Cyprus Ministry of Finance has launched a tender with an estimated value of €2 million aiming to acquire services for the modernisation and reform of the outdated Companies Law, aiming to improve the economy’s competitiveness and the ease of doing business.

The tender was launched following a decision by the Council of Ministers. The project has been included in Cyprus’ national recovery and resilience plan.

“The aim of this reform effort is to improve business activity and the competitiveness of the economy via the modernisation of the Companies Law, taking into account international best practices,” the Ministry said.

The Ministry also said that the modernisation of the Companies Law is a priority for the government as the need to replace the current legal framework is imperative, recalling that the current legal framework is based on the UK’s company law of 1948, which received amendments largely due to Cyprus’ accession to the EU.

“This is an outdated legal framework whose update is necessary and it should be adapted to contemporary needs of the business environment, responding to both local and international legal requirements,” the Ministry said.