Cyprus Investment Programme

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Shon Mosley
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1 Cyprus Investment Programme September 2018

2 Cyprus - An ideal location for a personal / business base Cyprus is the 3rd largest island in the Mediterranean with an estimated population of The strategic location of the island helped to establish Cyprus as a business hub and a very attractive tourist destination Strong availability of multilingual, high quality professionals across various competencies, mainly UK and US educated Cyprus has the highest percentage of University graduates per capita in Europe Workforce Location EU Member International Business Cyprus has been a Member State of the EU since 2004 Cyprus is an ideal base for Regional Headquarters Cyprus has a modern transparent and efficient tax system Pro-business legal framework modelled on the English Common law system Corporate tax rate of 12.5%. Strong double tax treaty framework with more than 60 countries Cyprus offers excellent healthcare services with a large number of public and private hospitals Cyprus has been historically offering high quality international schooling from kindergarten to university Healthcare & Education Cyprus offers a combination of a strong business environment and a great lifestyle Cyprus is ranked as the 5th safest country in the world It is the sunniest country in Europe with over 324 days of sun annually Lifestyle Infrastructure Company Set up Very easy to set up a company in Cyprus Very easy to operate a company in Cyprus (i.e. dividend distribution, e-participation in board meetings, redomicile, set up a joint venture etc) Cyprus has a highly developed infrastructure (i.e. technology and telecommunication) Air transport links have been growing and today more than 70 airlines fly to and from Cyprus Economic Criteria Investment type Investment of 2M (excl. VAT) Residential property of * (excl. VAT) Total Investment (excl. VAT) A.1 Investment in real estate, land development and infrastructure projects - Residential properties* 2M - Commercial properties / Land development / Developments in the tourism sector / Combination A.2 Purchase or Establishment or Participation in Cypriot Companies or Businesses A.3 Investment in Alternative Investment Funds or financial assets of Cypriot companies / organizations licensed by CySec A.4 Combination of the aforementioned investments - including investments in special Government Bonds of the Republic of Cyprus up to *At least one residential property must be at the cost of (excl. VAT)

Legal Basis of the Programme On the basis of the relevant Council of Ministers Decision (dated 13.09.

Subsequent relevant Council of Ministers Decisions: 01.2018 and 05.2018. PwC is a Registered Citizenship Service Provider in the Registry of Citizenship Service Providers with Reg. No. 221.

3 Legal Basis of the Programme On the basis of the relevant Council of Ministers Decision (dated ), non-cypriot Investors can acquire the Cyprus Citizenship by Naturalization (by exception on the basis of the Civil Registry Laws of ). Subsequent relevant Council of Ministers Decisions: and PwC is a Registered Citizenship Service Provider in the Registry of Citizenship Service Providers with Reg. No Terms and Conditions of the Programme Adult applicants must hold a Residence Permit in Cyprus for at least 6 months prior to acquiring the Cyprus Citizenship Applicants must hold a permanent residence in Cyprus of minimum (excl. VAT). The residence must be kept for life Additionally, adult applicants must hold a Clean Criminal Record from the country of origin and the country of residence, if they differ. Their names must not be included in the list of persons whose property is ordered to be frozen within the EU Investments need to be kept for at least three years from the date of Naturalisation. In case of purchase of immovable property under construction, the 3-year period will start to count from the date of issuance of the Planning Permit Key Information The final approval for Citizenship is granted by the Cyprus Council of Ministers, which has complete discretionary power A threshold of 700 approvals per year is in force (main applicants) The review process by the Competent Authorities is around 6 months The investor and the Service Provider supporting him/her, must comply with the Code of Conduct governing the Cyprus Investment Programme Main applicant and his/her spouse apply jointly. Upon approval, the applications of the children and main applicants parents follow A due diligence report on adult applicants must be submitted as part of the application Investments need to be concluded with fresh funds from abroad Upon completion of an eligible investment by a Cyprus company, a high-ranking senior manager employed in this company may apply for Citizenship. He/she must receive such a remuneration that generates for the Republic tax revenue of at least for a 3-year period, and he/she buys a permanent residence of (excl. VAT)

Our A-Z core offering includes Advise on the required economic criteria and conditions, required steps and application requirements Advise and assist the applicant to comply with the requirements of

