Cyprus: Terrorism, Homeland Security & Defence

The Cyprus Bar Association has issued its first Guidelines on Business-Wide Risk Assessment (BWRA), establishing a comprehensive framework for supervised entities to identify and mitigate money laundering, terrorist financing and sanctions risks. These guidelines provide practical direction for compliance with the new EU Anti-Money Laundering Regulation ahead of its July 2027 implementation deadline, outlining methodologies for risk assessment, control evaluation and ongoing monitoring requirements.

Cyprus has enacted its first foreign direct investment screening regime, establishing mandatory notification and approval requirements for certain foreign investments that may impact national security or public order. The new law introduces a comprehensive framework covering sensitive sectors and sets out clear timelines, conditions, and penalties for compliance.

Cross-border investment has long been one of the most powerful engines of economic integration, shaping markets, supply chains and corporate strategies across jurisdictions.

In a recent article, we explored the European Union's extensive Anti-Money Laundering (AML) framework, which is designed to harmonize regulations across Member States and strengthen the fight against money laundering and terrorist financing.

The Cyprus Securities and Exchange Commission (CySEC) introduced a Policy Statement CP-02-2020 which is a transformative regulatory framework aimed at modernizing customer onboarding in the financial services factor.

The following legislation has been published in the Official Journal of the European Union on 19 June 2024...

Cyprus has elevated its ultimate beneficial owner (UBO) reporting status by implementing all of the mechanisms for the creation, operation and maintenance of a UBO register.

Cyprus has become an international business centre mainly due to its tax system, its strategic geographical location and the advanced professional services sector.

Following the on-site visit carried out by the Committee of Experts on the Evaluation of Anti-Money Laundering Measures and the Financing of Terrorism to the Republic of Cyprus from the 13th of May 2019 to the 24th of May 2019 ...