The American Chamber of Commerce in Cyprus (AmCham Cyprus) has called for stronger Cyprus-US economic ties, proposing five measures focused on visa-free travel, taxation, social security, direct flights and US preclearance facilities.
The proposals were outlined in the chamber’s latest policy paper, “Strengthening Cyprus-United States Bilateral Relations”, which focuses on investment, business links, mobility, security and people-to-people exchanges.
Visa-free travel among key priorities
AmCham Cyprus identified Cyprus’ accession to the US Visa Waiver Programme as its first priority.
The chamber said Cyprus has recorded a 2.16% visa-refusal rate, below the three per cent threshold required for the programme. It also highlighted upgraded biometric passports, stronger digital data-sharing capabilities and legislative measures aimed at improving security cooperation.
AmCham Cyprus said visa-free travel would remove administrative barriers for business, tourism, academic and cultural exchanges, while making Cyprus more attractive to US companies and investors.
Modernising the tax treaty
The second proposal concerns the Cyprus-US Double Taxation Treaty, signed in 1984 and entering into force in 1986.
The chamber described the existing agreement as functional but outdated and said it no longer fully reflects contemporary tax standards.
It argued that modernisation in line with OECD standards could provide greater tax certainty, reduce administrative burdens and support investment, particularly in sectors including shipping, energy, technology, financial services and fintech.
Social security agreement proposed
AmCham Cyprus also called for a Cyprus-US Social Security or Totalisation Agreement.
The chamber said such an agreement could prevent double social security taxation and protect pension rights for people working between the two countries.
It added that the measure could reduce costs for Cypriot workers and employers operating in the US while making it easier for American companies to deploy employees to Cyprus.
Direct flights between Cyprus and US
The fourth priority is the introduction of direct commercial flights between Cyprus and the United States.
AmCham Cyprus said discussions had taken place with a US airline but passenger demand remained a challenge. It noted that current passenger volumes are significantly below the roughly 500 passengers per day typically needed for long-haul route viability.
The chamber said direct connectivity would benefit tourism, business and academic cooperation while strengthening Larnaca and Paphos airports as regional aviation hubs.
US preclearance facility
The fifth proposal is an assessment of a US Customs and Border Protection (CBP) Preclearance facility at either Larnaca or Paphos airport.
Such facilities allow travellers to complete US immigration and customs checks before departure, enabling them to arrive in the US as domestic travellers.
AmCham Cyprus said preclearance could make Cyprus more attractive to airlines, reduce congestion at US ports of entry and strengthen aviation security.
Five measures aimed at deeper ties
AmCham Cyprus said the five measures could increase trade, investment and tourism while improving labour and student mobility and strengthening security cooperation.
The chamber said progress in these areas would reinforce Cyprus’ position as a reliable democratic partner and strategic hub in the Eastern Mediterranean.
It also said it was ready to support the Cyprus government and its partners in Washington in advancing the proposals.
Also read: Oil prices jump above $105 on Iran strike fears
For more videos and updates, check out our YouTube channel