4 Our A-Z core offering includes Advise on the required economic criteria and conditions, required steps and application requirements Advise and assist the applicant to comply with the requirements of the Programme and the Code of Conduct Complete a comprehensive due diligence review on the applicant Assist with identifying options for investment for all eligible economic criteria Undertake legal overview of purchase agreement and / or of relevant documents Complete a due diligence on the permanent residence / other real estate chosen Assist with examining tax implications arising from the investment Pre-clear issues as required prior to finalising the investment Assist with setting up vehicles to hold the investments Assist with the execution of all investments including liaison with banks Assist with the preparation of required documents and the application pack in line with the required quality standards On-going monitoring of the application and briefing of the investor When approval by the Council of Ministers is granted, personal support to the investor and his/her family in obtaining the Cyprus Passport and Identity Card We can also support you on the below:* Identify and select the most suitable Alternative Investment Funds ( AIFs ) approved for the Programme, or other eligible investments in financial instruments, and provide administrative support to execute such investment(s). These services shall be provided by the PricewaterhouseCoopers Investment Services (Cyprus) Ltd High level analysis of a sector/industry(ies) in Cyprus, the investor is interested to invest in. Identification of suitable targets eligible for the Programme and introducing these to the investor. Provide assistance to the investor on the buy side process Structuring of investments in a tax and VAT efficient manner Prepare and submit to the authorities, the application for the 5% VAT deduction approval Assist to assess the further use of Cyprus as a business base (examining your structures, substance etc) and/or as a personal base (assessing your case vis a vis available tax regimes in Cyprus such as the non-doms tax status) *The above list is non-exhaustive

What we bring to you Objective and independent advice Specialised advice on all core areas offered by our dedicated teams: PricewaterhouseCoopers Investment Services (Cyprus) Ltd, a Cyprus Investment

5 What we bring to you Objective and independent advice Specialised advice on all core areas offered by our dedicated teams: PricewaterhouseCoopers Investment Services (Cyprus) Ltd, a Cyprus Investment Firm licensed by CySec S.A. Evangelou & Co LLC ( Legal Services) RICS Real Estate Qualified Consultants Immigration, Tax, Funds, Private Wealth and International Private Clients experts Significant experience with all economic criteria Large number of cases approved and a 100% success track record Transparency and credibility with the Competent Authorities

6 In addition to Citizenship Services, the PwC Multi-Family Office (MFO) team offers a cost efficient solution that covers all circles of family wealth Assistance in the design/review of Investment Policy Statement Investment manager procurement Investment manager monitoring & evaluation Consolidated wealth reporting Proprietary credit methodology to assess counterparty/strength analysis Treasury services Succession planning Family governance Family education Corporate and international tax planning and asset protection Estate planning Asset and gift planning Charity and philanthropy services Luxury assets advice (e.g. art, yacht and aircraft investments) Investment services Specialised advice and advanced planning PwC MFO Compliance reporting and monitoring Lifestyle services Integrated services related to all aspects of the corporate cycle of establishment, staffing, accounting to compliance Compliance reporting Secure physical safekeeping of documents Budget and cash flow management Wealth reporting & monitoring Provision of support on immigration compliance and set up of a local office Concierge /Pathfinder services Talk to us Theo C Parperis Partner Head of Tax & Legal theo.parperis@pwc.com Tony Hadjiloucas Partner In charge of Private Wealth Services tony.hadjiloucas@pwc.com Phryni Yiakoumetti Director Private Wealth Services phryni.yiakoumetti@pwc.com PricewaterhouseCoopers Ltd PwC Central, 43 Demostheni Severi Avenue, CY-1080 Nicosia, Cyprus P O Box 21612, CY-1591 Nicosia, Cyprus Tel: , Fax: City House, 6 Karaiskakis Street, CY-3032 Limassol, Cyprus P O Box 53034, CY-3300 Limassol, Cyprus Tel: , Fax: PricewaterhouseCoopers Ltd, is a Registered Service Provider (No. 221) eligible to provide Citizenship Services. Please refer to the website of the Ministry of Interior for further information issued by their end The above are in accordance with the Council of Ministers relevant Decisions and any other official documents issued by the Competent Authorities. This content is for general information purposes only, and should not be used as a substitute for consultation with professional advisors PricewaterhouseCoopers Ltd. All rights reserved. PwC refers to the Cyprus member firm, and may sometimes refer to the PwC network. Each member firm is a separate legal entity. Please see structure for further details.

Citizenship by Investment in Cyprus

Citizenship by Investment in Cyprus July 2017 New attractive legislation is in place which makes obtaining the Cyprus/EU Citizenship even easier. The relevant scheme grants approvals within 3-6 months.