The high level of Cyprus-India relations is confirmed by India's High Commissioner to Cyprus, Mr Manish, in an interview with Politis, on the occasion of a seminar on India's new tax legislation.
The upgrade of Cyprus-India relations to a Strategic Partnership is creating new prospects in investment, financial services, shipping and technology, Mr Manish says. Referring to the seminar held in Nicosia on India's new tax legislation, he explains how recent reforms are increasing the attractiveness of the Indian market, highlights Cyprus' role as a strategic gateway to Europe and confirms the growing interest of Indian businesses in using Cyprus as a base for expansion into the European and wider regional market.
Indicative of the strength of bilateral economic relations is the fact that Cyprus is among the largest foreign investors in India, with direct investments exceeding $164 billion during the period 2000-2026.
How is India's new tax legislation reshaping the investment landscape following its implementation on 1 April 2026?
The event was organised in response to a very practical need. This reform directly concerns businesses, investors, accountants, lawyers and advisers in Cyprus who work with India.
Following Prime Minister Narendra Modi's historic visit to Cyprus in June 2025 and the subsequent official visit of President Nikos Christodoulides to India in May 2026, our bilateral relations have moved from the stage of goodwill to that of structured implementation. The two countries have now upgraded their relationship to a Strategic Partnership, with a clear emphasis on trade, investment, financial services, maritime cooperation, technology, innovation and connectivity.
Within this context, the seminar serves two main objectives. First, it provides Cyprus' business and professional community with up-to-date knowledge regarding India's tax and regulatory framework, thereby reducing information barriers that hinder market entry. Second, it strengthens confidence that India is committed to simplification, transparency and facilitating business activity.
India has always been an attractive investment destination. Cyprus knows this. Over the past 25 years, Cyprus has been one of the largest foreign direct investors in India. The new Income Tax Act of 2025 makes India an even more attractive destination. India is where growth is taking place. India is where reforms are being implemented.
We all know how complex direct taxation is. Through this reform, the government has demonstrated that India is prepared to invest time, effort and resources in simplifying even the most complex pillars of the Indian ecosystem.
Cyprus has historically served as a gateway for investments into India. How do you see this role evolving in today's changing geopolitical and economic environment?
I believe India-Cyprus relations are entering a particularly promising period. What we are witnessing is the emergence of a genuine economic and strategic corridor between India, Cyprus and Europe.
The first important area of opportunity is financial services, investment structuring and asset management. Cyprus has long-standing advantages in legal, accounting, fiduciary and financial services within the EU regulatory framework. India, on the other hand, is one of the world's fastest-growing major economies and continues to attract substantial foreign investment in infrastructure, manufacturing, services, technology and financial markets.
The second important area is shipping, maritime services and logistics. In my view, this is one of the least explored but strategically significant sectors in the bilateral relationship. Cyprus is one of the world's leading maritime centres and offers a sophisticated ecosystem of maritime services. India is investing heavily in ports, logistics, shipbuilding, multimodal transport and maritime connectivity.
Both sides have identified maritime cooperation as a strategic pillar, including the possibility of Cyprus serving as a European maritime gateway and operational base for India's maritime interests.
A third area is technology, innovation and digital cooperation. The recent bilateral agreements on innovation and technology, as well as the growing interest in cooperation between start-ups, send important signals. Cyprus is actively positioning itself as a gateway to Europe for Indian technology and artificial intelligence companies, while India offers scale, talent, digital public infrastructure and an exceptionally dynamic start-up ecosystem.
The fourth area is professional services and talent mobility. India has a very large pool of highly skilled professionals in technology, finance, law, engineering and management. Cyprus, as a growing services and business hub, can benefit from structured cooperation in skills, accounting, consultancy services and knowledge-intensive sectors.
Recent institutional cooperation between professional bodies and ongoing discussions regarding mobility frameworks can further strengthen this dimension.
Are you seeing interest from Indian companies in using Cyprus as a strategic base for expansion into Europe and the Eastern Mediterranean? If so, in which sectors?
Yes, we are observing growing and increasingly serious interest in Cyprus as a strategic platform for Indian businesses seeking to engage with Europe and the Eastern Mediterranean.
This is due to a combination of factors: Cyprus' status as an EU member state, its geographical location at the crossroads of Europe, West Asia and North Africa, its strong professional and financial services ecosystem, and the momentum being generated in relations between India and Cyprus.
The sectors where opportunities are most evident are, first, financial services and investment fund structures. Cyprus has long-standing strengths in cross-border structuring, fund management, professional services and investment platforms, and these are areas in which Indian businesses and investors are increasingly looking abroad.
Second, there is growing interest in technology, digital services and innovation-based businesses, especially where Indian companies seek an EU-compliant base from which to serve European clients. We also see potential in hospitality and tourism-related businesses, as well as in the fields of human resources and dual-use technologies.
What has changed over the last year is that Cyprus is no longer viewed solely as a financial jurisdiction in the narrow sense of the term. It is increasingly being seen as a strategic gateway economy capable of connecting Indian businesses with European markets, capital and partnerships.
At a time of global geopolitical uncertainty, how is India positioning itself as a reliable economic and strategic partner for Europe?
India's approach is based on three characteristics: reliability, strategic autonomy and capability.
First, India offers reliability on a large scale. It is one of the world's fastest-growing major economies, a large rules-based democratic market, and an increasingly important source of talent, technology, pharmaceuticals, digital innovation and manufacturing capacity. For Europe, this makes India a long-term economic partner for diversification and resilience.
Second, India offers strategic autonomy combined with constructive engagement. India maintains relations with different regions and major powers, but always on the basis of its own national interest and a committed adherence to sovereignty, dialogue and stability. In an uncertain world, this gives India credibility as a partner that is stable, pragmatic and capable of cooperating across dividing lines.
Third, India is investing in connectivity and reliable economic partnerships. Whether one looks at the India-EU trade agenda, resilient supply chains, digital cooperation, clean-energy partnerships, semiconductor ecosystems or emerging connectivity initiatives linking India to Europe, the underlying message is the same: India seeks to participate in building a more diversified and less vulnerable economic order.
