cyprus is party to the Hague Convention on the Civil Aspects of International Child Abduction, the Convention cannot be used effectively to recover a child abducted to Northern Turkish-controlled Cyprus.


Dual Nationality: In addition to being subject to all Cypriot laws affecting U.S. citizens, individuals who also possess the nationality of Cyprus may also be subject to other laws that impose special obligations on citizens of Cyprus. U.S. citizens whom the Government of Cyprus considers to be Cypriot citizens may be subject to compulsory military service and other aspects of Cypriot law while in Cyprus. Those who may be affected should inquire at the Cypriot Embassy regarding their status. U.S. citizens whom the Turkish-Cypriot authorities consider to be "citizens" may be subject to compulsory military service in north Cyprus. The U.S. Embassy is unable to exempt dual nationals from such service.


For additional information, please see the Consular Affairs home page on the Internet at www.travel.state.gov for our Dual Nationality flyer.


Safety and Security: While civil disorder is uncommon in Cyprus, demonstrations sometimes occur, and there have been occasional violent incidents along the "green line" dividing the two sides of the island. In previous years, terrorist groups from the Middle East have used Cyprus as a base for carrying out acts of terrorism against third country targets.


Taking photographs of anything that could be perceived as being of military or security interest (especially in north Cyprus) may cause problems with authorities.


Do not, under any circumstances, attempt to cross the U.N. buffer zone without permission. This area is heavily mined and militarized.


For the latest security information, Americans traveling abroad should regularly monitor the Department's Internet website at www.travel.state.gov where the current Worldwide Caution Public Announcement, Travel Warnings, and Public Announcements can be found.


The Overseas Citizens Services call center at 1-888-407-4747 can answer general inquiries on safety and security overseas. This number is available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays). Callers who are unable to use toll-free numbers, such as those calling from overseas, may obtain information and assistance during these hours by calling 1-317-472-2328.


Crime: Cyprus has very low rates of both violent and street crime. Visitors should follow normal precautions taken in U.S. cities.


Americans frequenting Cypriot bars should be wary of greatly inflated bar tab s, especially in so-called "cabarets."


The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting the crime to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, help you to find appropriate medical care or contact family members or friends and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.


U.S. citizens may refer to the Department of State's pamphlet, A Safe Trip Abroad, for ways to promote a trouble-free journey. The pamphlet is available by mail from the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402, via the Internet at http://www.gpoaccess.gov, or via the Bureau of Consular Affairs home page at travel.state.gov.


Medical Facilities: Medical care is available at both government hospitals and private clinics. Emergency Rooms offer adequate care to stabilize patients, most of whom are then transferred to private hospitals. Many of the private-sector doctors have been trained in the United Kingdom or the United States. While fees are generally lower than those in the United States, medical supplies are often more expensive. Additionally, most ambulances are staffed by emergency room doctors and nurses - not by paramedics.

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and if it will cover emergency expenses such as a medical evacuation. U.S. medical insurance plans seldom cover health costs incurred outside the United States unless supplemental coverage is purchased. Further, U.S. Medicare and Medicaid programs do not provide payment for medical services outside the United States. However, many travel agents and private companies offer insurance plans that will cover health care expenses incurred overseas including emergency services such as medical evacuations.


When making a decision regarding health insurance, Americans should consider that many foreign doctors and hospitals require payment in cash prior to providing service and that a medical evacuation to the U.S. may cost well in excess of $50,000. Uninsured travelers who require medical care overseas often face extreme difficulties. When consulting with your insurer prior to your trip, ascertain whether payment will be made to the overseas healthcare provider or if you will be reimbursed later for expenses you incur. Some insurance policies also include coverage for psychiatric treatment and for disposition of remains in the event of death.


Useful information on medical emergencies abroad, including overseas insurance programs, is provided in the Department of State's Bureau of Consular Affairs brochure, Medical Information for Americans Traveling Abroad, available via the Bureau of Consular Affairs home page.


Other Health Information: The World Health Organization considers Cyprus to be one of the healthiest areas of the Mediterranean. Water supplies are potable, and the refuse collection/sewage disposal system is adequate. Communicable diseases such as typhoid are rare. Respiratory ailments and allergies are sometimes exacerbated by the dry and dusty climate.


Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention's hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747); fax 1-888-CDC-FAXX (1-888-232-3299) or via the CDC's Internet site at http://www.cdc.gov/travel. For information about outbreaks of infectious diseases abroad consult the World Health Organization's website at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith.


Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Cyprus is provided for general reference only, and it may not be totally accurate in a particular location or circumstance.


Safety of Public Transportation: Good
Urban Road Condition/Maintenance: Good
Rural Road Condition/Maintenance: Fair
Availability of Roadside Assistance: Fair


There are few public buses and no rail lines. Taxis are widely available, but they often do not have operating seat belts. Traffic moves on the left side of the road, British style, and modern motorways link the major cities. Secondary roads, especially in mountainous areas, tend to be narrow and winding, and they are not as well maintained as major highways. Traffic laws, signs and speed limits are consistent with the standards used throughout Europe. Traffic circles (roundabouts) are often utilized at major intersections. The use of seat belts (in front seats) and child car seats is compulsory, though widely ignored. Motorcyclists are required to wear helmets, and the use of cellular phones while driving is prohibited. Motorway speed limits are set at 100 kph (62 mph). Liability insurance is mandatory.

Enforcement of traffic laws and regulations is inconsistent, and the government is looking at ways to improve road safety. In recent years Cyprus has ranked among the top three countries in Europe, on a per capita basis, in regard to traffic fatalities. Speeding, tailgating, overtaking, and the running of caution lights are commonplace and major causes of accidents. Emergency assistance is available by calling 199.


The information above applies only to those areas under the control of the Republic of Cyprus. Road safety conditions in north Cyprus (the Turkish-Cypriot administered areas) are similar to conditions in the south, except that the road network is less developed. Insurance purchased in the Republic of Cyprus is not valid in the Turkish-Cypriot administered areas, but it may be purchased near the U.N. "Buffer Zone" checkpoint. Emergency assistance is available by calling 155.


For additional general information about road safety, including links to foreign government sites, see the Department of State, Bureau of Consular Affairs home page at http://travel.state.gov/road_safety.html. For specific information concerning Cyprus driving permits, vehicle inspection, road tax and mandatory insurance, contact the Cyprus national tourist organization offices in New York via the Internet at www.cyprustourism.org.


Aviation Safety Oversight: As there is no direct commercial air service by local carriers at present, or economic authority to operate such service, between the United States and Cyprus, the U.S. Federal Aviation Administration (FAA) has not assessed Cyprus' Civil Aviation Authority for compliance with international aviation safety standards. For further information, travelers may contact the Department of Transportation within the United States at 1-800-322-7873 or visit the FAA's Internet website at http://www.faa.gov/avr/iasa/index.cfm.

The U.S. Department of Defense (DOD) separately assesses some foreign air carriers for suitability as official providers of air services. For information regarding the DOD policy on specific carriers, travelers may contact the DOD at (618) 229-4801.


Customs Regulations: Cyprus customs authorities may enforce strict regulations concerning temporary importation into or export from Cyprus of items such as firearms. There are no restrictions on religious materials and medication for personal use. It is advisable to contact the Embassy of Cyprus in Washington, D.C. for specific information regarding customs requirements. Cyprus restricts the export of Byzantine period ecclesiastical material and all archeological material. The U.S. Customs Service may impose corresponding import restrictions in accordance with the Convention on Cultural Property Implementation Act. Contact the Customs Service at (202) 927-2336 or on the Internet at http://exchanges.state.gov/culprop for further information.


Cyprus customs authorities encourage the use of an ATA (Admission Temporaire/Temporary Admission) Carnet for the temporary admission of professional equipment, commercial samples, and/or goods for exhibitions and fair purposes. ATA Carnet Headquarters, located at the U.S. Council for International Business, 1212 Avenue of the Americas, New York, NY 10036, issues and guarantees the ATA Carnet in the United States. For additional information, please call (212) 354-4480, send an e-mail to [email protected], or visit http://www.uscib.org for details.


Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country's laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Cyprus' laws, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession, use, or trafficking in illegal drugs in Cyprus are strict, and convicted offenders can expect jail sentences and heavy fines. The legal system in Cyprus is based on English common law and is similar to that of the United States in many respects.


Special Circumstances: There are restrictions on the photographing of military installations in both south and north Cyprus. English-language signs are generally posted in sensitive areas advising of the restrictions. However, visitors should refrain from photographing military installations and/or personnel regardless of whether warning signs are posted, and if confronted by local authorities, they should comply with all reasonable requests regarding the use of photographic equipment.

Children's Issues: For information on international adoption of children and international parental child abduction, please refer to our Internet site at http://travel.state.gov/children's_issues.html or telephone the Overseas Citizens Services call center at 1-888-407-4747. The OCS call center can answer general inquiries regarding international adoptions and abductions and will forward calls to the appropriate country officer in the Bureau of Consular Affairs. This number is available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays). Callers who are unable to use toll-free numbers, such as those calling from overseas, may obtain information and assistance during these hours by calling 1-317-472-2328.

Registration/Embassy and Consulate Locations: Americans living in or visiting Cyprus are encouraged to register at the Consular Section of the U.S. Embassy in Cyprus and obtain updated information on travel and security within Cyprus. The U.S. Embassy is located at Metochiou and Ploutarchou Streets, Engomi, Nicosia. The telephone number within Cyprus is (22) 776-400; when calling from the U.S., dial 011 – (357) – (22) 776-400. The Consular Section's fax number within Cyprus is (22) 776 841. The fax number from the U.S. is 011 – (357) – (22) 776 841. The Embassy's Internet address is http://www.americanembassy.org.cy.


The U.S. Government also maintains an office in north Cyprus at 6 Serif Arzik Street, Koskluciftlik, Nicosia. When calling from the U.S., dial 011 (357) (22) 669-965 or fax to 011 (357) (22) 679 014. When calling within north Cyprus dial (22) 73 930 or fax to (22) 78 514.

Cyprus

views updated Jun 11 2018

CYPRUS

Compiled from the December 2004 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:
Republic of Cyprus


PROFILE

Geography

Area: 9,251 sq. km. (3,572 sq. mi.); about the size of Connecticut.

Cities: Capital—Nicosia (pop. 197,800, 2000 fig.). Other cities—Limassol, Larnaca, Famagusta, Paphos, Kyrenia, Morphou.

Terrain: Central plain with mountain ranges to the north and south.

Climate: Mediterranean with hot, dry summers and cool, wet winters.

People

Nationality: Noun and adjective—Cypriot(s).

Population: (2003 census) 818,200.

Annual growth rate: 2.1%.

Ethnic groups: Greek (77%), Turkish (18%), Armenian and other (4%).

Religions: Greek Orthodox, Muslim, Maronite, Roman Catholic, Armenian Orthodox.

Languages: Greek, Turkish, English.

Education: Years compulsory—6 in elementary; 3 in high school. Attendance—almost 100%. Literacy—about 99%.

Health: Infant mortality rate—9/1,000. Life expectancy—73 yrs. males; 78 yrs. females.

Work force: (2003) Government-controlled area, 317,000: agriculture and mining—8.0%; manufacturing and utilities—11.6%; construction—9.4%; trade, hotels, and restaurants—28.5%; transport—7.0%; finance, real estate, and business—10.0%; government, education, and health—17.2%; community and other services—8.2%. Turkish Cypriot-administered area, 95,000: agriculture—14.5%; manufacturing and utilities—9.3%; construction—19.7%; trade, and tourism—11.2%; transport and communication—8.7%; finance—2.5%; business and personal services—15.3%; public services—18.8%

Government

Type: Republic.

Independence: August 16, 1960.

Constitution: August 16, 1960.

Branches: Executive—President elected to 5-yr. term. Legislative—unicameral House of Representatives, members elected to 5-yr. terms. Judicial—Supreme Court; six district courts.

Administrative subdivisions: Six.

Political parties: Greek Cypriot Community—Democratic Rally (right); Democratic Party (center-right); AKEL (communist); KISOS (socialist); United Democrats (center-left). Turkish Cypriot Community—National Unity (right); Democratic party (center-right); Republican Turkish (left); Communal Liberation (center-left); National Revival (center-right); Patriotic Unity Movement (left); National Justice Party (ultranationalist).

Suffrage: Universal at age 18.

Economy*

GDP: (2003) $12.7 billion.

Annual real growth rate: (2003) 2.0%.

Per capita GDP income: (2003) Greek Cypriots—$17,644; Turkish Cypriots—about $5,949.

Agriculture and natural resources: (4.6% of GDP) Products—potatoes and other vegetables, citrus fruits, olives, grapes, wheat, carob seeds. Resources—pyrites, copper, asbestos, gypsum, lumber, salt, marble, clay, earth pigment.

Industry and construction: (19.7% of GDP) Types—mining, cement, construction, utilities, manufacturing, chemicals, non-electric machinery, textiles, footwear, food, beverages, tobacco.

Services and tourism: (75.7% of GDP) Trade, restaurants, and hotels 20.6%; transport 9.7%; finance, real estate, and business 21.4%; government, education, and health 15.4%; and community and other services 8.6%.

Trade: (2003) Exports—$923 million: citrus, grapes, wine, potatoes, clothing, footwear. Major markets—EU (especially the U.K. and Greece), Middle East, Russia. Imports—$4.0 billion: consumer goods, raw materials for industry, petroleum and lubricants, food and feed grains. Major suppliers—Greece, Italy, Germany, U.K. (U.S. trade surplus—projected for 2003: $168 million.)

* Section refers to the area controlled by the Republic of Cyprus unless otherwise specified.


PEOPLE AND HISTORY

Greek and Turkish Cypriots share many customs but maintain distinct identities based on religion, language, and close ties with their respective "motherlands." Greek is predominantly spoken in the south, Turkish in the north. English is widely used. Cyprus has a well-developed system of primary and secondary education. The majority of Cypriots earn their higher education at Greek, Turkish, British, and other European or American universities. Both the Turkish and Greek communities have developed private colleges and state-supported universities.

Cypriot culture is among the oldest in the Mediterranean. By 3700 BC, the island was well inhabited, a crossroads between East and West. The island fell successively under Assyrian, Egyptian, Persian, Greek, and Roman domination. For 800 years, beginning in 364 AD, Cyprus was ruled by Byzantium. After brief possession by King Richard I (the Lion-Hearted) of England during the Crusades, the island came under Frankish control in the late 12th century. It was ceded to the Venetian Republic in 1489 and conquered by the Ottoman Turks in 1571. The Ottomans applied the millet system to Cyprus, which allowed religious authorities to govern their own non-Muslim minorities. This system reinforced the position of the Orthodox Church and the cohesion of the ethnic Greek population. Most of the Turks who settled on the island during the 3 centuries of Ottoman rule remained when control of Cyprus—although not sovereignty—was ceded to Great Britain in 1878. Many left for Turkey during the 1920s, however. The island was annexed formally by the United Kingdom in 1914 at the outbreak of World War I and became a crown colony in 1925.

