Low Interest Rates Tempt Investors to Cyprus

Article Date : 17 January 2008
News Section: Cyprus

Interest rate cuts in Cyprus could serve to attract more foreign property buyers to the country, a newspaper has stated.

Cyprus became a member of the single European currency at the beginning of the year, adopting the same rate of interest applied across the eurozone.

This has prompted the Telegraph to speculate that the new rate of four per cent could help enhance the island's appeal as an investment market to foreign buyers.

The newspaper commented: "Property values there look set to start increasing as more buyers take advantage of the new rates."

In addition, it said that during the two weeks since Cyprus joined the euro, the currency had "already" had a positive impact on its economy.

Earlier this week, EU monetary affairs commissioner Joaquin Almunia congratulated the island's population for giving the euro a "warm welcome" since it entered circulation on New Year's Day.