Six measures with the strategic objective of transforming Cyprus’ defense industry to make it capable of contributing significantly to Europe’s collective security framework were announced on Thursday by the President of the Republic of Cyprus, Nikos Christodoulides, who attended and addressed the proceedings of the second International Conference on Defense and Security (“Battlefield Redefined 2024”).

According to the organizers, the conference serves as a platform to emphasize the important role of the defense industry in shaping the future security, stability, and prosperity of the region and Europe as a whole.

In his address at the conference, the President of the Republic stated, among other things, that wars and conflicts in Ukraine and the Middle East "remind us how fragile peace is and how important a state’s defense capabilities are," adding that Cyprus, especially due to the invasion and ongoing occupation by Turkey, is very well aware of the role of the defense industry in ensuring stability and addressing hybrid threats.

“For this reason, and taking into account Cyprus’ membership in the European Union (EU) and the fact that the country is located in a region of significant geopolitical importance and uncertainty, investing in this sector is not only a duty but also a strategic necessity,” he said.

President Christodoulides announced six measures to further support and strengthen Cyprus’ defense industry, stating that the measures are strategically designed to transform Cyprus’ defense industry, making Cyprus a hub of advanced technology in the defense sector and enabling it to contribute significantly to Europe’s collective security framework. At the same time, he continued, the sector will generate substantial economic benefits and create opportunities for development in other fields.

The first measure, as he stated, involves preparing legislation to institutionalize a high-tech defense industry aimed at enhancing national defense and boosting economic growth. Furthermore, in statements to journalists following his speech, the President of the Republic said, “There is enormous potential for our country, a potential that touches all sectors, not only the country’s defense capabilities but also its economy.”

The second measure, according to President Christodoulides, is the institutionalization of industrial cooperation in defense programs, announcing that, for the first time since the establishment of the Republic of Cyprus, the government, through the Ministry of Defense, has formally requested from the French Ministry of Defense the involvement of the Cypriot defense industry in future contracts for equipment with French companies. In statements to journalists, he said, “In a recent agreement we reached with the French government for the purchase of specific equipment for the Republic of Cyprus, we included a clause concerning the participation of Cypriot companies. This will apply to all future equipment purchases by the Republic of Cyprus.”

The third measure, the President said, concerns the establishment of a Defense Research, Technology, and Industry Council, which will function as an advisory body to the Presidency.

He added that the fourth measure involves the creation of a National Register of Defense Industry Manufacturers in collaboration with the Cyprus Chamber of Commerce and Industry. In his statements, he mentioned that “16 Cypriot companies are participating in European programs, Cypriot companies sell products to foreign Ministries of Defense, to EU member states, and have brought significant funds to our country, employing a significant number of Cypriot scientists in highly paid positions.”

President Christodoulides noted that the fifth measure concerns increasing funding allocated to Defense Research and Development and further promoting the participation of the industry in European defense programs.

Finally, the sixth measure, he said, involves government funding for national pavilions at major international defense exhibitions annually, aimed at strengthening the international presence of Cyprus’ defense industry. In his statements, he noted, “We will assist in the extroversion of Cypriot businesses. The Republic of Cyprus will subsidize their participation in all European and international exhibitions related to defense equipment and a series of other activities.”

In his speech, President Christodoulides also stated that “in the past five years, the Cypriot defense industry has demonstrated remarkable growth and is emerging as a key pillar of our national strategy.”

He further mentioned that 16 Cypriot companies, supported by the Ministry of Defense, have secured participation in 37 different contracts within the European Defense Industrial Development Programme and the European Defense Fund. These contracts, he said, have a total budget of €435 million.

He added that his vision is to transform Cyprus from a consumer of defense products into a producer, actively contributing to shaping European defense through innovation and the production of high-quality defense systems. In his statements, he said there is enormous potential for the Cypriot economy through the defense industry, saying, “We see this industry, the Cypriot one, achieving this by bringing young people to Cyprus to work, our compatriots, in highly paid positions.”

At the same time, greetings were delivered at the event by the Director of Cyprus Defence Multimedia Services Ltd, Paraskevi Polydorou, the President of the Cyprus Association of Research and Innovation Enterprises, Tasos Kounoudis, and the President of the Cyprus Chamber of Commerce and Industry (CCCI), Stavros Stavrou. Following the greetings, the President of the Republic toured the Exhibition area where the latest developments in the defense industry were showcased.

Ms. Polydorou thanked the conference participants and the organizations that contributed to its realization, noting that “we are changing to promote the development of the defense and security ecosystem in Cyprus.” Mr. Kounoudis stated that the conference brings together policymakers, industry leaders, end users, and innovators in the field of defense to present the notable achievements of Cyprus’ defense industry over the past five years.

Mr. Stavrou said the conference places Cyprus on the map of critical dialogue and innovation in the field of defense and security, stating that “60 years after the establishment of the National Guard, it is the first time we see such interest in our defense industry from policymakers.” He added that “together, we can build a future where innovation not only enhances our security but also creates new economic opportunities, to the benefit of both Cyprus and Europe as a whole.”

The conference is being held from December 12 to 13 and constitutes the second International Defense and Security Conference, organized by Cyprus Defence Multimedia Services in collaboration with the Cyprus Association of Research and Innovation Enterprises (CARIE) and Cypriot Defense Industry Companies. It is held under the auspices of the Ministry of Defense and the CCCI.