Cyprus gained its independence from the United Kingdom and established a constitutional republic in 1960, after an anti-British campaign by the Greek Cypriot EOKA (National Organization of Cypriot Fighters), a guerrilla group that desired political union, or enosis, with Greece. Archbishop Makarios, a charismatic religious and political leader, was elected president.

Shortly after the founding of the republic, serious differences arose between the two communities about the implementation and interpretation of the constitution. The Greek Cypriots argued that the complex mechanisms introduced to protect Turkish Cypriot interests were obstacles to efficient government. In November 1963, President Makarios advanced a series of constitutional amendments designed to eliminate some of these special provisions. The Turkish Cypriots opposed such changes. The confrontation prompted widespread intercommunal fighting in December 1963, after which Turkish Cypriots ceased to participate in the government. Following the out-break of intercommunal violence, many Turkish Cypriots (and some Greek Cypriots) living in mixed villages began to move into enclaved villages or elsewhere. UN peacekeepers were deployed on the island in 1964. Following another outbreak of intercommunal violence in 1967-68, a Turkish Cypriot provisional administration was formed.

In July 1974, the military junta in Athens sponsored a coup led by extremist Greek Cypriots against the government of President Makarios, citing his alleged pro-communist leanings and his perceived abandonment of enosis. Turkey, citing the 1960 Treaty of Guarantee, intervened militarily to protect Turkish Cypriots.

In a two-stage offensive, Turkish troops took control of 38% of the island. Almost all Greek Cypriots fled south while almost all Turkish Cypriots fled north. Since the events of 1974, UN peacekeeping forces have maintained a buffer zone between the two sides. Except for occasional demonstrations or infrequent incidents between soldiers in the buffer zone, the island was free of violent conflict from 1974 until August 1996, when violent clashes led to the death of two demonstrators and escalated tension. The situation has been quiet since 1996.


GOVERNMENT

Since 1974, Cyprus has been divided de facto into the government-controlled two-thirds of the island and the Turkish Cypriot one-third. The Government of the Republic of Cyprus has continued as the internationally recognized authority; in practice, its authority extends only to the government-controlled areas.

The 1960 Cypriot Constitution provided for a presidential system of government with independent executive, legislative, and judicial branches, as well as a complex system of checks and balances, including a weighted power-sharing ratio designed to protect the interests of the Turkish Cypriots. The executive, for example, was headed by a Greek Cypriot president and a Turkish Cypriot vice president, elected by their respective communities for 5-year terms, and each possessing a right of veto over certain types of legislation and executive decisions.

Following the 1974 hostilities, the Turkish Cypriots in north Cyprus set up their own institutions with an elected president and a prime minister responsible to the National Assembly exercising joint executive powers. In 1983, the Turkish Cypriots declared an independent Turkish Republic of Northern Cyprus ("TRNC"). Only Turkey recognizes the "TRNC".


POLITICAL CONDITIONS

In February 2003, Greek Cypriots elected Tassos Papadopoulos, leader of the center right Democratic Party, as president of the Republic of Cyprus. President Papadopoulos was supported by a broad coalition of parties ranging from his own Democratic Party to communist AKEL. None of the Greek Cypriot parties has been able to elect a president by itself or dominate the 56-seat House of Representatives. The 165,000 Greek Cypriot refugees from north Cyprus are a potent political force, along with the independent Orthodox Church of Cyprus, which has some influence in temporal as well as ecclesiastical matters.

"TRNC" "President" Rauf Denktash won re-election in 2000 to a 5-year term of office. Turkish Cypriot "parliamentary" elections were held on December 14, 2003. Because the question of whether Turkish Cypriots desired a settlement on the basis of UN Secretary-General Annan's peace plan in time to join the EU on May 1, 2004 alongside Greek Cypriots was central to the elections, the elections received considerable international attention. Two pro-solution parties—Mehmet Ali Talat's Republican Turkish Party (CTP), and Mustafa Akinci's Peace and Democracy Movement (BDH), captured over 48% of the popular vote. They evenly split the 50 seats in the "TRNC" "assembly", 25-25, with two conservative status quo parties—"Prime Minister" Eroglu's National Unity Party (UBP), and the Democrat Party (DP), led by "Deputy Prime Minister" Serdar Denktash—which together captured over 45% of the vote. After several weeks of negotiations, CTP leader Talat formed a coalition "government" with Serdar Denktash's DP. Talat was named "Prime Minister" while Serdar Denktash became both "Deputy Prime Minister" and "Foreign Minister."

In the spring of 2004, two "MPs" left Talat's coalition, breaking the coalition government's parliamentary majority. Unable to form a majority government, Talat submitted his resignation on October 20, though he will remain as "caretaker" "PM" until after elections, which are scheduled to take place on February 20, 2005.

The first UN-sponsored negotiations to develop institutional arrangements acceptable to both communities began in 1968; several sets of negotiations and other initiatives followed. Turkish Cypriots focus on bizonality, security guarantees, and political equality between the two communities. Greek Cypriots emphasize the rights of movement, property, settlement, and the return of territory. Turkish Cypriots favor a loose grouping of two nearly autonomous societies living side by side with limited contact. Greek Cypriots envision a more integrated structure.

Direct talks began in January 2002 between the Greek and Turkish Cypriot community leaders under the auspices of the UN Secretary General, Mr. Kofi Annan.

In November 2002, Secretary General Annan released a comprehensive plan for the resolution of the Cyprus issue. This plan was revised in early December. In the lead up to the December 2002 EU Copenhagen Summit, intensive efforts were made to gain both sides' signatures to the document prior to a decision on the island's EU membership. Neither side agreed to sign. The EU invited the Republic of Cyprus to join on December 16.

Following the Copenhagen Summit, the UN continued dialogue with the two sides with the goal of reaching a settlement prior to Cyprus's signature of the EU accession treaty on April 16, 2003. A third version of the Annan plan was put to the parties in February 2003. That same month the Secretary General again visited the island and asked that both leaders agree to put the plan to referendum in their respective communities. Also in February 2003, Tassos Papadopoulos was elected as the fifth president of the Republic of Cyprus. On March 10, 2003, this most recent phase of talks collapsed in The Hague when Mr. Denktash told the Secretary General he would not put the Annan plan to referendum.

On April 23, 2003, Mr. Denktash relaxed many restrictions on individuals crossing between the two communities, including abolishing all crossing fees. Since then, the relaxed crossing procedures have led to relatively unimpeded bicommunal contact for the first time since 1974. Between April 2003 and April 2004, there were over 3,000,000 buffer zone crossings in both directions. Greek Cypriots are currently required to present their passports at the checkpoints along the buffer zone, something many are reluctant to do. Greek Cypriots are permitted to drive their personal vehicles in the Turkish Cypriot community, provided they first obtain a policy from an insurance provider in the north. Turkish Cypriots are permitted to cross into the government-controlled area upon presentation of a Turkish Cypriot ID card. Turkish Cypriots must also obtain car insurance from an insurer in the south to drive their personal vehicles in the government-controlled area. Individuals with Turkish citizenship and all third country nationals are not permitted to enter the government-controlled area from north Cyprus. Third country nationals in the Republic of Cyprus are permitted to cross into north Cyprus upon presentation of their passports at the checkpoints along the buffer zone.

In February 2004, President Papadopoulos and Mr. Denktash accepted the Secretary General's invitation to resume negotiations on a settlement on the basis of the Annan plan. After a meeting with the Secretary General in New York, talks began in Cyprus on February 19. The two community leaders met nearly every day for negotiations facilitated by the Secretary General's Special Representative for Cyprus, Mr. Alvaro De Soto. In addition, numerous technical committees and subcommittees met in parallel in an effort to resolve outstanding issues and complete the legislative framework. Beginning on March 24, the talks moved to Burgen-stock, Switzerland with the participation of the Prime Ministers and Foreign Ministers of Greece and Turkey. Negotiations concluded on March 31, and the Secretary General presented the two sides with a final settlement package.

Most Turkish Cypriot and Turkish leaders supported the agreement, but most Greek Cypriot leaders, including President Papadopoulos, urged the Greek Cypriot public to reject the settlement. On April 24, after a three-week campaign marked by accusations that the government of Cyprus was unfairly manipulating public opinion, Cypriots on both sides of the Green Line went to the polls in parallel and simultaneous referenda. Turkish Cypriots voted by a large majority (65% "yes" to 35% "no") to accept the solution. Greek Cypriots, however, voted by an even larger margin (76% "no" to 24% "yes") to reject it. Cyprus entered the European Union on May 1, 2004 as a divided island. The Secretary General's Good Offices Mission is suspended.

Principal Government Officials

Last Updated: 2/1/05

President: Tassos PAPADOPOULOS
Min. of Agriculture, Natural Resources, & Environment: Efthymios EFTHYMIOU
Min. of Commerce, Industry, & Tourism: Yiorgos LILLIKAS
Min. of Communications & Public Works: Kyriakos KAZAMIAS
Min. of Defense: Kyriakos MAVRONICOLAS
Min. of Education & Culture: Pefkios GEORGIADES
Min. of Finance: Markos KYPRIANOU
Min. of Foreign Affairs: Georgios IACOVOU
Min. of Health: Andreas GAVRIELIDES
Min. of Interior: Andreas CHRISTOU
Min. of Justice & Public Order: Doros THEODOROU
Min. of Labor & Social Insurance: Iacovos KERAVNOS
Under Sec. to the Pres.: Christodoulos PASIARDIS
Governor, Central Bank: Christodoulos CHRISTODOULOU
Ambassador to the US: Euripides EVRIVIADES
Permanent Representative to the UN, New York: Andreas MAVROYIANNIS

Cyprus maintains an embassy in the United States at 2211 R Street NW, Washington, DC 20008 (tel. 202-462-5772) and a Consulate General in New York City. Cyprus also maintains a trade center at 13 East 40th Street, New York, NY 10016 (tel. 212-686-6016). Turkish Cypriots maintain offices in Washington (tel. 202-887-6198) and at the Republic of Turkey's Mission to the United Nations.


ECONOMY*

Cyprus has an open, free-market, serviced-based economy with some light manufacturing. Cyprus's accession as a full member to the European Union as of May 1, 2004, has been an important milestone in the course of its economic development. The Cypriots are among the most prosperous people in the Mediterranean region. Internationally, Cyprus promotes its geographical location as a "bridge" between West and East, along with its educated English-speaking population, moderate local costs, good airline connections, and telecommunications.

In the past 20 years, the economy has shifted from agriculture to light manufacturing and services. The service sector, including tourism, contributes 75.7% to the GDP and employs 70.7% of the labor force. Industry and construction contribute 19.7% and employ 21.3% of labor. Manufactured goods account for approximately 63.6% of domestic exports. Agriculture and mining is responsible for 4.6% of GDP and 8.0% of the labor force. Potatoes and citrus are the principal export crops.

The average rate of growth in the 1990s was 4.4%, compared with 6.1% in the 1980s. In the last two years (2002 and 2003), annual economic growth dropped to 2.0%, compared with 4.0% in 2001 and 5.1% in 2000. In 2003, unemployment accelerated to 3.5% of GDP, from 3.2% the year before. Inflation also recorded an increase to 4.1% from 2.8% in 2002. As in recent years, the services sectors, and tourism in particular, provided the main impetus for growth. Economic activity in manufacturing and agriculture remained about the same in 2003.

Trade is vital to the Cypriot economy: the island is not self-sufficient in food, and has few natural resources. The trade deficit decreased by 9.2% in 2003 (on account of a considerable reduction in imports), reaching $3.0 billion.

Cyprus must import fuels, most raw materials, heavy machinery, and transportation equipment. More than 50% of its trade is with the European Union, particularly with the United Kingdom.

Growth in 2004 is expected to accelerate to 3.5%, due to a revival in tourism. Unemployment is expected to remain around 3.6% in 2004, while inflation is forecast to drop considerably to 2.5%. The fiscal deficit is forecast to decline to 4.4% of GDP in 2004, compared with 5.4% in 2003, remaining above Maastricht targets.

Investment Climate

As of October 1, 2004, the Government of Cyprus (GOC) has lifted restrictions on foreign direct investment from non-EU countries in order to attract more foreign direct investment and promote Cyprus as an international business center.

The GOC's earlier decision to lift incoming direct investment restrictions for EU residents as of January 2000 boosted foreign investment from the EU, which jumped from $225.2 million in 1999 to $374.7 million in 2000. The inflow of foreign direct investment from all countries reached $1.0 billion in 2003, 58.1% of which came from the EU. Cyprus has bilateral agreements for the encouragement and reciprocal protection of investments with the following 15 countries: Armenia, Belgium, Bulgaria, Belarus, China, Egypt, Greece, Hungary, India, Israel, Lebanon, Poland, Romania, and the Seychelles. Another 40 bilateral investment agreements are currently under negotiation.

Cyprus does not have a bilateral investment protection agreement with the United States. Cyprus also has entered into bilateral double tax treaties with 40 countries, including one with the United States. The main purpose of these treaties is the avoidance of double taxation of income earned in any of these countries. Under these agreements, a credit is usually provided for tax levied by the country in which the taxpayer resides for taxes levied in the other treaty country. The effect of these arrangements is normally that the taxpayer pays no more than the higher of the two rates.

International Business Center

Cyprus has good business and financial services, modern telecommunications, an educated labor force, good airline connections, a sound legal system, and a low crime rate. Cyprus's geographic location, tax incentives and modern infrastructure also make it a natural hub for companies looking to do business with the Middle East, Eastern Europe, the former Soviet Union, and North Africa. As a result, Cyprus has developed into an important regional center for many International Business Companies (IBCs) conducting their offshore affairs from the island.

In July 2002, the House passed tax reform legislation abolishing tax discrimination afforded to offshore companies by the end of 2005, in line with Cyprus's commitments to the EU and OECD. Under the new regime, corporate tax on profits for IBCs has been set at 10.0%—the same as for local companies. IBCs registered before 2002 were given the option of continuing to pay the preferential rate of 4.25% for a transitional period ending in 2005. They were also given the option of expanding their operations to include Cyprus, as well.

European Union (EU)

Along with the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia, and Slovenia, the Republic of Cyprus entered the EU on May 1, 2004. The EU's acquis communautaire is suspended in north Cyprus pending a settlement of the island's division.

Export Opportunities

On January 1, 1996, Cyprus began full implementation of the Uruguay Round agreement. Under this agreement, the Government of Cyprus eliminated quantitative restrictions and other non-tariff barriers to trade, allowing improved access to the Cypriot market. Cyprus is a full member of the World Trade Organization.

Additionally, completion of the EU-Cyprus Customs Union agreement on May 1, 2004 liberalized the island's trade regime further, allowing all goods to be traded between Cyprus and the EU with a zero tariff rate. Under the same agreement, Cyprus has adopted fully the EU's Common Customs Tariff (CCT) for products from third (non-EU) countries.

The best prospects for U.S. firms generally lie in services, high technology sectors, such as computer equipment and data processing services, financial services, environmental protection technology, medical and telecommunications equipment, and tourism development projects.

Moreover, alternative energy sources and the energy sector in general are attracting an increasing amount of attention, while the possible existence of natural gas and petroleum reserves off the southern and eastern coast of Cyprus opens up new prospects.

