Companies

Parliament to probe dropping of corruption cases

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Parliament to probe dropping of corruption cases

Parliament is set to hold hearings on the termination of disciplinary proceedings against contractors previously implicated in corruption and bribery. Akel MP Irini Charalambidou, who is on the House ethics committee, plans to discuss the matter soon. The Contractors Council, responsible for registering and overseeing contractors, recently decided to end disciplinary actions against companies involved in the Paphos sewerage board (Sapa) scandal. In 2015, the Paphos criminal court found the town’s mayor and several municipal councillors guilty of accepting bribes. Two companies, Medcon and Nemesis, were implicated but received immunity for testifying for the prosecution. Medcon still has an active license with ‘A’ status, while Nemesis is no longer listed under that name. The Contractors Council initiated a disciplinary investigation in 2016 but did not complete it. The new board of the Contractors Council dropped the probe in early February, citing the passage of time and potential abuse of process. Paphos Mayor Phedonas Phedonos has urged the attorney-general’s office to investigate why the disciplinary probe was not completed. The Contractors Council had a damning dossier on the implicated contractors since February 2016. The council’s board is appointed by the cabinet and includes officials from the Public Works Department and a senior state’s attorney.

Vafeadis: The photo labeling measure is effective – From 800 to 200 complaints per day

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Vafeadis: The photo labeling measure is effective - From 800 to 200 complaints per day

The Minister of Transport, Communications and Works, Alexis Vafeiadis, emphasized the importance and effectiveness of the photo-enforcement system in improving road safety and reducing fatal road accidents. The Council of Road Safety was informed that the number of complaints regarding the system has decreased from 800 per day to an average of 200 per day in the last quarter of 2022. There was a discussion about the operational issues with the photo-enforcement system and the need for better public information. Measures will be taken to improve the system's functionality and signage. The practical implementation of the legislation for e-scooters and the monitoring of rental companies and usage were also discussed. The Minister proposed expanding the 30 km/h speed limit zones to promote safe use of personal mobility devices and will take initiatives to implement relevant applications. The need for modifications to the legislation will be evaluated in collaboration with the Union of Municipalities.

Natural gas exports from Cyprus to Egypt , ‘key’ for energy relations

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Natural gas exports from Cyprus to Egypt , ‘key’ for energy relations

Cyprus and Egypt have a strategic relationship that enhances the security and stability of the Eastern Mediterranean. The foreign ministers of both countries, Constantinos Kombos of Cyprus and Sameh Shoukry of Egypt, met in Nicosia and discussed bilateral cooperation, particularly in the energy sector. They emphasized the need for more humanitarian aid for civilians in Gaza.

During the visit to Nicosia, discussions included the transportation of natural gas from Cyprus to Egypt for liquefaction. The two countries agreed to establish a joint business council and are looking forward to signing several agreements and MoUs. They also plan to convene the second session of the High Governmental Commission in Cyprus soon.

Kombos acknowledged Egypt’s significant role in the energy sector and within the East Mediterranean Gas Forum (EMGF). He also mentioned the importance of migration control, energy diversification, and regional stability, recognizing Egypt as a pillar of reason and reliability.

Cyprus briefed Egypt on the latest developments regarding the Cyprus problem, for which Egypt’s support is appreciated. Both ministers expressed concerns over conflicts in the Middle East and developments in the Red Sea, including Houthi attacks. Cyprus has established a maritime corridor to provide aid to Gaza and rejects any displacement of Palestinians from the area.

The ministers discussed economic cooperation, human rights, legal migration, and mutual support for international candidacies. Egypt is satisfied with the bilateral cooperation progress and aims to strengthen ties in various sectors, including energy, trade, investment, agriculture, fisheries, and renewable energy.

Big Oil offers record returns to lure investors back

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Big Oil offers record returns to lure investors back

The top five Western oil and gas firms – BP, Chevron, Exxon Mobil, Shell, and TotalEnergies – returned over 1 billion to shareholders in 2023 through dividends and share repurchases. This amount was slightly higher than the 0 billion returned in 2022. The group’s profits in 2022 reached a record 6 billion but fell to 3 billion in 2023. The energy sector’s weighting in the S&P 500 index decreased to 4.4% by the end of January, from around 14% in the last decade. Chevron and Exxon have focused on growing oil production, while BP, TotalEnergies, and Shell have invested more in low-carbon and renewables. Shell, Chevron, and TotalEnergies increased their dividends in the fourth quarter, and BP increased its buyback rate. Exxon returned the highest amount to shareholders in the sector, with billion in the previous year. Minimal spending increases are expected in the sector for 2024.

