India – Cyprus Economic Relations – A Plan for Economic Diplomacy

(Link: https://economytoday.sigmalive.com/arthrografia/121581_oikonomikes-sheseis-indias-kyproy-ena-shedio-gia-tin-oikonomiki-diplomatia)

By HE Mr. Manish, High Commissioner of India to Cyprus

In an era where economic partnerships define geopolitical influence, the India-Cyprus bilateral relationship has emerged as a fascinating case study in strategic economic diplomacy. Over the past eighteen months, through a series of business summits, ministerial visits and institutional frameworks, the bilateral economic cooperation has expanded into a dynamic economic corridor connecting the Indian Ocean to the Mediterranean.

Creating Early Strength

India’s participation as a partner country in the Reflect Festival in 2023 and 2024 brought Indian startups and technology companies to Cyprus for the first time, creating initial connections between the two startup ecosystems. The participation of the Indian Ministry of Commerce in the island’s largest technology event signaled the government-level interest in strengthening business ties beyond traditional sectors. The presence of Indian unicorns and technology entrepreneurs at these festivals opened a dialogue with Cypriot and European investors, while also demonstrating India’s growing potential in digital innovation. These early partnerships helped lay the groundwork for a more structured economic partnership to follow.

Expanding the Dialogue

The relationship gained ministerial momentum at the inaugural CII India Mediterranean Business Conference on 6 September 2024, in New Delhi, where Cyprus was represented by the Minister of State for Research, Innovation and Digital Policy, Mr. Nicodemos Damianou, who participated alongside high-level business leaders and government representatives from 28 countries. During the event, the Minister of State addressed the gathering along with Dr. S. Jaishankar, Minister of External Affairs, and Mr. Piyush Goyal, Minister of Commerce and Industry.

This conference proved to be crucial in upgrading the India-Cyprus economic dialogue in a Mediterranean regional context.

The establishment of the India-Greece-Cyprus Business and Investment Council (IGC) was a significant institutional achievement. The Council was officially inaugurated in Mumbai in February 2025 at the Taj Mahal Palace, following a Memorandum of Understanding signed between Eurobank SA and the Indian Chamber of Commerce in September 2024. A launch ceremony was also held in Limassol in May 2025, with High Commissioner Manish delivering the keynote address, while a third event was held in Athens, completing the tripartite institutional architecture.

The IGC Board of Directors includes prominent players: the Indian Chamber of Commerce, Eurobank, Invest Cyprus, the Cyprus Chamber of Commerce and Industry, Enterprise Greece and the Federation of Hellenic Industries. This structure ensures that economic cooperation does not depend on isolated initiatives, but is embedded in institutional frameworks designed for long-term cooperation.

The Prime Minister's Landmark

Prime Minister Narendra Modi's visit to Cyprus on 15-16 June 2025—the first by an Indian Prime Minister in over two decades—marked a historic turning point. The visit resulted in a Joint Declaration on the Implementation of the India-Cyprus Comprehensive Partnership and Joint Action Plan for the period 2025-2029.

The Action Plan covered critical areas: security and defence cooperation, trade and investment, research and innovation, mobility and people-to-people links, and multilateral coordination. The two sides committed to finalising an agreement on a pilot mobility scheme to create predictable pathways for the migration of skilled personnel — a crucial element for sustainable economic engagement.

Ongoing Business Participation

Following the Prime Minister’s visit, UNHCR maintained its momentum through ongoing business dialogue. In September 2025, Cyprus participated in the ICC Global Business Summit in Mumbai, with the Deputy Minister for Research, Innovation and Digital Policy, Mr. Nikodimos Damianou delivering a keynote address, along with a carefully selected delegation, including the Chief Scientist, Mr. Dimitris Skourides, the CEO of Invest Cyprus, Mr. Marios Tannousis, and representatives from PwC and the Cyprus Chamber of Commerce.

In December 2025, the Mumbai Chamber of Commerce and Industry led a high-level business delegation of 12 Indian companies to Cyprus, representing sectors such as technology, hydraulic machinery, sustainability and renewable energy. The delegation held meetings with Cypriot business chambers, government agencies and private sector representatives to explore investment opportunities and trade partnerships.

In January 2026, the High Commission organized the Cyprus-India AI Impact Pre-Conference Event, bringing together over 100 leaders from the public sector, business and academia. This pre-conference event, hosted by the High Commission of India, in partnership with PwC, linked Cyprus’ growing AI capabilities with the upcoming AI Impact Summit in India, scheduled for February 2026, in New Delhi.

A Plan for Success

The India-Cyprus engagement model offers valuable lessons for diplomatic missions worldwide: Start with People, Build Institutions, Maintain Momentum, Leverage Complementarity, and Create Clear Pathways.

Looking ahead

The relationship continues to strengthen with the planned India-Cyprus Business and Investment Summit "Transforming Tomorrow" in Nicosia in March 2026, which is envisaged as the premier economic event of the year by the High Commission of India. With the participation of senior Ministers, policymakers, business leaders and corporate executives from Cyprus and leading companies in sectors such as service exports, defence, manufacturing and technology from India, this event is expected to bring immense value to both sides.

As Cyprus prepares to assume the Presidency of the Council of the EU in the first half of 2026, the timing is right to deepen the India-EU strategic partnership through the Cyprus gateway. The bilateral relationship demonstrates that strategic vision, consistent effort and institutional frameworks can create a huge impact in shaping a new economic corridor from the Indian Ocean to the Mediterranean.