Finally, the island's private sector has a growing appetite for U.S.-made office machines, computer software and data processing equipment, while U.S. food franchises and apparel licensors have found fertile ground for expansion in Cyprus in recent years.

Trade Between Cyprus and the United States

The U.S. Embassy in Nicosia sponsors a popular pavilion for American products at the annual Cyprus International State Fair and organizes other events to promote U.S. products throughout the year. Total U.S. exports to Cyprus declined to $185.7 million in 2003, from $202.8 million in 2002. Principal U.S. exports to Cyprus include office machines and data processing equipment, electrical equipment, tobacco and cigarettes, passenger cars, and wheat. Principal U.S. imports from Cyprus consist of Portland cement, clothing, hunting rifle cartridges, canvas, dairy products, and fresh fish.

Turkish Cypriot Economy

The economic disparity between the two communities is pronounced. Although the Turkish Cypriot area operates on a free-market basis, the lack of private and governmental investment, high freight costs, shortages of skilled labor, plus inflation and previous devaluations of the Turkish lira—which the Turkish Cypriots widely use as their currency—continue to plague the economy. Nevertheless, the north has experienced a recent economic boom due to an increase in tourism and construction, the expansion of its universities—which cater mostly to students from Turkey—and the employment of several thousand Turkish Cypriots in the south.

Since the April 23, 2003 relaxation of restrictions on travel across the buffer zone, there have been more than 4 million crossings. Greek Cypriot spending in the north provided a short-term boost to the Turkish Cypriot economy. This initial influx has tapered off, however, as both the number of trips per month and the average spending per trip by Greek Cypriots has declined. Travel by Turkish Cypriots to the south continues, and Turkish Cypriot businesses are increasingly concerned that they are losing both skilled labor and sales. Many Turkish Cypriots are choosing to work in the south where wages are significantly higher. Many Turkish Cypriots are also choosing to purchase certain products in the south.

Despite initial expectations, the relaxation of travel restrictions has not yet resulted in measurable commercial trade between the two communities, largely due to trade barriers resulting from the continued division of the island. Trade between the two communities remains very modest, despite the introduction on August 23, 2004 of a new European Commission sponsored "Green Line" regulation permitting the sale of certain items produced in the north in the rest of Cyprus. While this regulation also permits items from the north to be exported to the rest of the EU through ports in the south, no such exports have yet occurred.

Turkey is, by far, the main trading partner of north Cyprus, supplying 62.1% of imports and absorbing 41.6% of exports. In a landmark case, the European Court of Justice (ECJ) ruled on July 5, 1994 against the British practice of importing produce from north Cyprus based on certificates of origin and phytosanitary certificates granted by "TRNC" authorities. The ECJ decision stated that only goods bearing certificates of origin from the Government of Cyprus could be recognized for trade by EU member countries. The ECJ decision resulted in a considerable decrease of Turkish Cypriot exports to the EU—from $36.4 million (or 66.7% of total Turkish Cypriot exports) in 1993 to $13.8 million in 2003 (or 28% of total exports). Even so, the EU continues to be north Cyprus's second-largest trading partner, with a 25% share of total imports and 28% share of total exports. Additionally, the economic crisis in Turkey has had a negative impact on north Cyprus foreign trade in the last 2 years.

Total imports increased to $415.2 million in 2003 (from $309.6 million in 2002), while total exports increased to $49.3 million (from $45.4 million in 2002).

Assistance from Turkey is the mainstay of the Turkish Cypriot economy. Under the latest economic protocol (signed January 2001), Turkey undertakes to provide Turkish Cypriots loans and financial assistance totaling $350 million for the purpose of implementing projects included in the protocol related to public finance, tourism, banking, and privatization. Turkey also has agreed to provide a supplementary amount of $140 million to entrepreneurs in the form of low-interest loans with the purpose of supporting export-oriented industrial production and tourism. Fluctuation in the Turkish lira continues to exert downward pressure on the Turkish Cypriot standard of living.

Turkish Cypriot authorities have instituted a free market in foreign exchange and authorize residents to hold foreign-currency denominated bank accounts. This encourages transfers from Turkish Cypriots living abroad.


FOREIGN RELATIONS

The Government of Cyprus aligns itself with European positions within the EU's Common Foreign and Security Policy. Cyprus has long identified with the West in its cultural affinities and trade patterns, and maintains close relations with Greece. Since 1974, the foreign policy of the Government of Cyprus has sought the withdrawal of Turkish forces and the most favorable constitutional and territorial settlement possible. This campaign has been pursued primarily through international forums such as the United Nations. (See Political Conditions.) Turkey does not recognize the Government of Cyprus.

The Government of Cyprus enjoys close relations with Greece. Cyprus is expanding relations with Russia, Israel, Egypt, and Syria, from which it purchases most of its oil. Cyprus is a member of the United Nations and most of its agencies, as well as the World Trade Organization, the World Bank, International Monetary Fund, Council of Europe and the British Commonwealth. In addition, the country has signed the Multilateral Investment Guarantee Agency Agreement (MIGA).


U.S.-CYPRUS RELATIONS

The United States regards the status quo on Cyprus as unacceptable. Successive administrations have viewed UN-led inter-communal negotiations as the best means to achieve a fair and permanent settlement, but after the failure of the Greek Cypriots to approve the comprehensive settlement plan in April 2004, the path to a settlement is unclear.

The United States is working closely with Cyprus in the war on terrorism. A Mutual Legal Assistance Treaty, which has been in force since September 18, 2002, facilitates bilateral cooperation.

The United States has channeled $305 million in assistance to the two communities through bi-communal projects, the UN Office of Project Services, the UN High Commissioner for Refugees, and the Cyprus Red Cross since the mid-1970s. The United States now provides approximately $13.5 million annually to promote bi-communal projects and finance U.S. scholarships for Greek and Turkish Cypriots.

Principal U.S. Embassy Officials

NICOSIA (E) Address: Metochiou & Ploutarchou PO Box 24536 Engomi 2407 Nicosia Cyprus; APO/FPO: US Embassy Nicosia PSC 815 FPO AE 09836; Phone: 357-22-393-939; Fax: 357-22-780-944; INMARSAT Tel: 683-13-2645/6; fax: 683-13-2647; Workweek: M–F, 08:00-17:00; Website: americanembassy.org.cy

AMB:Michael Klosson
AMB OMS:Ginny Phillips
DCM:Edwin R. Nolan
DCM OMS:Carol Hazzard
POL:Matthew A. Palmer
CON:Henry H. Hand
MGT:Katherine A. Munchmeyer
CLO:Audrey Moyer/April Day
DAO:Steve G. Boukedes
DEA:Micahel Haakon (Acting)
ECO:Michael S. Dixon
EEO:Jill E. Perry
FAA:Vacant
GSO:Kurt J. Hoyer
ICASS Chair:Douglas Peek
IMO:Robert P. McCumber
IPO:James Rezek
IRS:Fred Pablo (resident in Rome)
ISSO:James Rezek
PAO:Craig L. Kuehl
RSO:Christian J. Schurman
State ICASS:Matthew Palmer
Last Updated: 12/30/2004

TRAVEL

Consular Information Sheet

January 28, 2005

Country Description: Cyprus is a developed Mediterranean island nation divided de facto into two areas. Facilities for tourism in the Republic of Cyprus are highly developed. The Republic of Cyprus joined the European Union in 2004.

Entry/Exit Requirements: A passport is required for travel to Cyprus. A tourist and business entry stamp is issued at the port of entry for a stay of up to three months. For further information on entry requirements for Cyprus, travelers can contact the Embassy of the Republic of Cyprus at 2211 R Street NW, Washington, D.C. 20008-4082, tel. (202) 462-5772, or the Cypriot Consulate in New York at 13 East 40th St., 5th Floor, New York, N.Y. 10016, tel. (212) 686-6016/17. See our Foreign Entry Requirements brochure for more information on Cyprus and other countries. Visit the Embassy of Cyprus' web site at http://www.cyprusembassy.net for the most current visa information.

Safety and Security: While civil disorder is uncommon in Cyprus, demonstrations sometimes occur, and there have been occasional violent incidents along the "green line" dividing the two sides of the island. In previous years, terrorist groups from the Middle East have used Cyprus as a base for carrying out acts of terrorism against third country targets.

Taking photographs of anything that could be perceived as being of military or security interest (especially in north Cyprus) may cause problems with authorities.

Do not, under any circumstances, attempt to cross the U.N. buffer zone without permission. This area is heavily mined and militarized.

For the latest security information, Americans traveling abroad should regularly monitor the Department's Internet web site at http://travel.state.gov where the current Worldwide Caution Public Announcement and Travel Warnings and Public Announcements can be found.

Up-to-date information on security can also be obtained by calling 1-888-407-4747 toll free in the United States, or, for callers outside the United States and Canada, a regular toll line at 1-317-472-2328. These numbers are available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays).

The Department of State urges American citizens to take responsibility for their own personal security while traveling overseas. For general information about appropriate measures travelers can take to protect themselves in an overseas environment, see the Department of State's pamphlet A Safe Trip Abroad.

Crime: Cyprus has a low crime rate. Nonetheless, visitors in urban areas should take the normal precautions they would take in a large city. Americans frequenting bars should be wary of greatly inflated bar tabs, especially in so-called "cabarets."

The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting the crime to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, help you to find appropriate medical care or contact family members or friends and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

U.S. citizens may refer to the Department of State's pamphlet, "A Safe Trip Abroad," for ways to promote a trouble-free journey. The pamphlet is available by mail from the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402, via the Internet at http://www.gpoaccess.gov, or via the Bureau of Consular Affairs home page at http://travel.state.gov.

Information for Victims of Crime: The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while overseas, in addition to reporting to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, assist you to find appropriate medical care, contact family members or friends and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed. See our information on Victims of Crime at http://travel.state.gov/travel/tips/emergencies/emergencies_1748.html.

Medical Facilities and Health Information: Medical care is available at both government hospitals and private clinics. Emergency Rooms offer adequate care to stabilize patients, most of whom are then transferred to private hospitals. Many of the private-sector doctors have been trained in the United Kingdom or the United States. While fees are generally lower than those in the United States, medical supplies are often more expensive. Additionally, most ambulances are staffed by emergency room doctors and nurses-not by paramedics.

Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention's hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747); fax 1-888-CDC-FAXX (1-888-232-3299), or via the CDC's Internet site at http://www.cdc.gov/travel. For information about outbreaks of infectious diseases abroad consult the World Health Organization's (WHO) website at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith.

The World Health Organization considers Cyprus to be one of the healthiest areas of the Mediterranean. Water supplies are potable, and the refuse collection/sewage disposal system is adequate. Communicable diseases such as typhoid are rare. Respiratory ailments and allergies are sometimes exacerbated by the dry and dusty climate.

Medical Insurance: The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation. Please see our information on medical insurance overseas.

Traffic Safety and Road Conditions: While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Cyprus is provided for general reference only, and it may not be totally accurate in a particular location or circumstance.

In recent years Cyprus has ranked among the top three countries in Europe, on a per capita basis, in traffic fatalities. Speeding, tailgating, overtaking, and the running of caution lights are commonplace and major causes of accidents. Emergency assistance is available by calling 199.

There are few public buses and no rail lines. Taxis are widely available, but they often do not have operating seat belts. Traffic moves on the left side of the road, British style, and modern motorways link the major cities. Secondary roads, especially in mountainous areas, tend to be narrow and winding, and they are not as well maintained as major highways. Traffic laws, signs and speed limits are consistent with the standards used throughout Europe. Traffic circles (roundabouts) are often utilized at major intersections. The use of seat belts (in front seats) and child car seats is compulsory. Motorcyclists are required to wear helmets, and the use of cellular phones while driving is prohibited. Motorway speed limits are set at 100 kph (62 mph). Liability insurance is mandatory.

The information above applies only to those areas under the control of the Republic of Cyprus. Road safety conditions in north Cyprus (the Turkish-Cypriot administered areas) are similar to conditions in the south, except that the road network is less developed. Insurance purchased in the Republic of Cyprus is not valid in the Turkish-Cypriot administered areas, but it may be purchased near the U.N. "Buffer Zone" checkpoint. Emergency assistance is available by calling 155.

For additional general information about road safety, including links to foreign government sites, see the Department of State, Bureau of Consular Affairs home page at http://travel.state.gov/travel/tips/safety/safety_1179.html. For specific information concerning Cyprus driving permits, vehicle inspection, road tax and mandatory insurance, contact the Cyprus national tourist organization offices in New York via the Internet at http://www.cyprustourism.org.

Aviation Safety Oversight: As there is no direct commercial air service between the United States and Cyprus, the U.S. Federal Aviation Administration (FAA) has not assessed Cyprus' Civil Aviation Authority for compliance with ICAO international aviation safety standards. For more information, travelers may visit the FAA's internet web site at http://www.faa.gov/avr/iasa/index.cfm.

Special Circumstances: Since 1974, the Cypriot government has designated Larnaca and Paphos international airports, and the seaports of Limassol, Larnaca, and Paphos, as the only legal points of entry into and exit from Cyprus. These ports are all in the government-controlled southern part of the island. These ports are all in the government-controlled southern part of the island. Entry or exit via any other air or seaport is considered an illegal act by the Government of Cyprus. Until recently, visitors choosing to arrive at non-designated airports and seaports in the north were not allowed to cross the United Nations-patrolled "green line" to the government-controlled areas in the south. In June of 2004, however, Cypriot authorities implemented new EU-related crossing regulations that allowed Americans (and citizens of most other countries) to cross freely regardless of their port of entry into Cyprus. Visitors arriving in the south are normally able to cross into the north without hindrance, although on occasion difficulties are encountered at both the Greek-Cypriot and Turkish-Cypriot checkpoints. Policy and procedures regarding such travel are subject to change. More information on current procedures may be obtained at the U.N. "Buffer Zone" Ledra Palace checkpoint in Nicosia.

In an effort to prevent international child abduction, many governments have initiated procedures at entry/exit points. These often include requiring documentary evidence of relationship and permission for the child's travel from the parent(s) or legal guardian if not present. Having such documentation on hand, even if not required, may facilitate entry/departure. Although Cyprus is party to the Hague Convention on the Civil Aspects of International Child Abduction, the Convention cannot be used effectively to recover a child abducted to Northern Turkish-controlled Cyprus.

Cyprus customs authorities may enforce strict regulations concerning temporary importation into or export from Cyprus of items such as firearms. There are no restrictions on religious materials and medication for personal use. It is advisable to contact the Embassy of Cyprus in Washington, D.C. for specific information regarding customs requirements. In many countries around the world, counterfeit and pirated goods are widely available. Transactions involving such products are illegal and bringing them back to the United States may result in forfeitures and/or fines. A current list of those countries with serious problems in this regard can be found at http://www.ustr.gov/reports/2003/special301.htm. Cyprus restricts the export of Byzantine period ecclesiastical material and all archeological material. The U.S. Customs Service may impose corresponding import restrictions in accordance with the Convention on Cultural Property Implementation Act. Contact the Customs Service at (202) 927-2336 or on the Internet at http://exchanges.state.gov/culprop/ for further information.

