PASYXE and CCCI welcome, in separate announcements, the signing of a Memorandum between Cyprus and Egypt for the employment of Egyptian citizens in Cyprus.

The Cyprus Hotel Association (PASYXE) states that it welcomes and expresses its satisfaction with the signing of the Memorandum of Understanding between the Governments of the Republic of Cyprus and the Arab Republic of Egypt, for the employment of Egyptian citizens in Cyprus.

The persistent labor shortage in Cyprus, it notes, continues to plague businesses, creating the need for this Memorandum, which represents a positive development towards alleviating the problem.

Therefore, it adds, this decision is a step in the right direction but emphasizes the need for immediate actions so that our tourism industry can benefit from the employment of Egyptian citizens as early as this year.

"The local economy and particularly tourism - aside from the labor shortage - continue to face new challenges such as the war in Israel and the recent bankruptcy of the Tour Operator FTI. As a result, uncertainty persists, increasing the difficulty of matching last year's results in arrivals and revenues."

Moreover, in its own announcement, the CCCI welcomes both the statement by the Minister of Labor regarding the reduction in the unemployment rate and the signing of the Memorandum of Cooperation with Egypt for the employment of Egyptian citizens in Cyprus.

The CCCI welcomes the Minister of Labor's statement on the reduction of the unemployment rate from 6.8% to 6% as a positive development for the Cypriot economy, stating that this reduction indicates that businesses suffering directly from a lack of labor are prioritizing the absorption of the available local workforce.

However, it adds, the needs of businesses are much greater and must be immediately met; therefore, the CCCI calls on the Minister of Labor to expedite the procedures for the provision of foreign labor so that businesses can operate smoothly.

Additionally, the CCCI welcomes the signing of the Memorandum of Cooperation between the Governments of the Republic of Cyprus and the Arab Republic of Egypt, which aims to facilitate and regulate the entry and residence of Egyptian workers coming to Cyprus for employment in various sectors.

This agreement will alleviate the problem of employing foreign labor, concludes the CCCI.