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The movement of capital to and from Cyprus by non-European
citizens is primarily governed by the Exchange Control Law:
Exchange Control Law - banking for expatriates, immigrants,
emigrants
Non-European citizens may open foreign currency and local
deposit accounts but regulations differ per situation of the
expatriate:
* Expatriates residing in Cyprus under a temporary residence
permit without having the right of employment in Cyprus are
considered non-residents and are exempt from all exchange
control obligations.
* Expatriates living and working in Cyprus under a temporary
residence-employment permit are also considered non-residents
but are subject to some exchange control obligations mainly
in order to ensure that their transactions with residents
are in local currency payable in Cyprus.
* Expatriates employed in Cyprus by resident entities and
receiving their remuneration in local funds are required to
operate a Special Resident Account for the purpose of depositing
part of their foreign currency earnings in order to meet their
living expenditure in Cyprus; the balance of their earnings
may be deposited in any Foreign Currency Account either in
Cyprus or abroad or in an External Account in freely convertible
Cyprus Pounds, with an Authorised Dealer in Cyprus.
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* Expatriates employed in Cyprus by non-resident entities
and receiving their remuneration in external funds are required
to operate a Local Disbursement Account for the purpose of
depositing part of their foreign currency earnings in order
to meet their living expenditure in Cyprus; the balance of
their earnings may be deposited in any Foreign Currency Account
either in Cyprus or abroad or in an External Account in freely
convertible Cyprus Pounds with an Authorised Dealer in Cyprus.
* Persons who settle permanently in Cyprus are considered
as residents under the Exchange Control Law; thus, they need
to obtain a permit covering their assets and liabilities abroad.
In general, immigrants are allowed to hold abroad all their
illiquid assets (e.g., real estate, stocks and shares) while
they are required to repatriate all their liquid assets (e.g.,
bank deposits) as well as all their foreign source income
within reasonable time from acquisition.
* Residents of Cyprus (Cypriots or foreign nationals) who
take up residence outside Cyprus may transfer abroad from
their liquid assets up to CY£5,000 immediately; any
excess amount is deposited in a Blocked Account and released
at the rate of CY£5,000 per year. Emigrants may also
receive outside Cyprus any current income in the form of interest,
rents, dividends or profits on the basis of documentary evidence
or audited accounts after the payment of any due taxes.
 commercial
banks in Cyprus
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