Cyprus customs authorities encourage the use of an ATA (Admission Temporaire/Temporary Admission) Carnet for the temporary admission of professional equipment, commercial samples, and/or goods for exhibitions and fair purposes. ATA Carnet Headquarters, located at the U.S. Council for International Business, 1212 Avenue of the Americas, New York, NY 10036, issues and guarantees the ATA Carnet in the United States. For additional information, please call (212) 354-4480, send an e-mail to [email protected], or visit http://www.uscib.org for details.

In addition to being subject to all Cypriot laws affecting U.S. citizens, individuals who also possess the nationality of Cyprus may also be subject to other laws that impose special obligations on citizens of Cyprus. U.S. citizens whom the Government of Cyprus considers to be Cypriot citizens may be subject to compulsory military service and other aspects of Cypriot law while in Cyprus. Those who may be affected should inquire at the Cypriot Embassy regarding their status. U.S. citizens whom the Turkish-Cypriot authorities consider to be "citizens" may be subject to compulsory military service in north Cyprus. The U.S. Embassy is unable to exempt dual nationals from such service.

There are restrictions on the photographing of military installations in both south and north Cyprus. English-language signs are generally posted in sensitive areas advising of the restrictions. However, visitors should refrain from photographing military installations and/or personnel regardless of whether warning signs are posted, and if confronted by local authorities, they should comply with all reasonable requests regarding the use of photographic equipment.

U.S. Citizens who buy property, particularly in northern Cyprus, may find their ownership challenged by people displaced in 1974. Prospective property buyers should seek legal advice before buying.

Criminal Penalties: While in a foreign country, a U.S. citizen is subject to that country's laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses.

Persons violating Cyprus' laws, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession, use, or trafficking in illegal drugs in Cyprus are strict, and convicted offenders can expect jail sentences and heavy fines.

The legal system in Cyprus is based on English common law and is similar to that of the United States in many respects. Engaging in illicit sexual conduct with children or using or disseminating child pornography in a foreign country is a crime, prosecutable in the United States.

Children's Issues: For information on international adoption of children and international parental child abduction, see the Office of Children's Issues website at http://travel.state.gov/family/family_1732.html.

Registration/Embassy and Consulate Locations: Americans living or traveling in Cyprus are encouraged to register with the nearest U.S. Embassy or Consulate through the State Department's travel registration website, https://travelregistration.state.gov, and to obtain updated information on travel and security within Cyprus. The U.S. Embassy is located at Metochiou and Ploutar-chou Streets, Engomi, Nicosia. The telephone number within Cyprus is (22) 393 939 when calling from the U.S., dial 011-(357)-(22) 393 939 The Consular Section's fax number within Cyprus is (22) 776 841. The fax number from the U.S. is 011 (357)-(22) 776 841. The Embassy's Internet address is: http://www.americanembassy.org.cy.

The U.S. Government also maintains an office in north Cyprus at 6 Serif Arzik Street, Koskluciftlik, Nicosia. When calling from the U.S., dial 011 (357) (22) 669-965 or fax to 011 (357) (22) 679 014. When calling within north Cyprus dial (22) 73 930 or fax to (22) 78 514.

Cyprus

views updated May 14 2018

CYPRUS

Compiled from the January 2006 Background Note and supplemented with additional information from the State Department and the editors of this volume. See the introduction to this set for explanatory notes.

Official Name:
Republic of Cyprus


PROFILE

Geography

Area:

9,251 sq. km. (3,572 sq. mi.); about the size of Connecticut.

Cities:

Capital—Nicosia (pop. 197,800, 2000 fig.). Other cities—Limassol, Larnaca, Famagusta, Paphos, Kyrenia, Morphou.

Terrain:

Central plain with mountain ranges to the north and south.

Climate:

Mediterranean with hot, dry summers and cool, wet winters.

People

Nationality:

Noun and adjective—Cypriot(s).

Population (2004 est.):

government-controlled area: 749,200; area administered by Turkish Cypriots 218,000.

Annual growth rate (2004): 2.3%.

Ethnic groups (1960 census):

Greek (77%), Turkish (18%), Armenian and other (4%).

Religion:

Greek Orthodox, Muslim, Maronite, Roman Catholic, Armenian Orthodox.

Language:

Greek, Turkish, English.

Education:

Years compulsory—6 in elementary; 3 in high school. Attendance—almost 100%. Literacy—about 99%.

Health:

Infant mortality rate—9/1,000. Life expectancy—73 yrs. males; 78 yrs. females.

Work force:

Government-controlled area (2004), 333,100: agriculture and mining—5.3%; manufacturing and utilities—12.0%; construction—10.7%; trade, hotels, and restaurants—27.1%; transport—5.3%; finance, real estate, and business—11.9%; government, education, and health—18.4%; community and other services—9.3%. Turkish Cypriot-administered area (2003), 95,000: agriculture—14.5%; manufacturing and utilities—9.3%; construction—19.7%; trade, and tourism—11.2%; transport and communication—8.7%; finance—2.5%; business and personal services—15.3%; public services—18.8%.

Government

Type:

Republic.

Independence:

August 16, 1960.

Constitution:

August 16, 1960.

Branches:

Executive—President elected to 5-yr. term. Legislative—unicameral House of Representatives, members elected to 5-yr. terms. Judicial—Supreme Court; six district courts.

Administrative subdivisions:

Six.

Political parties:

Greek Cypriot Community—Democratic Rally (right); Democratic Party (center-right); AKEL (communist); KISOS (socialist); United Democrats (center-left). Turkish Cypriot Community—National Unity Party (right); Democrat Party (center-right); Republican Turkish Party (left); Peace and Democracy Movement (center-left); Communal Liberation Party (center-left); National Justice Party (ultranationalist); New Party (Turkish immigrant party); United Cyprus Party (left).

Suffrage:

Universal at age 18.

Economy*

GDP (2004):

$15.4 billion.

Annual real growth rate (2004):

3.6%.

Per capita GDP income (2004):

Greek Cypriots—$20,961; Turkish Cypriots—about $7,350.

Agriculture and natural resources (4.4% of GDP):

Products—potatoes and other vegetables, citrus fruits, olives, grapes, wheat, carob seeds. Resources—pyrites, copper, asbestos, gypsum, lumber, salt, marble, clay, earth pigment.

Industry and construction (19.3% of GDP):

Types—mining, cement, construction, utilities, manufacturing, chemicals, non-electric machinery, textiles, footwear, food, beverages, tobacco.

Services and tourism (76.2% of GDP):

Trade, restaurants, and hotels 20.4%; transport 10.9%; finance, real estate, and business 23.8%; government, education, and health 16.1%; and community and other services 4.9%.

Trade (2004):

Exports—$1.2 billion: citrus, grapes, wine, potatoes, pharmaceuticals, clothing, footwear.

Major markets—EU (especially the U.K. and Greece), Middle East, Russia. Imports—$5.8 billion: consumer goods, raw materials for industry, petroleum and lubricants, food and feed grains. Major suppliers—Greece, Italy, Germany, U.K. (U.S. trade surplus—for 2004: $112.0 million.)

*Section refers to the government-controlled area unless otherwise specified.


PEOPLE AND HISTORY

Since 1974, Cyprus has been divided de facto into the government-controlled two-thirds of the island and the remaining one-third of the island, which is administered by Turkish Cypriots. Greek and Turkish Cypriots share many customs but maintain distinct identities based on religion, language, and close ties with their respective "motherlands." Greek is predominantly spoken in the south, Turkish in the north. English is widely used. Cyprus has a well-developed system of primary and secondary education. The majority of Cypriots earn their higher education at Greek, Turkish, British, and other European or American universities. Both the Turkish and Greek communities have developed private colleges and state-supported universities.

Cypriot culture is among the oldest in the Mediterranean. By 3700 BC, the island was well inhabited, a crossroads between East and West. The island fell successively under Assyrian, Egyptian, Persian, Greek, and Roman domination. For 800 years, beginning in 364 AD, Cyprus was ruled by Byzantium. After brief possession by King Richard I (the Lion-Hearted) of England during the Crusades, the island came under Frank-ish control in the late 12th century. It was ceded to the Venetian Republic in 1489 and conquered by the Ottoman Turks in 1571. The Ottomans applied the millet system to Cyprus, which allowed religious authorities to govern their own non-Muslim minorities. This system reinforced the position of the Orthodox Church and the cohesion of the ethnic Greek population. Most of the Turks who settled on the island during the 3 centuries of Ottoman rule remained when control of Cyprus—although not sovereignty—was ceded to Great Britain in 1878. Many left for Turkey during the 1920s, however. The island was annexed formally by the United Kingdom in 1914 at the outbreak of World War I and became a crown colony in 1925.

Cyprus gained its independence from the United Kingdom and established a constitutional republic in 1960, after an anti-British campaign by the Greek Cypriot EOKA (National Organization of Cypriot Fighters), a guerrilla group that desired political union, or enosis, with Greece. Archbishop Makarios, a charismatic religious and political leader, was elected president.

Shortly after the founding of the republic, serious differences arose between the two communities about the implementation and interpretation of the constitution. The Greek Cypriots argued that the complex mechanisms introduced to protect Turkish Cypriot interests were obstacles to efficient government. In November 1963, President Makarios advanced a series of constitutional amendments designed to eliminate some of these special provisions. The Turkish Cypriots opposed such changes. The confrontation prompted widespread intercommunal fighting in December 1963, after which Turkish Cypriots ceased to participate in the government. Following the out-break of intercommunal violence, many Turkish Cypriots (and some Greek Cypriots) living in mixed villages began to move into enclaved villages or elsewhere. UN peacekeepers were deployed on the island in 1964. Following another outbreak of inter-communal violence in 1967-68, a Turkish Cypriot provisional administration was formed.

In July 1974, the military junta in Athens sponsored a coup led by extremist Greek Cypriots against the government of President Makarios, citing his alleged pro-communist leanings and his perceived abandonment of enosis. Turkey, citing the 1960 Treaty of Guarantee, intervened militarily to protect Turkish Cypriots.

In a two-stage offensive, Turkish troops took control of 38% of the island. Almost all Greek Cypriots fled south while almost all Turkish Cypriots fled north. Since the events of 1974, UN peacekeeping forces have maintained a buffer zone between the two sides. Except for occasional demonstrations or infrequent incidents between soldiers in the buffer zone, the island was free of violent conflict from 1974 until August 1996, when violent clashes led to the death of two demonstrators and escalated tension. The situation has been quiet since 1996.


GOVERNMENT

Since 1974, Cyprus has been divided de facto into the government-controlled two-thirds of the island and the Turkish Cypriot one-third. The Government of the Republic of Cyprus has continued as the internationally recognized authority; in practice, its authority extends only to the government-controlled areas.

The 1960 Cypriot Constitution provided for a presidential system of government with independent executive, legislative, and judicial branches, as well as a complex system of checks and balances, including a weighted power-sharing ratio designed to protect the interests of the Turkish Cypriots. The executive, for example, was headed by a Greek Cypriot president and a Turkish Cypriot vice president, elected by their respective communities for 5-year terms, and each possessing a right of veto over certain types of legislation and executive decisions.

Following the 1974 hostilities, the Turkish Cypriots set up their own institutions in the area they administered with an elected president and a prime minister responsible to the National Assembly exercising joint executive powers. In 1983, the Turkish Cypriots declared an independent Turkish Republic of Northern Cyprus ("TRNC"). Only Turkey recognizes the "TRNC".


POLITICAL CONDITIONS

In February 2003, Greek Cypriots elected Tassos Papadopoulos, leader of the center right Democratic Party, as president of the Republic of Cyprus. President Papadopoulos was supported by a broad coalition of parties ranging from his own Democratic Party to communist AKEL. None of the Greek Cypriot parties has been able to elect a president by itself or dominate the 56-seat House of Representatives. The 165,000 Greek Cypriot refugees from the area now administered by Turkish Cypriots are a potent political force, along with the independent Orthodox Church of Cyprus, which has some influence in temporal as well as ecclesiastical matters.

"TRNC President" Mehmet Ali Talat was elected in April 2005, replacing long-time nationalist leader Rauf Denktash. Talat's political rise was due largely to his support of the UN Settlement Plan for Cyprus (the "Annan Plan"), which Rauf Denktash opposed, but which was supported by a majority of Turkish Cypriots in a 2004 referendum. Talat's pro-settlement, pro-EU political allies in the Republican Turkish Party (CTP) hold 24 of the 50 seats in the "TRNC National Assembly." In March 2005, the CTP agreed to form a coalition "government" with the 5-seat Democrat Party (DP) under the leadership of CTP "Prime Minister" Ferdi Sabit Soyer and DP "Deputy Prime Minister/Foreign Minister" Serdar Denktash.

The first UN-sponsored negotiations to develop institutional arrangements acceptable to both communities began in 1968; several sets of negotiations and other initiatives followed. Turkish Cypriots focus on bizonality, security guarantees, and political equality between the two communities. Greek Cypriots

emphasize the rights of movement, property, settlement, and the return of territory. Turkish Cypriots favor a loose grouping of two nearly autonomous societies living side by side with limited contact. Greek Cypriots envision a more integrated structure.

Direct talks began in January 2002 between the Greek and Turkish Cypriot community leaders under the auspices of the UN Secretary General, Mr. Kofi Annan.

In November 2002, Secretary General Annan released a comprehensive plan for the resolution of the Cyprus issue. This plan was revised in early December. In the lead up to the December 2002 EU Copenhagen Summit, intensive efforts were made to gain both sides' signatures to the document prior to a decision on the island's EU membership. Neither side agreed to sign. The EU invited the Republic of Cyprus to join on December 16.

Following the Copenhagen Summit, the UN continued dialogue with the two sides with the goal of reaching a settlement prior to Cyprus's signature of the EU accession treaty on April 16, 2003. A third version of the Annan plan was put to the parties in February 2003. That same month the Secretary General again visited the island and asked that both leaders agree to put the plan to referendum in their respective communities. Also in February 2003, Tassos Papadopoulos was elected as the fifth president of the Republic of Cyprus. On March 10, 2003, this phase of talks collapsed in The Hague when the then-leader of the Turkish Cypriots, Rauf Denktash, told the Secretary General he would not put the Annan plan to referendum.

On April 23, 2003, Mr. Denktash relaxed many restrictions on individuals crossing between the two communities, including abolishing all crossing fees. Since then, the relaxed crossing procedures have led to relatively unimpeded bicommunal contact for the first time since 1974. Since April 2003 there have been over 7,000,000 buffer zone crossings in both directions. Greek Cypriots are currently required to present identity documents at the checkpoints along the buffer zone, something many are reluctant to do. Greek Cypriots are permitted to drive their personal vehicles in the Turkish Cypriot community, provided they first obtain a policy from an insurance provider in the north. Turkish Cypriots are permitted to cross into the government-controlled area upon presentation of a Turkish Cypriot ID card. Turkish Cypriots must also obtain car insurance from an insurer in the south to drive their personal vehicles in the government-controlled area.

