Source: in-cyprus.philenews.com
Cyprus has climbed five positions to 40th place in the 2025 StartupBlink Global Startup Ecosystem Index, recording a 28% growth rate that makes it the fastest-growing startup ecosystem in the European Union for the second consecutive year.
The Mediterranean island ranks second globally among countries with populations below two million and fourth among Southern European nations, according to the Deputy Ministry of Research, Innovation and Digital Policy.
The country has registered a 71% increase in the number of startups compared to 2024, the ministry said in a statement.
Cyprus is the only country with fewer than 2 million inhabitants to have four cities – Nicosia, Limassol, Larnaca and Paphos – listed in the global startup index, with all four showing significant progress in the worldwide rankings.
The report highlights Cyprus’s strengths in specific sectors, ranking second globally in Gaming, third in Fintech in Southern Europe, and ninth in the EU for Blockchain innovation.
This rapid development is attributed to both Cyprus’s geostrategic position and targeted government policies, particularly tax incentives designed to boost innovation, entrepreneurship, and attract productive investments and talent.
The achievement was officially recognised at the Reflect Festival 2025, where StartupBlink CEO Eli David Rokah presented a special plaque to Deputy Minister of Research, Innovation and Digital Policy Dr. Nicodemos Damianou, who received it on behalf of the President of the Republic.
“These results reflect the commitment of the Cypriot government to continuously strengthen Cyprus as a hub for innovation, technology and entrepreneurship, both regionally and internationally,” Damianou said.
He added that the government aims to “substantively facilitate technology companies and innovative startups to develop, collaborate with the local ecosystem and successfully integrate into the global market, creating jobs and added value for the economy and society.”
The deputy minister said the country is being transformed into an attractive destination for investment and business activity through targeted financial tools, support structures, a business-friendly environment and a methodical digital transformation programme.
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