Cyprus Business Now

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Cyprus Business Now

– The Cyprus Employers & Industrialists Federation (Oev) expressed satisfaction with the approval of the Grants Scheme for Energy Upgrade and Competitiveness Enhancement for Large Enterprises.
– The proposal was approved by the Cabinet after being put forward by the Minister of Energy, Commerce, and Industry.
– The Grants Scheme was initiated by Oev in 2020 to support large enterprises, particularly in the manufacturing sector, to enhance their competitiveness and contribute to the economy.
– The Ministry of Energy stated that the financial support will cover eligible expenses for energy-saving investments and transitioning to a circular business model.
– The total amount allocated for the scheme is €17 million, divided into two categories: up to €7 million for the manufacturing sector and €10 million for all eligible sectors.
– Large enterprises in the Manufacturing Sector can receive grants under the General Block Exemption Regulation and/or the De Minimis Regulation, with a maximum grant of €750,000 per enterprise.
– The Scheme Guide is available on the website of the Industrial Development Service.
– The Cyprus Shipping Chamber (CSC) announced that its Director General, Thomas Kazakos, is the first lobbyist registered in the Anti-Corruption Authority’s Lobbyists Registry.
– The CSC responded to the authority’s call for registry applications in November 2023.
– The CSC’s registration reflects its commitment to transparency and ethical standards in lobbying.
– The Cyprus Stock Exchange (CSE) reported profits on Wednesday, February 7.
– The general Cyprus Stock Market Index was at 139.71 points, a 0.41 per cent increase from the previous day.
– The FTSE / CySE 20 Index was at 84.85 points, a 0.43 per cent rise.
– The total value of transactions was €175,575.
– Sub-indexes for the main, alternative, investment firm, and hotel sectors grew by various percentages.
– Specific companies such as Vassiliko Cement Works Public Company, the Bank of Cyprus, the Cyprus Cement Company, Demetra Holdings, and Petrolina Holdings attracted significant investment interest.

EAC: We will not avoid a 6% increase in tariffs in 2024

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EAC: We will not avoid a 6% increase in tariffs in 2024

The text states that an increase of 6% in electricity prices is necessary to finance investments for upgrading the network. The government will not insist on recovering the costs of 2023, but the 6% increase will still be implemented. The increase translates to approximately 2 cents per kilowatt-hour. The government is considering extending subsidies to alleviate the pressure on consumers. The political parties AKEL and DISY have proposed additional measures to support households and businesses, including taxing the excess profits of energy companies.

They were handing out cash in suitcases in a hotel in Nicosia but… – In the Parliament, the €1m kickbacks for SAPA projects

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They were handing out cash in suitcases in a hotel in Nicosia but... - In the Parliament, the €1m kickbacks for SAPA projects

The Commission of Institutions decided to examine the reasons why disciplinary cases against two construction companies involved in the bribery scandal of the Paphos Sewerage Board (SAPA) were not tried for eight years. The companies and their executives admitted to being involved in the scandal, but the cases were dismissed due to the delay in their proceedings. The Council of Registrations and Control of Contractors terminated the disciplinary prosecutions. The Mayor of Paphos, Phaedonas Phaedonos, called for an investigation into the reasons why the trials were not completed. The four Councils of Contractors appointed since 2016 were unable to reach decisions on the disciplinary cases. The delay in the proceedings was deemed an abuse of the process, resulting in the dismissal of the charges against the companies and their executives.

Short-term rental properties becoming more popular in Cyprus

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Short-term rental properties becoming more popular in Cyprus

Short-term rental properties are becoming increasingly popular in Cyprus, with both travelers and locals opting for them. Yiannis Kotzias, the general manager of operations at Phaedrus Living, has stated that this trend is in line with the global increase in short-term rentals, especially given Cyprus’s status as a tourist destination. The growth of this market is driven by investors purchasing or building properties to rent out short-term, seeking higher returns compared to long-term rentals.