Until recently, visitors choosing to arrive at non-designated airports and seaports in the north were not allowed to cross the United Nations-patrolled "green line" to the government-controlled areas in the south. In June of 2004, however, Cypriot authorities implemented new EU-related crossing regulations that allowed Americans (and citizens of most other countries) to cross freely regardless of their port of entry into Cyprus. Visitors arriving in the south are normally able to cross the green line without hindrance, although on occasion difficulties are encountered at both the Greek-Cypriot and Turkish-Cypriot checkpoints. Policy and procedures regarding such travel are subject to change. More information on current procedures may be obtained at the UN "Buffer Zone" Ledra Palace checkpoint in Nicosia.

In February 2004, President Papa-dopoulos and Rauf Denktash accepted the Secretary General's invitation to resume negotiations on a settlement on the basis of the Annan plan. After a meeting with the Secretary General in New York, talks began in Cyprus on February 19. The two community leaders met nearly every day for negotiations facilitated by the Secretary General's Special Representative for Cyprus, Mr. Alvaro De Soto. In addition, numerous technical committees and subcommittees met in parallel in an effort to resolve outstanding issues and complete the legislative framework. Beginning on March 24, the talks moved to Burgenstock, Switzerland with the participation of the Prime Ministers and Foreign Ministers of Greece and Turkey. Negotiations concluded on March 31, and the Secretary General presented the two sides with a final settlement package.

Most Turkish Cypriot and Turkish leaders supported the agreement, but most Greek Cypriot leaders, including President Papadopoulos, urged the Greek Cypriot public to reject the settlement. On April 24, after a three-week campaign marked by accusations that the government of Cyprus was unfairly manipulating public opinion, Cypriots on both sides of the Green Line went to the polls in parallel and simultaneous referenda. Turkish Cypriots voted by a large majority (65% "yes" to 35% "no") to accept the solution. Greek Cypriots, however, voted by an even larger margin (76% "no" to 24% "yes") to reject it.

Cyprus entered the European Union on May 1, 2004 as a divided island. The Secretary General's Good Offices Mission is suspended.

Principal Government Officials

Last Updated: 9/1/2005

President: Tassos PAPADOPOULOS
Min. of Agriculture, Natural Resources, & Environment: Efthymios EFTHYMIOU
Min. of Commerce, Industry, & Tourism: Yiorgos LILLIKAS
Min. of Communications & Works: Haris THRASOU
Min. of Defense: Kyriakos MAVRONICOLAS
Min. of Education & Culture: Pefkios GEORGIADES
Min. of Finance: Michalis SARRIS
Min. of Foreign Affairs: Georgios IACOVOU
Min. of Health: Andreas GAVRIELIDES
Min. of Interior: Andreas CHRISTOU
Min. of Justice & Public Order: Doros THEODOROU
Min. of Labor & Social Insurance: Christos TALIADOROS
Under Sec. to the Pres.: Christodoulos PASIARDIS
Governor, Central Bank: Christodoulos CHRISTODOULOU
Ambassador to the US: Euripides EVRIVIADES
Permanent Representative to the UN, New York: Andreas MAVROYIANNIS

Cyprus maintains an embassy in the United States at 2211 R Street NW, Washington, DC 20008 (tel. 202-462-5772) and a Consulate General in New York City. Cyprus also maintains a trade center at 13 East 40th Street, New York, NY 10016 (tel. 212-686-6016). Turkish Cypriots maintain offices in Washington (tel. 202-887-6198) and at the Republic of Turkey's Mission to the United Nations.


ECONOMY*

Cyprus has an open, free-market, services-based economy with some light manufacturing. Cyprus's accession as a full member to the European Union as of May 1, 2004, has been an important milestone in its recent economic development. The Cypriots are among the most prosperous people in the Mediterranean region. Internationally, Cyprus promotes its geographical location as a "bridge" between West and East, along with its educated English-speaking population, moderate local costs, good airline connections, and telecommunications.

In the past 20 years, the economy has shifted from agriculture to light manufacturing and services. The service sector, including tourism, contributes 76.2% to the GDP and employs 72.0% of the labor force. Industry and construction contribute 19.3% and employ 22.7% of labor. Manufactured goods account for approximately 58.0% of domestic exports. Agriculture and mining is responsible for 4.4% of GDP and 5.3% of the labor force. Potatoes and citrus are the principal export crops.

Following a classical pattern, growth rates have gradually begun to decline as the Cypriot economy has matured over the years. The average rate of growth went from 6.1% in the 1980s, to 4.4% in the 1990s to 3.4% from 2000 to 2004. In 2004, growth picked up to 3.6%, from 1.9% in 2003. Unemployment was fairly constant at 3.6% in 2004, while inflation declined to 2.3% in 2004 from 4.1% the year before. As in recent years, the services sectors, and tourism in particular, provided the main impetus for growth.

Trade is vital to the Cypriot economy: the island is not self-sufficient in food, and has few natural resources. The trade deficit increased by 18.4% in 2004, reaching $4.6 billion.

Cyprus must import fuels, most raw materials, heavy machinery, and transportation equipment. More than 50% of its trade is with the European Union, particularly with the United Kingdom.

The economic outlook remained bright in 2005: growth was expected to remain strong (around 4.0%), with low unemployment (less than 4.0%), and low inflation (around 2.3%). Equally important, public finances were expected to continue improving, with the fiscal deficit forecast to decline to 2.9% of GDP in 2005, from 4.2% in 2004, and 6.3% in 2003.

Investment Climate

Cyprus, a full EU member since May 1, 2004, has a liberal climate for investments. On October 1, 2004, the Government of Cyprus lifted most investment restrictions concerning non-EU residents, completing earlier reforms (introduced in January 2000) concerning EU investors. Through this decision, the Government of Cyprus has lifted most capital restrictions and limits on foreign equity participation/ownership, thereby granting national treatment to foreign investors. Non-EU investors (both natural and legal persons) may now invest freely in Cyprus in most sectors, either directly or indirectly (including all types of portfolio investment in the Cyprus Stock Exchange). The only exceptions concern primarily the acquisition of property and, to a lesser extent, restrictions on investment in the sectors of tertiary education and mass media.

The inflow of approved foreign direct investment reached $1.22 billion in 2004, compared with $1.0 billion in 2003, and $1.06 billion in 2002. The sectoral allocation of this investment in 2003 was as follows: manufacturing 0.8%; construction 0.8%; trading 14.6%; hotels and restaurants 0.2%; transport and communications 11.1%; financial intermediation 24.7%; real estate and business 41.0%, other services 6.7%. In terms of geographical origin, the majority of new investments in 2003 (58.1% of total value) originated from the EU; 31.1% originated from other European countries; 4.6% from the United States of America; and the remaining 6.2% from various other countries.

The gradual liberalization of foreign direct investment regulations has made Cyprus progressively a more attractive destination for U.S. investors in recent years. Traditionally, U.S. direct investment in Cyprus consisted of relatively minor projects, mostly by Greek-Cypriot expatriates. New investment projects with U.S. involvement in 2003-2004 included a well-known U.S. coffee retailing franchise, an equestrian center, a hair products manufacturing unit, a firm trading in health and natural foodstuffs, and a financial services company. It should also be noted that the abolition of restrictions on investment originating from the EU allows U.S. investors to benefit as well, provided they work through subsidiaries in the EU.

Cyprus has good business and financial services, modern telecommunications, an educated labor force, good airline connections, a sound legal system, and a low crime rate. Cyprus's geographic location, tax incentives and modern infrastructure also make it a natural hub for companies looking to do business with the Middle East, Eastern Europe, the former Soviet Union, the European Union, and North Africa. As a result, Cyprus has developed into an important regional and international business center.

European Union (EU)

Along with the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia, and Slovenia, the Republic of Cyprus entered the EU on May 1, 2004. The EU's acquis communautaire is suspended in the area administered by Turkish Cypriots pending a settlement of the island's division.

Export Opportunities

Best prospects for U.S. firms generally lie in services, high technology sectors, such as computer equipment and data processing services, financial services, environmental protection technology, medical and telecommunications equipment, and tourism development projects. Moreover, alternative energy sources and the energy sector in general are attracting an increasing amount of attention, while the possible existence of natural gas and petroleum reserves off the southern and eastern coast of Cyprus opens up new prospects. Finally, the island's private sector has a growing appetite for U.S.-made office machines, computer software and data processing equipment, while U.S. food franchises and apparel licensors have found fertile ground for expansion in Cyprus in recent years.

Trade Between Cyprus and the United States

The U.S. Embassy in Nicosia sponsors a popular pavilion for American products at the annual Cyprus International State Fair and organizes other events to promote U.S. products throughout the year. The U.S. runs a significant trade surplus with Cyprus, on the order of $112.0 million in 2004 (exports of $131.2 million versus imports of $19.2 million—according to Government of Cyprus Statistics).

Principal U.S. exports to Cyprus include office machines and data processing equipment, electrical equipment, tobacco and cigarettes, passenger cars, and wheat. Principal U.S. imports from Cyprus consist of Portland cement, clothing, hunting rifle cartridges, canvas, dairy products, and fresh fish.

Bilateral business ties also encom-pass a healthy exchange in services. In 2004, the inflow of services (from the United States to Cyprus) was $585.9 million, against an outflow (from Cyprus to the United States) of $346.7 million, according to Government of Cyprus statistics.

Turkish Cypriot Economy

The economy of the Turkish Cypriot-administered area is dominated by the services sector including the public sector, trade, tourism and education, with smaller agriculture and light manufacturing sectors. The economy operates on a free-market basis, although it continues to be handicapped by the political isolation of Turkish Cypriots, the lack of private and governmental investment, high freight costs, and shortages of skilled labor. Despite these constraints, the Turkish Cypriot economy turned in an impressive performance in 2003 and 2004, with growth rates of 9.6% in 2004 and 11.4% in 2003. Over the same period, per capita income almost doubled reaching $7,350 at the end of 2004, compared with $4,409 in 2002. This growth has been buoyed by the relative stability of the Turkish Lira, the employment of over 5,000 Turkish Cypriots in the Greek Cypriot economy where wages are significantly higher, and by a boom in the education and construction sectors. In 2003, the services sector accounted for nearly two thirds of GDP, industry accounted for 11.6% of GDP, agriculture 10.6%, and construction 10.1%, according to Turkish Cypriot statistics.

The partial lifting of travel restrictions between the two parts of the island in April 2003 has allowed movement of persons—almost seven million crossings to date—between the two parts of the island with no significant interethnic incidents. In August 2004, new EU rules allowed goods produced in the north to be sold in the south provided they met EU rule of origin and sanitary/phyto-sanitary requirements. In May 2005, the Turkish Cypriot "authorities" adopted a new regulation "mirroring" the EU rules and allowing certain goods produced in the south to be sold in the north. Suppliers of imported products in the government-controlled area cannot directly serve the Turkish Cypriot market and vice versa. Despite these efforts, direct trade between the two communities remains very limited.

Turkey remains, by far, the main trading partner of the area administered by Turkish Cypriots, supplying 60% of imports and absorbing over 40% of exports. In a landmark case, the European Court of Justice (ECJ) ruled on July 5, 1994 against the British practice of importing produce from the area based on certificates of origin and phytosanitary certificates granted by "TRNC" authorities. The ECJ decision stated that only goods bearing certificates of origin from the Government of Cyprus could be recognized for trade by EU member countries. The ECJ decision resulted in a considerable decrease of Turkish Cypriot exports to the EU—from $36.4 million (or 66.7% of total Turkish Cypriot exports) in 1993 to $13.8 million in 2003 (or 28% of total exports). Even so, the EU continues to be the second-largest trading partner of the area administered by Turkish Cypriots, with a 25% share of total imports and 28% share of total exports. Total imports increased to $853.1 million in 2004 (from $477.7 million in 2003), while total exports increased to $61.5 million (from $50.6 million in 2003). Imports from the U.S. reached $7.1 million in 2004, while exports to the U.S. were less than $10,000.

Assistance from Turkey is crucial to the Turkish Cypriot economy. Under the latest economic protocol (signed in 2005), Turkey undertakes to provide Turkish Cypriots loans and financial assistance totaling $450 million over a three-year period for public finance, tourism, banking, and privatization projects. Turkey also provides millions of dollars annually in the form of low-interest loans to mostly Turkish entrepreneurs in support of export-oriented industrial production and tourism. Total Turkish assistance to Turkish Cypriots since 1974 is estimated to exceed $3 billion.


FOREIGN RELATIONS

The Government of Cyprus aligns itself with European positions within the EU's Common Foreign and Security Policy. Cyprus has long identified with the West in its cultural affinities and trade patterns, and maintains close relations with Greece. Since 1974, the foreign policy of the Government of Cyprus has sought the withdrawal of Turkish forces and the most favorable constitutional and territorial settlement possible. This campaign has been pursued prima-rily through international forums such as the United Nations. (See Political Conditions.) Turkey does not recognize the Government of Cyprus.

The Government of Cyprus enjoys close relations with Greece. Cyprus is expanding relations with Russia, Israel, Egypt, and Syria, from which it purchases most of its oil. Cyprus is a member of the United Nations and most of its agencies, as well as the World Trade Organization, the World Bank, International Monetary Fund, Council of Europe and the British Commonwealth. In addition, the country has signed the Multilateral Investment Guarantee Agency Agreement (MIGA).


U.S.-CYPRUS RELATIONS

The United States regards the status quo on Cyprus as unacceptable. Successive administrations have viewed UN-led inter-communal negotiations as the best means to achieve a fair and permanent settlement, but after the failure of the Greek Cypriots to approve the comprehensive settlement plan in April 2004, the path to a settlement is unclear.

The United States is working closely with Cyprus in the war on terrorism. A Mutual Legal Assistance Treaty, which has been in force since September 18, 2002, facilitates bilateral cooperation.

The United States has channeled $305 million in assistance to the two communities through bi-communal projects, the UN Office of Project Services, the UN High Commissioner for Refugees, and the Cyprus Red Cross since the mid-1970s. The United States now provides approximately $13.5 million annually to promote bi-communal projects and finance U.S. scholarships for Greek and Turkish Cypriots.

Principal U.S. Embassy Officials

NICOSIA (E) Address: Metochiou & Ploutarchou PO Box 24536 Engomi 2407 Nicosia Cyprus; APO/FPO: US Embassy Nicosia PSC 815 FPO AE 09836; Phone: 357-22-393-939; Fax: 357-22-780-944; INMARSAT Tel: 683-13-2645/6; fax: 683-13-2647; Workweek: M-F, 08:00 -17:00; Web-site: americanembassy.org.cy

AMB OMS:Ginny Phillips
DCM/CHG:Jane Zimmerman
DCM OMS:Carol Hazzard
POL:Matthew A. Palmer
CON:Henry H. Hand
MGT:Katherine A. Munchmeyer
AID:Thomas Dailey
CLO:Kathy Boukedes
CUS:Robert Granico
DAO:Steve G. Boukedes
DEA:Richard Hudon
ECO:Michael S. Dixon
EEO:Karen Rezek
GSO:Kurt J. Hoyer
ICASS Chair:Janet Newby
IMO:Robert P. McCumber
IPO:James Rezek
IRS:Fred Pablo (resident in Rome)
ISSO:James Rezek
PAO:Tom Miller
RSO:Joan Andrews
State ICASS:Matthew Palmer
Last Updated: 10/20/2005

TRAVEL

Consular Information Sheet

November 7, 2005

Country Description:

Cyprus is a developed Mediterranean island nation divided de facto into two areas. Facilities for tourism in the Republic of Cyprus are highly developed. The Republic of Cyprus joined the European Union in 2004.

