Source: cyprus-mail
Cyprus’ business competitiveness hinges on green and digital shift, says minister
Cyprus’ business competitiveness increasingly depends on the green and digital transition, Commerce Minister Michael Damianos said on Thursday, noting that more than €500 million had been secured for related measures during the 2021-2027 programming period.
Speaking at the first Cyprus IT Directors Forum, held as part of the third Cyprus Tech Summit, Damianos said the funding was being directed towards entrepreneurship, industrial development, energy upgrading, the circular economy and the digital upgrading and transformation of businesses.
“Through the policies and grant schemes of the ministry, businesses are supported in modernising their infrastructure and processes and strengthening their productivity and outward orientation,” Damianos said.
He added that the ministry was also working to create a business environment that encouraged innovation, attracted investment and facilitated the transition towards more modern and sustainable business models.
Damianos identified artificial intelligence, cybersecurity and human resources as three of the main challenges currently facing businesses.
On artificial intelligence, he said the objective was not simply to adopt new tools but to use them responsibly in areas where they could solve genuine problems, improve decision-making and produce measurable results.
He stressed that cybersecurity and digital resilience had become increasingly important as more business operations and transactions moved online.
“Security is now a matter of business continuity, corporate governance and trust,” Damianos said.
On human resources, he stated that no digital investment could deliver results without the necessary knowledge, continuous skills development and a culture of collaboration and adaptation to change.
The minister said that these challenges were directly linked to the needs of Cyprus’ small and open economy, where productivity, access to international markets and the ability to adapt quickly were vital.
Damianos also highlighted the contribution technology could make across individual sectors of the economy.
In retail and trade, he said technology could improve the customer experience, inventory management and supply chains.
In industry, it could contribute to more efficient production processes, energy and raw material savings and improved quality control.
For small and medium-sized enterprises, Damianos said technology could reduce the disadvantages of limited scale and create new opportunities for growth.
He also pointed to the rapidly changing role of chief information officers, saying their responsibilities were no longer confined to managing systems and infrastructure.
Instead, he said, IT directors had become an important part of business strategy and decision-making.
“The state cannot and must not replace business initiative,” Damianos said.
He added that the government could nevertheless act as a facilitator by reducing barriers, supporting meaningful investment and strengthening cooperation between businesses, the technology community, research institutions and the public sector.
Damianos concluded by saying that “with vision, synergies and investment” in knowledge and innovation, Cyprus could build an economy that was more productive, resilient and competitive.