Luxembourg Finance Minister Pierre Gramegna signed a tax treaty today with his Cypriot counterpart, Harris Georgiades, making Cyprus the last EU member state with which the Grand Duchy did not have a tax treaty.  

Negotiations on the tax treaty started in 2007 so the parties felt under pressure to speed the process up. 

“I am pleased that the text incorporates the latest international standards for information exchange and is already taking full account of the OECD's BEPS work. It will thus provide exemplary predictability and legal security and will serve as a new tool for strengthening bilateral economic relations between our two countries in the framework of the European Common Market,” said Minister Gramegna. 

The minister also had a working meeting with Phidias Pilides, President of the Chamber of Commerce and Industry, to discuss bilateral economic relations, as well as the implications of Brexit for business. They discussed the evolution of international taxation and the implications for the competitiveness of European economies. The meeting was followed by a round table discussion with senior leaders from the economic and financial world of Cyprus to exchange views on current political and economic developments. This discussion was also an opportunity to discuss the implications of the increasing digitisation of the economy and the role that platforms such as LHoFT can play in this context. 

Finally, Pierre Gramegna met Andreas Mavroyiannis, Greek-Cypriot negotiator for the solution of the Cyprus problem as part of the good offices mission of the UN Secretary-General, for an exchange of views on the current situation and the state of negotiations.

Image: Pierre Gramegna with Harris Georgiades.