Entry Requirements:

A passport is required for travel to Cyprus. A tour-ist and business entry stamp is issued at the port of entry for a stay of up to three months. For further information on entry requirements for Cyprus, travelers can contact the Embassy of the Republic of Cyprus at 2211 R Street NW, Washington, D.C. 20008-4082, tel. (202) 462-5772, or the Cypriot Consulate in New York at 13 East 40th St., 5th Floor, New York, N.Y. 10016, tel. (212) 686-6016/17.

Americans can generally enter the area administered by Turkish Cypriots with a valid passport for a stay of ninety days. However, the United States does not recognize or maintain diplomatic relations with the "Turkish Republic of Northern Cyprus."

Safety and Security:

Do not, under any circumstances, attempt to enter the U.N. buffer zone at any place other than a designated crossing point. This area is heavily mined and militarized.

Never photograph military installations or anything that could be perceived as being of security interest (especially in the north). Pay particular attention to areas marked with "no photography" signs. Police on both sides strictly enforce these restrictions.

For the latest security information, Americans traveling abroad should regularly monitor the Department's Internet web site at http://travel.state.gov where the current Travel Warnings and Public Announcements, including the Worldwide Caution Public Announcement, can be found. Up-to-date information on safety and security can also be obtained by calling 1-888-407-4747 toll free in the U.S., or for callers outside the U.S. and Canada, a regular toll-line at 1-202-501-4444. These numbers are available from 8:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday (except U.S. federal holidays).

Crime:

The crime rate in Cyprus is low but rising. Visitors in urban areas should take the normal precautions they would take in a large city. Americans frequenting bars should avoid so called "cabarets" which sometimes employ women brought to Cyprus for sexual exploitation. These establishments can also present foreign patrons with grossly inflated bar tabs, threatening those customers that refuse to pay.

Information for Victims of Crime:

The loss or theft abroad of a U.S. passport should be reported immediately to the local police and the nearest U.S. Embassy or Consulate. If you are the victim of a crime while over-seas, in addition to reporting to local police, please contact the nearest U.S. Embassy or Consulate for assistance. The Embassy/Consulate staff can, for example, assist you to find appropriate medical care, contact family members or friends and explain how funds could be transferred. Although the investigation and prosecution of the crime is solely the responsibility of local authorities, consular officers can help you to understand the local criminal justice process and to find an attorney if needed.

Medical Facilities and Health Information:

Medical care is available at both government hospitals and private clinics. Emergency Rooms offer adequate care to stabilize patients, most of whom are then transferred to private hospitals. Many of the private-sector doctors have been trained in the United Kingdom or the United States. While fees are generally lower than those in the United States, medical supplies are often more expensive. Paramedics do not staff most ambulances.

The World Health Organization considers Cyprus to be one of the health-iest areas of the Mediterranean. Water supplies are potable, and the refuse collection/sewage disposal system is adequate. Communicable diseases such as typhoid are rare. Respiratory ailments and allergies are sometimes exacerbated by the dry and dusty climate.

Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention's hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747) or via the CDC's Internet site at http://www.cdc.gov/travel. For information about outbreaks of infectious diseases abroad consult the World Health Organization's (WHO) web-site at http://www.who.int/en. Further health information for travelers is available at http://www.who.int/ith.

Medical Insurance:

The Department of State strongly urges Americans to consult with their medical insurance company prior to traveling abroad to confirm whether their policy applies overseas and whether it will cover emergency expenses such as a medical evacuation.

Traffic Safety and Road Conditions:

While in a foreign country, U.S. citizens may encounter road conditions that differ significantly from those in the United States. The information below concerning Cyprus is provided for general reference only, and it may not be totally accurate in a particular location or circumstance.

In recent years Cyprus has ranked among the top three countries in Europe, on a per capita basis, in traffic fatalities. Speeding, tailgating, overtaking, and the running of caution lights are commonplace and major causes of accidents. Emergency assistance is available in the Republic of Cyprus by calling 199.

There are few public buses and no rail lines. Taxis are widely available. Traffic moves on the left side of the road, British style, and modern motorways link the major cities. Secondary roads, especially in mountainous areas, tend to be narrow and winding, and they are not as well maintained as major highways. Traffic laws, signs and speed limits are consistent with the standards used throughout Europe. Traffic circles (roundabouts) are often utilized at major intersections.

The use of seat belts (in front seats) and child car seats is compulsory. Motorcyclists are required to wear helmets, and the use of cellular phones while driving is prohibited unless used with some form of hands-free kit. Liability insurance is mandatory.

Road safety conditions in the north are similar to conditions in the south, except that the road network is less developed. Insurance purchased in the Republic of Cyprus is not valid in the area administered by Turkish Cypriots, but it may be purchased near the U.N. "Buffer Zone" checkpoints. Emergency assistance is available in the north by calling 155.

Visit the website of the country's national tourist office and national authority responsible for road safety at http://www.visitcyprus.org.cy/ for specific information concerning Cyprus driving permits, vehicle inspection, road tax and mandatory insurance.

Aviation Safety Oversight:

As there is no direct commercial air service between the United States and Cyprus, the U.S. Federal Aviation Administration (FAA) has not assessed Cyprus' Civil Aviation Authority for compliance with ICAO international aviation safety standards. For more information, travelers may visit the FAA's Internet web site at http://www.faa.gov/safety/programs_initiatives/oversight/iasa.

Special Circumstances:

Since 1974, the Republic of Cyprus has designated Larnaca and Paphos international airports, and the seaports of Limassol, Larnaca, and Paphos, as the only legal points of entry into and exit from Cyprus. These ports are all in the government-controlled southern part of the island. Entry or exit via any other air or seaport is considered an illegal act by the Republic of Cyprus. Until recently, visitors choosing to arrive at non-designated airports and seaports in the area administered by Turkish Cypriots were not allowed to cross the United Nations-patrolled "green line" to the government-controlled areas in the south. In June of 2004, the Republic of Cyprus implemented new EU-related crossing regulations that allowed Americans (and citizens of other countries not requiring visas) to cross regardless of their port of entry into Cyprus. Americans are generally able to cross the green line without hindrance, although on occasion difficulties are encountered at both the Greek-Cypriot and Turkish-Cypriot checkpoints. Policy and procedures regarding such travel are subject to change. More information on current procedures may be obtained at the U.N. "Buffer Zone" Ledra Palace checkpoint in Nicosia.

In an effort to prevent international child abduction, many governments have initiated procedures at entry/exit points. These often include requiring documentary evidence of relationship and permission for the child's travel from the parent(s) or legal guardian if not present. Having such documentation on hand, even if not required, may facilitate entry/departure. Although Cyprus is party to the Hague Convention on the Civil Aspects of International Child Abduction, the Convention cannot be used effectively to recover a child abducted to the area administered by Turkish Cypriots.

Cyprus customs authorities enforce strict regulations concerning temporary importation into or export from Cyprus of items such as firearms. There are no restrictions on religious materials and medication for personal use. It is advisable to contact the Embassy of Cyprus in Washington, D.C. for specific information regarding customs requirements. In many countries around the world, counterfeit and pirated goods are widely available. Transactions involving such products are illegal and bringing them back to the United States may result in forfeitures and/or fines.

Cyprus restricts the export of Byzantine period ecclesiastical material and all archeological material. The U.S. Customs Service may impose corresponding import restrictions in accordance with the Convention on Cultural Property Implementation Act. Contact the Customs Service at (202) 927-2336 or on the Internet at http://exchanges.state.gov/culprop/ for further information. Cyprus customs authorities encourage the use of an ATA (Admission Temporaire/Temporary Admission) Carnet for the temporary admission of professional equipment, commercial samples, and/or goods for exhibitions and fair purposes. ATA Carnet Headquarters, located at the U.S. Council for International Business, 1212 Avenue of the Americas, New York, NY 10036, issues and guarantees the ATA Carnet in the United States. For additional information, please call (212) 354-4480, send an e-mail to [email protected], or visit http://www.uscib.org for details.

In addition to being subject to all Cypriot laws affecting U.S. citizens, individuals who also possess the nationality of Cyprus may also be subject to other laws that impose special obligations on citizens of Cyprus. U.S. citizens whom the Republic of Cyprus considers to be Cypriot citizens may be subject to compulsory military service and other aspects of Cypriot law while in Cyprus. Those who may be affected should inquire at the Cypriot Embassy regarding their status. U.S. citizens whom the Turkish-Cypriot authorities consider to be "citizens" may be subject to compulsory military service in the area administered by Turkish Cypriots. The U.S. Embassy is unable to exempt dual nationals from such service.

U.S. Citizens who buy or lease property, particularly in the area administered by Turkish Cypriots, may find their ownership challenged by people displaced in 1974. Prospective property buyers should seek legal advice before buying.

Criminal Penalties:

While in a foreign country, a U.S. citizen is subject to that country's laws and regulations, which sometimes differ significantly from those in the United States and may not afford the protections available to the individual under U.S. law. Penalties for breaking the law can be more severe than in the United States for similar offenses. Persons violating Cyprus' laws, even unknowingly, may be expelled, arrested or imprisoned. Penalties for possession, use, or trafficking in illegal drugs in Cyprus are strict, and convicted offenders can expect jail sentences and heavy fines. Engaging in illicit sexual conduct with children or using or disseminating child pornography in a foreign country is a crime, prosecutable in the United States.

Children's Issues:

For information on international adoption of children and international parental child abduction, see the Office of Children's Issues website at http://travel.state.gov/family/family_1732.html.

Registration/Embassy and Consulate Locations:

Americans living or traveling in Cyprus are encouraged to register with the U.S. Embassy through the State Department's travel registration website, https://travelregistration.state.gov, and to obtain updated information on travel and security within Cyprus. The U.S. Embassy is located at Metochiou and Ploutarchou Streets, Engomi, Nicosia. The telephone number within Cyprus is (22) 393 939. When calling from the U.S., dial 011 + (357) (22) 393 939. The Consular Section's fax number within Cyprus is (22) 776 841or 011 + (357) (22) 776 841 from the U.S. The e-mail address is: consular [email protected] The Embassy's website is http://www.americanembassy.org.cy.

The U.S. Government also maintains an office in the north at 6 Serif Arzik Street, Koskluciftlik, Nicosia. When calling from the U.S., dial 011+ (357) (22) 669-965 or fax to 011+ (357) (22) 679 014. When calling within northern Cyprus dial (22) 73 930 or fax to (22) 78 514.

Cyprus

views updated May 29 2018

Cyprus

1 Location and Size

2 Topography

3 Climate

4 Plants and Animals

5 Environment

6 Population

7 Migration

8 Ethnic Groups

9 Languages

10 Religions

11 Transportation

12 History

13 Government

14 Political Parties

15 Judicial System

16 Armed Forces

17 Economy

18 Income

19 Industry

20 Labor

21 Agriculture

22 Domesticated Animals

23 Fishing

24 Forestry

25 Mining

26 Foreign Trade

27 Energy and Power

28 Social Development

29 Health

30 Housing

31 Education

32 Media

33 Tourism and Recreation

34 Famous Cypriots

35 Bibliography

Republic of Cyprus
Kypriaki Dimokratia

CAPITAL: Nicosia

FLAG: The national flag consists of the map of Cyprus in gold set above two green olive branches on a white field.

ANTHEM: Ethnikos Hymnos (National Hymn), beginning “Se gnorizo apo tin kopsi” (“I recognize you by the keenness of your spade”).

MONETARY UNIT: The Cyprus pound (c£) is a paper currency of 100 cents. There are coins of 1, 2, 5, 10, 20, and 50 cents and 1 pound, and notes of 50 cents, and 1, 5, 10, and 20 pounds. c£1 = $2.12766 (or $1 = c£0.47) as of 2005. The Turkish lira (tl) of 100 kurus is the currency in the Turkish Cypriot zone.

WEIGHTS AND MEASURES: The metric system is the legal standard. Imperial and local measures also are used.

HOLIDAYS: New Year’s Day, 1 January; Epiphany, 6 January; Late President Makarios’ Day, 19 January; Greek Independence Day, 25 March; Cyprus National Day, 1 April; Labor Day, 1 May; Cyprus Independence Day, 1 October; Greek Resistance Day, 28 October; Christmas, 25 December; Boxing Day, 26 December. Holidays observed by the Turkish Cypriot community include Founding of the Turkish Federated State of Cyprus, 13 February; Turkish National Sovereignty and Children’s Day, 23 April; Turkish Youth and Sports Day, 19 May; Turkish Victory Day, 30 August; Turkish Independence Day, 29 October. Movable Christian religious holidays include Green Monday, Good Friday, Holy Saturday, and Easter Monday. Movable Muslim religious holidays are observed in the Turkish Cypriot zone.

TIME: 2 pm = noon GMT.

1 Location and Size

The Middle Eastern island of Cyprus is the third largest Mediterranean island, after Sicily and Sardinia. Its area is 9,250 square kilometers (3,571 square miles), about three-fourths the size of the state of Connecticut. Cyprus has a total coastline of 648 kilometers (403 miles). Since 1975, the northern third of the island, or 3,367 square kilometers (1,300 square miles), has been controlled by the Turkish Cypriot Federated State, which on 15 November 1983 proclaimed its independence as the Turkish Republic of Northern Cyprus; the southern two-thirds (5,884 square kilometers/2,272 square miles) are controlled by the government of the

GEOGRAPHICAL PROFILE

Geographic Features

Area: 9,250 sq km (3,571 sq mi)

Size ranking: 163 of 194

Highest elevation: 1,951 meters (6,401 feet) at Mount Olympus

Lowest elevation: Sea level at the Mediterranean Sea

Land Use*

Arable land: 11%

Permanent crops: 4%

Other: 85%

Weather**

Average annual precipitation: 33.9 centimeters (13.3 inches)

Average temperature in January: 10.6°C (51.1°F)

Average temperature in July: 28.1°C (82.6°F)

* Arable Land: Land used for temporary crops, like meadows for mowing or pasture, gardens, and greenhouses.

Permanent crops: Land cultivated with crops that occupy its use for long periods, such as cocoa, coffee, rubber, fruit and nut orchards, and vineyards.

Other: Any land not specified, including built-on areas, roads, and barren land.

** The measurements for precipitation and average temperatures were taken at weather stations closest to the country’s largest city.

Precipitation and average temperature can vary significantly within a country, due to factors such as latitude, altitude, coastal proximity, and wind patterns.

Republic of Cyprus. A narrow zone called the “green line,” patrolled by United Nations forces, separates the two regions and divides Nicosia, the national capital. Unless otherwise noted, all statistical data refer to that part of the island controlled by the government of the Republic of Cyprus (i.e., the Greek Cypriot zone).

