Which banks in Cyprus give corporate credit to non-resident companies

on . Posted in Articles. Hits: 4419

Question: We would like to know how a non-resident company can apply for credit (between $2 and $70 million) and which Cyprus banks give corporate credit to non-residents?

Answer: Thank you for your question. Most of the major Cyprus banks easily give mortgage to non-resident individuals; however, in our experience, lending to non-resident companies is somewhat more difficult and will require proportionally more time and effort in presenting you request and convincing the bank.

First of all, the bigger your loan request is, the bigger the bank should be. There are regulatory requirements by the Cyprus Central Bank (namely, Basel II) that limit the lending size of banks and if you approach a small bank, you will be refused not because of your request but because of the banks inability to meet its own requirements. For a loan of over €20 million, your choice is: Bank of Cyprus, Marfin Popular bank and Hellenic Bank. For smaller loan amounts, you will have more choice, which may include: USB, Alpha Bank, Pireaus, Sociate Generale and Eurobank.

To circumvent the limits of lending, it is not uncommon for banks to collectively provide a credit in the form of syndicated loan. This is how the new €600 million Cyprus International Airport was build.

Second, the purpose of the loan, the source of repayments and the collateral (security) will play major role in determining if credit will be granted to your company. They will also determine what type of credit is most suitable: corporate loan, structured finance, leasing, overdraft etc. and dictate the elements of the credit agreement.

Tags: Cyprus

Do you find the information useful
contact us
what we do
  • Taxation
  • Financial advisory
  • Corporate
  • Audit & accounting
our office
  • Quantia Advisors Ltd
  • 2B Massari Str | 2548
  • P.O. Box 17144 | 2261
  • Nicosia, Cyprus
To provide you with the best possible experience on our website, we use cookies, as described here.
By closing this banner, or continuing to browse our websites, you consent to the use of such cookies and agree to the Terms of Use.
Get help with tax

We want to help you in the best possible way.
Feel free to contact our tax advisor if you do not understand something about your tax. For simple queries, you can use our life chat support.

Hiring professional help
We are licensed Cyprus CPA firm and qualified to provide tax services such as, filing your Provisional Income Tax, Self-Assessment, Corporate Tax, VAT and VIES or providing advice if you run your own business or handing your tax affairs if you are an expat.
Recent amendments to the Cyprus Income Tax issued by the IRD, state that as of the tax year 2017, Income Tax Returns for individuals are accepted only electronically. Learn More