Statistics from AirDNA show that as of late January 2024, there were over 15,400 active short-term rental properties in Cyprus. The number of these properties has increased annually in major cities: Nicosia by 25%, Limassol by 17%, Larnaca by 9%, and Paphos by 3%. The average annual income from short-term rentals varies by city, with Nicosia at €13,500, Limassol at €26,200, Larnaca at €18,300, and Paphos at €24,800. Higher returns are noted in popular summer destinations like Protaras and Ayia Napa, with average annual incomes of €61,300 and €46,200, respectively, and in Peyia, known for its sunset views, with an average income of €55,800.

Short-term rentals offer flexibility to property owners and investors, including the ability to adjust prices during peak demand and to use the property for personal vacations. To mitigate investment risks and manage seasonality in tourism, investors often diversify property locations. Strategic marketing and positive guest reviews can enhance investor returns.

Investors are increasingly relying on specialized management companies to handle operational tasks like cleaning, maintenance, and repairs, which can improve returns on investment. With the expected growth in tourism, the demand for short-term rentals is anticipated to rise, leading to a competitive market where property owners and investors must adapt to maintain and increase their income.

Alphabet, Meta ad sales in Q4 unlikely to reflect gen AI investments

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Alphabet, Meta ad sales in Q4 unlikely to reflect gen AI investments

– Alphabet (GOOGL.O) and Meta Platforms (META.O) are expected to report muted impact from generative artificial intelligence on their advertising business in their fourth-quarter results.
– Alphabet has introduced AI tools to help advertisers target audiences more cost-effectively and distribute marketing budgets across Google’s ad network.
– Meta is using generative AI to create variations of ad campaigns.
– Bernstein analysts consider generative AI to be in the “hype cycle” but recognize investors are looking for incremental use cases and revenue streams.
– The digital advertising core business is expected to have been resilient for the quarter ended December 31.
– Microsoft (MSFT.O) is anticipated to benefit early from the generative AI race, with increased demand for its cloud services.
– Alphabet’s stock surged 58% last year, Meta’s stock nearly tripled, and the S&P 500 index gained roughly a quarter, partly due to an AI-fueled tech rally.
– Political advertising is expected to be a catalyst for Meta and Google, with spending on political advertising in the U.S. predicted to jump 30% in 2024 from 2020.
– Alphabet is expected to report an 11.8% growth in fourth-quarter advertising revenue to billion.
– Google introduced the AI chatbot Bard and a search generative experience (SGE) that generates written responses to some search queries.
– SGE could contribute between .6 million and 3 million in incremental search advertising revenue by 2025.
– Meta’s AI tools for advertisers have shown potential time savings for users.
– Meta is expected to report .1 billion in fourth-quarter revenue.
– Meta’s AI tools that find potential customers and test ad performance are earning billion on an annualized basis.
– Meta could generate .7 billion in ad revenue in 2025 if it introduces paid ads within AI assistants on WhatsApp, Messenger, and Instagram.
– Snap (SNAP.N) partnered with Microsoft to place sponsored product links in its chatbot, which could earn Snap 4 million in 2024, growing to 6 million in 2025.
– Amazon.com (AMZN.O) is introducing ads on its Prime Video service and developing Amazon Bedrock, a service for creating applications with AI models.
– Amazon’s Prime Video ads could increase its ad revenue growth by 5% to 10%.
– Amazon is set to report its results the same week as the article’s publication.

Research, innovation and RES

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Research, innovation and RES

The text discusses the importance of having funding mechanisms and exit strategies for investment in the research and innovation sector. It mentions that this sector is often associated with efforts to change economic models and is a priority for governments and political forces. It emphasizes the need for an integrated framework that allows for the development of the sector and the collaboration of various actors. The text also highlights that research and innovation contribute to the competitiveness of economies, generate significant income, and improve citizens' quality of life. It mentions the importance of creating a culture that supports research and innovation and cites Israel as an example of a country that has succeeded in establishing itself as a research center. The text also mentions the need for proper planning, incentives for companies and individuals, investor protection, commercial exploitation of products and services, and the existence of infrastructure. It discusses the role of funding mechanisms and financial markets, as well as the availability of funding from European structural funds. It mentions the tax incentives provided by Cyprus for organizations involved in research and innovation, as well as the specific tax benefits for high-ranking executives and researchers who choose to settle in Cyprus. The text also emphasizes the importance of connecting research activities with commercial exploitation and suggests analyzing the decisions and actions of other countries, especially those geographically close, to identify opportunities for improvement. It mentions the connection between research and technology, particularly in software programs, and suggests exploring research programs in various sectors such as botany, agriculture, aquaculture, forestry, energy, and petrochemical industry.