The capital city of Cyprus, Nicosia, is located in the north-central part of the country.

2 Topography

Two diverse mountain systems, the Troodos Mountains in the southwest and the Kyrenia Mountains in the north, occupy the greater part of the island. The highest point is Mount Olympus at 1,951 meters (6,401 feet), located in the Troodos. The lowest point is at sea level (Mediterranean Sea).

Between the two principal mountain formations lies the Mesaoria, a low plain extending from Famagusta Bay on the east to Morphou Bay on the west. Once forested, this now treeless region contains the bulk of the island’s cultivable and pastoral area.

There are few lakes or rivers; rivers are little more than rocky channels that carry away torrents during the thaw of spring and early summer. The longest river is the Pedieos, with a length of 100 kilometers (62 miles).

3 Climate

Cyprus’s climate is mostly dry and sunny. The mean annual temperature is about 20°c (68°f). In winter, snow covers the higher peaks of the Troodos Mountains; elsewhere the temperature seldom falls below freezing. The annual average precipitation ranges from below 30 centimeters (12 inches) in the west-central lowlands to more than 114 centimeters (45 inches) in the higher parts of the southern massif (mountain mass).

4 Plants and Animals

Forests consist principally of Aleppo pine. Other important conifers, locally dominant, are the stone pine, cedar (which is becoming rare), Mediterranean cypress, and juniper, the last growing chiefly on the lower slopes of the Kyrenia Mountains. Oriental plane and alder are plentiful in the valleys, while on the hills, Olympus dwarf oak mingles with pines of various species. Wild flowers grow in profusion, and herbs are numerous.

Cyprus has few wild animals, but birdlife is varied and includes partridge, quail, snipe, plover, and woodcock. Eagles are commonly seen in the mountains.

5 Environment

The most significant environmental problems in Cyprus are water pollution, erosion, and wildlife preservation. The purity of the water supply is threatened by industrial pollutants, pesticides used in agricultural areas, and the lack of adequate sewage treatment. Other water resource problems include uneven rainfall levels at different times of the year and the absence of natural reservoir catchments. Another environmental concern is erosion, especially that of Cyprus’s coastline.

The expansion of urban centers threatens the habitat of Cyprus’s wildlife. According to a 2006 report, threatened species included 3 mammal species, 11 types of birds, 7 species of fish, and one plant species. About twenty species of plants are protected. The Cyprus mouflon, or wild sheep, is protected in the Paphos Forest game reserve.

6 Population

In 2005, the population for the whole of Cyprus (Greek and Turkish zones) was estimated at 965,000. The population for the year 2025 was projected at 1,087,000. The population density was estimated at 89 persons per square kilometer (153 per square mile). Nicosia, the capital, had an estimated population (Greek and Turkish zones) of 205,000 in 2005.

7 Migration

Cyprus suffered massive population shifts following the Turkish military occupation of the northern third of the island in July 1974.

About 120,000 Greek Cypriots fled from the occupied area to the south and about 60,000 Turkish Cypriots fled in the opposite direction. Throughout the 1970s and 1980s, most Greek Cypriot emigrants went to Australia, the United Kingdom, the United States, Canada, South Africa, or Greece. In the late 1980s, about 300,000 were living in seven foreign countries. In 2004, there were 210,000 internally displaced persons in Cyprus. In that same year, there were 531 refugees, and 10,028 asylum seekers. The estimated net migration rate for 2005 was 0.43 migrants per 1,000 people.

8 Ethnic Groups

After the 16th-century Turkish conquest, Cyprus received a large wave of people from Turkey. There was practically no intermarriage between Turks and Greeks, so each community has preserved its own religion, language, dress, and other national characteristics. Estimates in 2001 indicated that about 77% of the population are Greek and about 18% were Turkish. The remainder of the population included Lebanese Maronites, Armenians, British, and others.

9 Languages

After Cyprus’s independence in 1960, Greek and Turkish became the official languages. Since 1974, Greek has been the language of the south and Turkish the language of the north. English also is widely used.

10 Religions

According to a 2004 report, about 96% of the government-controlled area of Cyprus is Greek Orthodox. Nearly 99% of the Turkish Cypriots are Muslim, primarily of the Hanafi sect of Sunnism. Other faiths include Maronite Catholic, Armenian Orthodox, Roman Catholic, and Protestant denominations. Religion holds a significantly more prominent place in Greek Cypriot society than in Turkish Cypriot society.

The Church of Cyprus is one of the oldest bodies of the Holy Orthodox Eastern Church.

11 Transportation

Internal transport is exclusively by road. In 2003, there were 11,760 kilometers (7,315 miles) of roads in the Greek area and 2,350 kilometers (1,460 miles) of roads in the Turkish area. In 2003 there were 287,622 licensed private motor cars and 120,789 commercial vehicles.

Although off the main world shipping routes, Cyprus is served by passenger and cargo shipping lines. The Limassol and Larnaca ports have been modernized and are now considered good harbors. In 2005, there were 972 ships totaling 22,016,374 gross registered tons (GRT) in the merchant fleet. There are no inland waterways.

In 2001, a total of 1,503,400 passengers were carried on scheduled domestic and international flights. Cyprus Airways has services to Middle Eastern countries, but there is no regular internal air service.

12 History

Cyprus was famous in the ancient world for its copper, which, from about 2200 bc, was used in the making of bronze. The island is believed either to have derived its name from or to have given it to this mineral through the Greek word kypros (copper). Greek colonizers came to Cyprus in sizable numbers in 1400 bc, and were followed soon afterward by Phoenician settlers. In about 560 bc, Cyprus was conquered by Egypt and then in turn by Persia, Macedonia, Egypt again, Rome, and the Byzantine Empire.

Its Christian history began with the visits of Paul (as described in the Bible in the Acts of the Apostles). For several centuries after ad 632, Cyprus underwent a series of Arab invasions. The island was conquered by the English monarch Richard I (Richard the Lion-Hearted) during the Third Crusade. It was later transferred to Guy de Lusignan, under whose dynasty the island thrived for some three hundred years before it was conquered in 1489 by Venice and in 1571 by the Turks.

The administration of Cyprus by the United Kingdom began in 1878, under an agreement with Turkey. Upon the entry of Turkey into World War I (1914–18), Cyprus was added to the British crown. It was declared a crown colony and placed under a British governor in 1925.

For centuries, under Ottoman and British rule, Greek Cypriots had regarded Greece as their mother country and had sought union with it as Greek nationals. In 1931, this desire led to violence, which the British colonial administration stopped with severe repressive measures. At the close of World War II (1939–45) demands that the United Kingdom yield the island to Greece were renewed. The National Organization of Cypriot Fighters was led by Colonel George Grivas (a retired Greek army officer). They began a campaign of terrorism in 1955 in which more than 2,000 casualties were recorded.

The prime ministers of Greece and Turkey met in Zürich, Switzerland, early in 1959 in an attempt to reach a settlement. Unexpectedly, the Greek Cypriots set aside their demands for union with Greece and accepted instead proposals for an independent republic. The new republic would have representation from both the Greek and Turkish Cypriot communities. By 1 July 1960, an agreement was reached on all outstanding differences, and independence was officially declared on 16 August.

From the beginning, the two Cypriot communities differed on how the Zürich agreement would be carried out, and how much autonomy the Turkish minority would enjoy. Throughout the 1960s there were outbreaks of violence on the island. The United Nations (UN) maintained peace with a peacekeeping force of about 3,500 troops. In addition to the UN forces, both Greek Cypriot National Guard and Turkish Cypriot militia also maintained sizable troops of their own.

Although talks continued between the two communities, no agreement was reached on the two basic points of dispute. Politically, the Turks wanted full freedom, while the Greeks demanded a continued single majority rule. Territorially, the Turks wanted Cyprus divided into Greek-and Turkish-controlled zones, a position that clashed with the Greek Cypriot concept of a unified state.

When peace talks in Geneva broke down, a full-scale Turkish offensive began, and by mid-August, Turkish forces controlled about 38% of the island. On 13 February 1975, the Turkish-held area broke away and proclaimed itself the Turkish Cypriot Federated State.

After the partition, Greek and Turkish Cypriot leaders met several times under United Nations protection to explore a possible solution to the Cyprus problem, but no agreement was reached. On 15 November 1983, the Turkish sector proclaimed itself an independent state. It was named the Turkish Republic of Northern

BIOGRAPHICAL PROFILE

Name: Tassos Papadopoulos

Position: President of a republic

Took Office: 1 March 2003

Birthplace: Nicosia, Cyprus

Birthdate: 7 January 1934

Education: Received his legal education in London, England, and is described as an expert in constitutional law

Spouse: Photini Michaelides

Children: Four children: Constantinos, Maria, Nicolas, and Anastasia

Of interest: Papadopoulos speaks English in addition to Greek.

Cyprus (TRNC). However, only Turkey recognizes the TRNC. The United Nations, which condemned the TRNC’s declaration of independence, tried repeatedly to end the partition between north and south, but all proposals were rejected by both sides.

Talks between both sides have taken place at intervals since 1988. In 1991, the United Nations Security Council called on both sides to complete an overall framework agreement. To date no one has been able to find a solution to the problem. In 1997, both sides met in Geneva, but little progress was made. Also that year, the European Union (EU) made good on its promise to invite the Greek half of the island to join the trading block. Turkish-Cypriot leaders denounced the invitation.

In 1998 the Greek Cypriot government announced that it would purchase anti-aircraft missiles from Russia; the sale was seen as a provocative move that could escalate tensions with the Turkish-controlled part of Cyprus. In 1999, a decision was made to install the missiles on Crete, rather than Cyprus, thus diffusing the situation.

In November 2001, Turkey threatened to annex the northern part of the island if the Greek-Cypriot Republic of Cyprus joined the EU before a settlement was reached. In December 2002, the EU’s formal invitation to Cyprus to join the Union stated that by 28 February 2003, the two communities had to agree to a UN peace plan for reunification. Without reunification, only the Greek Cypriot part of the island would gain membership.

In November 2002, UN Secretary General Kofi Annan presented a peace plan for Cyprus, as a Swiss-style confederation of two equal states presided over by a rotating presidency. Talks on Annan’s reunification plan broke down on 11 March 2003, and Annan declared that the island’s two communities might not get a similar chance at peace for years. The Republic of Cyprus, remaining divided, signed the Accession Treaty for the EU on 16 April 2003, and joined that body in May 2004.

In February 2003 just before UN talks broke down, Tassos Papadopoulos won the presidential election. He defeated Glafcos Clerides, who had been president since 1993. Papadopoulos took office 1 March 2003.

In April 2005, Rauf Denktash retired as president of the Turkish area. Mehmet Ali Talat, who favored reunification, was elected as his successor.

13 Government

The 1960 constitution of the Republic of Cyprus respected the two existing ethnic communities, Greek and Turkish, by providing for representation from each in the government. The president must be Greek and the vice-president Turkish. Legislative authority was vested in the 80-member house of representatives, elected by the 2 chief communities in the proportion of 56 Greek and 24 Turkish. Only those seats assigned to Greek Cypriots are filled, however.

On 13 February 1975, after the Turkish invasion of Cyprus, the Turkish Cypriot Federated State (TCFS) was proclaimed in the northern part of the island, and Rauf Denktash became its president. A draft constitution was ratified by the Turkish Cypriot community in a referendum on 8 June. On 15 November 1983, the TCFS proclaimed itself the Turkish Republic of Northern Cyprus (TRNC), separate and independent from the Republic of Cyprus. In June 1985, TRNC voters approved a new constitution that embodied most of the old constitution’s articles. The TRNC has a legislative assembly made up of 50 members. In February 2003, Tassos Papadopoulos was elected president with 51.5% of the vote. He took office in March 2003. In 2005, Denktash retired from his post as president of TRNC, replaced by Mehmet Ali Talat.

Cyprus has six administrative districts.

14 Political Parties

The four principal political parties of the Greek community are the center-right Democratic Party (Demokratiko Komma; DIKO), the Progressive Party of the Working People (Anorthotikon Komma Ergazomenou Laou; AKEL), the right-wing Democratic Rally (Demokratikos Synagermos; DISY), and the Socialist Party, or Social Democrats Movement (Kinima Sosialdimokraton; KISOS, formerly Eniea Demokratiki Enosi Kyprou or EDEK). In the 2003 elections, AKEL won 18 seats, DISY 18, DIKO 11, KISOS 4, and other parties 9.

The Turkish Republic of Northern Cyprus held elections for a 50-seat Legislative Assembly on 14 December 2003, in which the Republican Turkish Party (CTP) won 19 seats, the National Unity Party (UBP) won 18 seats, the Peace and Democratic Movement Party won 6 seats, and the Democratic Party won 7 seats.

15 Judicial System

In the Greek Cypriot area, the Supreme Court is the final court of appeal and has final authority in constitutional and administrative cases.

In the Turkish-held area, a Supreme Court acts as a final appeals court, with powers similar to those of the Supreme Court in the Greek Cypriot area. In addition to district courts, there are two Turkish communal courts, as well as a communal appeals court.

16 Armed Forces

Under the Zürich agreement, Cyprus was to have an army of 2,000 men, of whom 60% were to be Greek and 40% Turkish. Subsequently, the government passed a military conscription law, enlisting men between the ages of 19 and 26 for 26 months of service. However, as of 2005, Cypriot armed forces remained divided between the Greek and Turkish zones. The Greek zone had a national guard comprised of 10,000 active personnel in 2005, which included maritime and aviation wings, and was backed by 60,000 reservists in all services, in addition to a 750-member paramilitary force. About 1,150 troops and advisors from Greece were stationed in the south in 2005. Military spending by the Greek Cypriot area in 2005 amounted to $280 million or 4.2% of gross domestic product (GDP).

On the Turkish side, there was an active army made up of 5,000 members. It was supported by 26,000 reservists, a paramilitary force of around 150 members, and a Turkish Army force of about 36,000.

17 Economy

The 1974 coup and the Turkish armed intervention badly disrupted the economy. Physical destruction and the displacement of about a third of the population reduced the output of the economy’s manufacturing, agricultural, and service areas. In general, the Greek Cypriot zone recovered much more quickly and successfully than the Turkish-held region, which was burdened with the weaknesses of Turkey’s economy as well as its own. In the south, tourism and foreign assistance have supported the economy.

Cyprus has been shifting from subsistence farming to an economy dominated by service industries. Large trade deficits have been offset in part by tourism and remittances from Cypriots working abroad. The Greek Cypriot economy has established itself as a business and service center for businesses engaged in shipping, banking, and commerce. Cyprus is now classified by the World Bank as a high-income country. In May 2004, the Greek Cypriot zone became a member of the European Union. It is unclear, however, what relationship it will have with the Turkish-occupied north which lags behind economically, and which has been heavily dependent upon transfers from the Turkish government.

In 2005, it was estimated that in the Greek zone, agriculture accounted for 4% of the gross domestic product (GDP), with industry accounting for about 20% of GDP, and the services sector 76%. For the Turkish zone in 2003, agriculture accounted for 10.6% of GDP, with industry accounting for 20.5% and services 68.9% of GDP.

