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Understanding Forex Regulation in Cyprus

Published February 12, 2026, 12:15
Understanding Forex Regulation in Cyprus

The article addresses the need for greater clarity and understanding of the role of Forex companies in Cyprus. Iosif Iosif, Director of Financial Media Way, emphasized the confusion surrounding the operation of these companies, which is now being clarified following a recent conference where the institutional framework governing them was presented by the Minister of Finance and the President of the Cyprus Securities and Exchange Commission. Forex companies, or Financial Technology Firms, operate under strict supervision from both Cypriot authorities and European regulations, refuting frequent accusations of illegal activities. They do not provide investment advice but conduct stock market transactions through electronic platforms, trading various financial products, with Forex being only one of them. Mr. Iosif highlighted the sector's contribution to the economic and technological upgrading of Cyprus, creating jobs and attracting investment. The development of modern financial services is essential for Cyprus if it wants to evolve into a regional financial center. Finally, it is emphasized that the existence of these companies is not a peculiarity of Cyprus, but an international practice applied in all developed economies, always under strict regulation and supervision. Clear regulation and transparency are crucial to avoid misunderstandings and strengthen confidence in the sector.