Recently, Oleg Reshetnikov, Founder of Cyprus_iT and a well-recognized figure in Cyprus' domestic ecosystem, shed light on some emerging challenges that, in his opinion, threaten the island's tech and innovation sectors in the coming period. He pointed out that recent developments in Cyprus, including new regulations and complex legal frameworks, signal challenges that affect students, freelancers, digital nomads, and entrepreneurs. These developments create significant obstacles and pose substantial hurdles for future growth in these sectors.

In light of these developments, FastForward delves deeper into the issue by speaking extensively with Oleg Reshetnikov. Seizing this opportunity, our interview with Oleg provides insights into Cyprus_iT, Reshetnikov's role in TechIsland, and the emerging trends in startup funding and innovation in Cyprus.

It all started more than 7 years ago when I began meeting interesting people from various digital companies who lived in Cyprus or were visiting. At one point, personal meetings evolved into small networking events, and everyone liked it. That's when the decision was made to hold such meetings on a regular basis, following the principle of "Same place, same time, same day of the week." We started meeting on Wednesdays at 7:00 PM.

For the first few years, the meetings were held at DoWine&Dine, then we moved to Malindi - there was more space and it was much more convenient. Since then, we've had over 330 meetings with more than 30,000 attendances. The open meeting format proved to be convenient for many, and the schedule's stability allowed for certainty about "when" and "where" the next meeting would be.

This year, we are celebrating our 7th birthday - on Wednesday, May 1st, at Malindi, starting at 7:00 PM. I invite all interesting and sensible people; admission is free, and the format is informal networking.

The online component appeared immediately after the first meetings and gradually grew into a network of thematic chats on Telegram. Over time, both offline and online resources have provided significant help and support for IT expats moving to Cyprus - helping them with socialization and better integration into this wonderful country.

As a partner and advisor to TechIsland, my contributions and initiatives, such as Cyprus_iT, are aimed at further bolstering Cyprus' reputation as an emerging technology hub in the region. The IT association TechIsland was founded in April 2021 to unify the interests and development of IT/Digital companies based in Cyprus. This association has clearly demonstrated the number of innovative companies in Cyprus, identified common challenges within this sector, and, importantly, highlighted to the Cypriot government the benefits these companies bring to the country and its residents.

After the establishment of this remarkable IT association, my project, Cyprus_iT, continued to operate as an "informal" gathering of IT/Digital expats living in or visiting Cyprus. Since 2017, I have been actively promoting Cyprus as a convenient place for business incorporation and the relocation of Digital freelancers in various media. Articles and interviews featuring me have been published in media across different countries, such as Germany's Der Spiegel, the United States' The Washington Post, France's RFI, Spain's El País, and Russia's RB.RU and VC.RU, among others. My guides on relocating to Cyprus and starting companies have garnered tens of thousands of views in the media. An article reviewing investment projects in Cyprus and their benefits for startups was used by one of Cyprus' sub-ministries as a reference for study.

The collaboration between TechIsland and Cyprus_iT is very productive and will make a significant contribution to strengthening the reputation of Cyprus as a technology and business hub in the region.

Given my involvement with the venture club ICLUB Cyprus and the CY Venture project, I've observed several trends in startup funding and innovation in Cyprus. Despite a global downturn in the venture industry, news of new investment rounds for startups in Cyprus or from funds based on the island continues to emerge.

Cyprus presents a unique situation with both local and European investment programs, in addition to being a base for representatives of international venture and equity funds. The island also has many business angels ready to make smaller investments in the earliest stages of projects. Investors' interests traditionally focus on game development, fintech, health tech, and other startup categories. There's also demand for projects ready for Series A funding across various categories.

In my venture.cy resource, about 10% of the published projects have received funding from funds and private investors.

The most crucial issue is for the Cypriot government to recognize and address problems within the migration department, which this year has begun to close residence permits for freelancers and digital nomads. This diminishes Cyprus' attractiveness for future startups.

What inspired me to explore the specific changes in Cyprus' citizenship laws and their impact on students from expat families studying in Cyprus' private universities was the recognition that all legislative changes affecting expats impact the attractiveness of Cyprus as a hub for companies, digital nomads, and other affluent expats.

Adjustments to student residence permits will negatively affect students from expat families who are already studying at Cyprus' private universities or planning to enroll. I sincerely hope that the Cyprus Parliament will make the necessary adjustments to prevent these students from leaving Cyprus.

Given the potential impact of these legal changes, my recommendations for families currently residing in Cyprus who are considering the future education and citizenship status of their children are as follows:

The issues exist, and most likely, they were not created intentionally but arose due to a lack of understanding of the situation by expats, digital nomads, and IT freelancers. There are also communication gaps between various departments, agencies, and ministries of the country. To overcome these obstacles, it's crucial to disseminate information as widely as possible. Contact university administrations, educational associations, and the Ministry of Education. Report problems to Cyprus Parliament members, political parties, and government representatives. Addressing these issues now is very simple and does not require legislative changes. Fixing them in the future will be much more challenging and will require significant effort to restore Cyprus' attractiveness for startups, IT freelancers, students, and digital nomads.

Here are detailed descriptions of all three issues

What: Cyprus_iT

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Who: Over six years, Reshetnikov has organized over 336 weekly offline Cyprus_iT Networking events, attracting around 30,270 visits from 7,220 unique guests from 2,770 companies, significantly contributing to the development of Cyprus's business community and fostering company collaboration. Furthermore, he created the online aspect of Cyprus_iT, offering resources for expatriates in Cyprus, encompassing IT work, legal support, medical information, and more. His network of Telegram chats and channels has over 116,000 participants and subscribers, including significant resources like Cyprus_iT Channel, Cyprus_iT Chat, CY IT HR, CY IT HR Vacancy, CY LAW, CY Medic, and others. During the COVID-19 pandemic, Reshetnikov created CY COVID-19 resources, providing vital updates and support. His contributions included a Telegram channel with over 6,000 posts, the covid.cy website, daily updates to an online testing point map, hosting over 50 radio broadcasts, and actively engaging in community support through the CY COVID-19 chat. Reshetnikov has also played a pivotal role in developing Cyprus's startup community with the CY Venture project, bridging investors and startups. This initiative has seen over 170 projects published, resulting in 120 introductions and funding for more than 10 projects. He is a partner and advisor for the non-profit IT association TechIsland, which unites IT companies in Cyprus and works closely with the Cypriot government to promote the country as a tech hub. Additionally, Reshetnikov is a partner in the venture club ICLUB Cyprus, launched in Cyprus by Ukrainian businesswoman Victoria Tigipko and her fund TA Ventures.