Philenews

Cyprus Leads Southern Europe in Innovation

Published January 28, 2026, 09:22
Cyprus Leads Southern Europe in Innovation

Cyprus is establishing itself as a leading international destination for innovation, ranking 15th globally and 1st in Southern Europe in StartupBlink's Innovators Business Environment Index (IBEI) 2026. This achievement is attributed to the overall improvement of the business environment and the creation of a framework that supports the development of startups and innovative businesses. The country particularly excelled in taxation, securing 1st place in the EU and 10th worldwide, as well as in business incentives, where it ranked 2nd in the EU. These results confirm the attractive fiscal conditions offered by Cyprus. Furthermore, Cyprus is in the top 25% globally in tax indicators, considering corporate tax, capital gains tax, and dividends. This indicates a competitive tax system that encourages investment. The IBEI 2026 report evaluates over 125 countries based on 30 parameters, focusing on the ease of doing business, the regulatory framework, and available incentives. Cyprus's high ranking is a recognition of the efforts made to create an innovation-friendly ecosystem, strengthened by programs such as those of the Foundation for Research and Innovation (IDEK).