In the January - June period shipmanagement added EUR438m ($483m) to Cypriot coffers down from EUR462m in such revenues in the second half of 2015 and a record EUR64m in the first half of 2015, the country’s central bank said in a mid-year report.
The latest result reflects the ongoing slump in shipping markets as the boost received 12 months ago primarily came from Greece as a result of tax uncertainty and the country’s domestic economic crisis.
Cyprus is one of Europe’s most significant management hubs and despite the drop, shipmanagement revenues still account for over 5% of the country's economic output.
Payments out of Germany remained by far the biggest source of ship-management revenue for the island, accounting for 38% of the total down from 41% in the second half of 2015. Greece’s share, which had reached 8% at the end of last year has declined to 6% as the initial concern over the European Union's moves against Greece's shipping tax legislation abated.
The decline on the part of Greece-based owners put them on a par with Switzerland and Singapore as Cyprus’ second-biggest clients. Russia and Malta come next, each with a 4% market share.
Copyright © 2024. All rights reserved. Seatrade, a trading name of Informa Markets (UK) Limited. Add Seatrade Maritime News to your Google News feed.