Components of the Economy

This pie chart shows how much of the country’s economy is devoted to agriculture (including forestry, hunting, and fishing), industry, or services.

18 Income

In 2005, the Greek Cypriot area’s gross domestic product (GDP) was estimated at $16.82 billion (or $21,600 per person), and the Turkish Cypriot area’s GDP in that same year, was estimated at $4.54 billion (or $7,135 per person). The annual growth rate of GDP was estimated at 3.8% in the Greek Cypriot area in 2005, and at 15.48% in the Turkish Cypriot area in 2004.

19 Industry

Industries are numerous and small in scale, 95% of them employing fewer than ten workers. Manufacturing, encouraged by income tax breaks and protected by import tariffs, primarily involves the processing of local products for both export and the home market, or the production of consumer items including foods, beverages, apparel, plastic products, and tobacco products.

The leading products are textiles, shoes, cement mosaic tiles, and cigarettes. Major plants include modern flour mills, tire-treading factories, knitting mills, pre-processing facilities, and a petroleum refinery.

The contribution of industry in both parts of Cyprus to the gross domestic product (GDP) was generally the same, 20%.

20 Labor

In 2005, the size of Cyprus’s workforce was estimated at 370,000 in the Greek-controlled area and 95,025 in the Turkish-controlled northern area. Of those in the Greek region in 2004, the service sector accounted for 54.4% of the labor force, with 38.2% in industry, and 7.4% in agriculture. In the Turkish area, an estimated 56.5% were employed in the services sector, while industry accounted for 29%, and agriculture 14.5%. The unemployment rate in the Greek Cypriot area was 3.5% in 2005, while in the Turkish area it amounted to an estimated 5.6% in 2004. Trade unions represent employees in agriculture, forestry, fishing, mining, quarrying, construction, utilities, governmental services, trade, and general labor. In 2005, over 70% of Greek Cypriot workers belonged to trade unions, while 60% to 70% of Turkish of workers in the semi-public sector belonged to unions, with nearly all public-sector workers and 1% of private sector workers belonging to a union.

In 2005 the minimum wage in the Greek Cypriot community was $724 per month for practical nurses, shop and nursery, assistants, clerks, and hairdressers. In the same year, the Turkish Cypriot minimum wage was approximately $447 per month. These wages are not enough to support a family, but most workers earn more than this. The minimum working age in both communities is 16.

21 Agriculture

About 12.2% of the total land area is arable. Most farmers raise a variety of subsistence crops, ranging from grains and vegetables to fruits. Principal crops in 2004 included 94,000 tons of barley, 116,000 tons of potatoes, 80,860 tons of grapes, 30,000 tons of grapefruit, 35,000 tons of oranges, 25,000 tons of lemons, and 13,000 tons of wheat. Tomatoes, carrots, olives, and other fruits and vegetables are also grown. In 2004, agricultural products accounted for 24% of exports.

22 Domesticated Animals

Grazing land for livestock covers about 1,100 hectares (2,700 acres). Output of pork, poultry, and eggs meets domestic demand, but beef and mutton are imported. Sheep and goats, which feed upon rough grazing land unsuitable for cultivation, provide most of the milk products. In 2004, there were about 295,000 sheep, 491,800 hogs, and 460,000 goats.

Indigenous cattle are kept primarily as draft animals. There is no indigenous breed of dairy cattle, but near main towns, dairy stock are kept under stall-fed conditions and Friesian cattle have been imported from the Netherlands and the United Kingdom. In 2004, cattle numbered about 58,500. Livestock products in that same year included 53,000 tons of pork, 35,000 tons of poultry meat, 108,248 tons of milk, and 12,300 tons of eggs.

23 Fishing

Year-round fishing takes place mostly in coastal waters not more than 3.2 kilometers (2 miles) from shore. The fish in Cyprus waters are small from the lack of nutrient salts and the catches are meager. The 2003 catch was 3,612 tons. Fish exports in 2003 were valued at $4.7 million. There is no deep-sea fishing. Sponges of good quality are found, mostly by licensed fishermen from the Greek Dodecanese Islands.

24 Forestry

About 172,000 hectares (425,000 acres) are forested, with 137,800 hectares (340,500 acres) of reserves managed by the Forest Department. The remainder contains natural growths of poor scrub used by village communities as fuel and as grazing grounds. Besides furnishing commercial timber, the forests provide protective cover for water catchment areas and prevent soil erosion. Their value is also scenic, as numerous holiday resorts are situated in the forest reserves.

Most numerous by far among forest trees is the Aleppo pine. The stone pine is found on the highest slopes of the Troodos Massif. The cedar, once a flourishing tree, has become a rarity. In the lowlands, eucalyptus and other exotic hardwoods have been introduced. Other important local species include cypress, plane, alder, and golden oak.

The timber cut in 2003 totaled 12,000 cubic meters (42.3 million cubic feet), about 90% of it coniferous. Most of Cyprus’s timber requirements must be met by imports. In 2003, imports of forestry products exceeded exports by $93.3 million.

25 Mining

In 2004, the mineral industry of Cyprus was dominated by the production of bentonite,

Yearly Balance of Trade

The balance of trade is the difference between what a country sells to other countries (its exports) and what it buys (its imports). If a country imports more than it exports, it has a negative balance of trade (a trade deficit). If exports exceed imports there is a positive balance of trade (a trade surplus).

cement, sand and gravel, and stone. In that same year, mineral production accounted for about 0.3% of gross domestic product (GDP), which was estimated at $14.5 billion in 2004. The ownership and control of Cyprus’s minerals and quarrying materials is vested in the government, which may grant mining leases, quarrying licenses and prospecting permits. Preliminary production figures for 2004 included 1.68 million metric tons of hydraulic cement, 155,717 metric tons of bentonite, 11.6 million metric tons of sand and gravel, 255,000 metric tons of crude gypsum, 2.29 million tons of marl (for cement production), and 1.2 million tons of crushed limestone. Other mine and quarry products for 2004 were common clays, hydrated lime, marble, building stone, and sulfur.

Production of Cyprus’s historically important export minerals, such as asbestos, celestite, chromite, copper, and iron pyrite, has ceased.

26 Foreign Trade

With limited natural resources, Cyprus is dependent on other countries for many of its needs. Principal export products are tobacco, medicinal and pharmaceutical products, motor vehicles, vegetables, fruit, and apparel. Imports reflect the heavy demand for fuels and lubricants, machinery, and other manufactured items, as well as for foods and chemicals.

Exports by the southern, or Greek portion of Cyprus, were valued at $1.1 billion in 2004, while the northern, or the Turkish Cypriot portion, totaled $49.3 million in that same year. Imports by the Greek portion were valued at $5.3 billion, while the Turkish controlled section’s imports were valued at $415 million.

Greece, the United Kingdom, Germany and Italy were the southern portion’s most important trading partners. Turkey was the most important trading partner for the northern section. The lack of international recognition for the Turkish Cypriots severely hampers their foreign trade.

27 Energy and Power

In the Greek portion of Cyprus, the principal source of power is steam-generated electricity, which is created by the burning of fossil fuels. Distribution is handled by a semigovernment corporation called the Electricity Authority of Cyprus (EAC). In 2003, the southern portion of Cyprus produced 4 billion kilowatt hours in 2003. There was no data available on how much

Selected Social Indicators

The statistics below are the most recent estimates available as of 2006. For comparison purposes, data for the United States and averages for low-income countries and high-income countries are also given. About 15% of the world’s 6.5 billion people live in high-income countries, while 37% live in low-income countries.

IndicatorCyprusLow-income countriesHigh-income countriesUnited States
sources: World Bank. World Development Indicators. Washington, D.C.: The World Bank, 2006; Central Intelligence Agency. The World Factbook. Washington, D.C.: Government Printing Office, 2006; World Resources Institute, Washington, D.C.
Per capita gross national income (GNI)*$22,230$2,258$31,009$39,820
Population growth rate0.5%2%0.8%1.2%
People per square kilometer of land89803032
Life expectancy in years: male75587675
female80608280
Number of physicians per 1,000 people2.30.43.72.3
Number of pupils per teacher (primary school)n.a.431615
Literacy rate (15 years and older)97.6%65%>95%99%
Television sets per 1,000 people38484735938
Internet users per 1,000 people37028538630
Energy consumed per capita (kg of oil equivalent)3,1095015,4107,843
CO2 emissions per capita (metric tons)8.850.8512.9719.92
* The GNI is the total of all goods and services produced by the residents of a country in a year. The per capita GNI is calculated by dividing a country’s
GNI by its population and adjusting for relative purchasing power.
n.a.: data not available >: greater than <: less than

electric power was produced by the northern, or Turkish, portion.

Cyprus does produce a small amount of crude oil, estimated in 2004 at 300 barrels per day. However, the majority of its petroleum needs are met by imports. There are no known reserves of coal on the island, thus all coal needs must be met by imports.

All towns and most villages were supplied.

28 Social Development

A social insurance and old age pension system is in effect for all employed and self-employed persons. It provides unemployment and sickness benefits; old age, widows’, and orphans’ pensions; maternity benefits; missing persons’ allowances; and injury and disability benefits. There is a universal system for a family allowance and child benefits.

Women have the same legal status as men, but women’s groups maintain that the divorce law discriminates in favor of men. There have been reports of “honor” crimes, where a woman is victimized by relatives in retaliation for “dishonoring” the family. Spousal abuse is a serious social problem, and a law passed in 2000 mad it easier to report and prosecute family violence.

29 Health

In 2004, there were an estimated 230 physicians, and 485 nurses per 100,000 people in the country. There are both public and private medical facilities, including about 50 rural health centers. About 95% of the population had access to health care services, and 100% had access to safe water.

The island has a low incidence of infectious diseases, but hydatid disease (echinococcosis) is widespread. Malaria and thalassaemia have been eradicated. As of 2004, the number of people living with human immunodeficiency virus/acquired immunodeficiency syndrome (HIV/AIDS) was put at around 1,000 people.

The average life expectancy in 2005 was 77.65 years.

Village homes in Cyprus are generally constructed of stone, mud bricks, and other locally available materials; in the more prosperous rural centers, there are houses of burnt brick or concrete. The total number of housing units grew from about 75,000 in 1976 to about 138,000 in 1994.

According to a 2001 census, there were about 292,934 conventional dwellings across the country. Nearly 43% were single, detached houses; another 20% were apartment blocks. Most dwellings have from four to seven rooms. The average household contained three people.

31 Education

Since 1959, the Greek and Turkish communities have been responsible for their own school systems. In the Republic of Cyprus (the Greek portion) education is compulsory for nine years, with children attending six years of primary school and six years of secondary. The pupil-teacher ratio at the primary level averaged 19 to 1 in 2003; no later statistics were available. About 96% of primary-school-age children were enrolled in school, while around 93% of those eligible attended secondary school in that same year.

In the Turkish region, primary and secondary education is free and mandatory. Primary education lasts for five years, with secondary education lasting for three years.

There are a combined total of seven universities on the island of Cyprus, of which six are in Turkish-controlled areas and one in the Greek sector. In 2003, about 32% of age-eligible students in the Greek area were enrolled in some type of higher education program. In 2005, the adult literacy rate was estimated at 97.6%.

32 Media

The Cyprus Telecommunications Authority (CTA) operates the internal communications system and connects Cyprus with more than 67 other countries. In 1980, its first telecommunications satellite, Makarios, was placed in earth orbit. In 2002, there were an estimated 427,400 mainline telephones in use in the Greek Cypriot sector and 86,228 in the Turkish Cypriot area. The same year there were 417,900 cellular phones in use in the Greek Cypriot area and, 143,178 in the Turkish area.

The Cyprus Broadcasting Corp. (CBC) maintains regular service. Radio programming in both AM and FM is transmitted in Greek, Turkish, Arabic, and English. The CBC has two channels and licenses have been granted to four private stations (one of them cable) since April 1993. The main television transmitting station is located on Mount Olympus. Since 1980, the television service has been linked via satellite with the Eurovision network for live transmission of major events in Europe. As of 1998 (the latest year for which data was available), the Greek sector had 7 AM and 60 FM radio stations, while the Turkish sector had 3 AM and 11 FM stations. In 1995 (the latest year for which data was available), each area had four television stations. In 1997 (the latest year for which data was available), the Greek Cypriots had about 310,000 radios and 248,000 televisions in use throughout their area. In 2004, there were an estimated 384 television sets per 1,000 population. Nationwide in 2004, there were 370 Internet users per 1,000 population.

Nicosia has traditionally been the publishing center for the island and the editorial headquarters of nearly all the daily newspapers and weeklies. There is no censorship in the south and newspapers are outspoken on political matters. The following are the major daily newspapers (with estimated 2002 circulations): O Phileleftheros (Greek), 26,000; Kibris (Turkish), 13,000; Althia (Greek), 11,000; Haravghi (Greek, Communist), 9,000; and I Simerini (Greek), 9,000. The Cyprus Mail is an English-language Independent conservative paper with a circulation of about 4,000.

Freedom of speech and the press are mandated by law and are said to be fully supported by the government. Private television and radio stations and university-run stations compete successfully with the government-controlled stations.

33 Tourism and Recreation

Although Cyprus is located off the main routes of travel and has few luxury hotels, the island’s pleasant climate, scenic beauty, extensive roads, and rich historic sites have attracted numerous visitors.

In 2003 there were 46,706 hotel rooms and 91,139 beds available, primarily located in the larger towns on the coasts. In that same year, a total of 2.3 million tourists visited Cyprus, about 95% of which came from Europe. Tourism generated $2.2 billion in receipts.

34 Famous Cypriots

The most widely known Cypriot in the pre-Christian world was the philosopher Zeno (335?-263? bc), who preached a philosophy of stoicism (the belief that human beings should be free of passion and accept all things that happen to them as the result of divine will). Makarios III (1913–1977), archbishop from 1950 and a leader in the struggle for independence, was elected the first president of Cyprus in December 1959, and reelected in 1968 and 1973. The poet Osman Türkay (1927–2001) has works published in more than thirty languages and was nominated for the Nobel Prize in Literature in 1988.

35 Bibliography

BOOKS

Borowiec, Andrew. Cyprus: A Troubled Island. Westport, CT: Praeger, 2000.

Fox, Mary Virginia. Cyprus. Chicago: Children’s Press, 1993.

Karageorghis, Vassos. Early Cyprus: Crossroads of the Mediterranean. Los Angeles: J. Paul Getty Museum, 2002.

Spilling, Michael. Cyprus. New York: Marshall Cavendish, 2000.

WEB SITES

Aquastat. www.fao.org/ag/Agl/AGLW/aquastat/countries/cyprus/index.stm. (accessed on January 15, 2007).

Commonwealth Country Profiles. www.thecommonwealth.org/Templates/YearbookHomeInternal.asp?NodeID=138423. (accessed on January 15, 2007).

Country Pages. www.state.gov/p/eur/ci/cy/. (accessed on January 15, 2007).

Government Home Page. www.cyprus.gov.cy. (accessed on January 15, 2007).

World Heritage List. whc.unesco.org/en/statesparties/cy. (accessed on January 15, 2007).