The Scheme is included in the Recovery and Resilience Scheme (RRP) of Cyprus for the period 2021 – 2026 and will be financed by the Recovery and Resilience Mechanism of the European Union (EU).

The total amount that will be allocated for the financing of the Scheme during its implementation period amounts to €17 million, of which €10 million comes from the REPowerEU Fund, through the corresponding capital in RRP Cyprus.

The minimum amount of the proposed investment (eligible expenses) is set at €100.000. The maximum total amount that can be granted to a large enterprise is cumulatively €750.000 and in the case of group of companies, the grant will be offset so that the amount to which all the companies of the group will be entitled does not exceed the amount of €1.5 million.

The potential beneficiaries of the Scheme are new or existing Large Enterprises, which are established or will be established in Cyprus, excluding the areas in which the Government of the Republic of Cyprus does not exercise effective control due to the Turkish invasion.

Large enterprises in the manufacturing sector, including the processing and/or marketing of agricultural products, may implement expenditures in all categories of eligible expenditures, while large enterprises of the remaining activities may implement expenditures in the categories of eligible expenditures with A/A 4-9, as they are analyzed in Paragraph 10 of the Scheme Guide.

Manufacturing activities are defined as the activities included in Sector C (NACE Code: C – Manufacturing), in the Statistical Codes of Economic Activities, 2008 (based on the Classification System of Economic Activities NACE Rev. 2, of the EU).

Eligible business activities do not include the following:

1. Activities related to the fishing and aquaculture sectors.
2. Activities related to the production of wine and wine vinegar included in Part II of Annex VII of Regulation (EU) 1308/2013.

The Scheme is adapted and will be implemented based on the following Regulations (EU):
● “REGULATION (EU) no. 651/2014 OF THE COMMISSION of 17 June 2014 on the declaration of certain categories of aid as compatible with the internal market pursuant to Articles 107 and 108 of the Treaty” 1, (hereinafter “Regulation (EU) 651/2014”) and all its amendments/corrections, including “REGULATION (EU) 2023/1315 OF THE COMMISSION of 23 June 2023 amending Regulation (EU) no. 651/2014 for the declaration of certain categories of aid as compatible with the internal market pursuant to Articles 107 and 108 of the Treaty. The period of application of the Regulation ends on December 31, 2026.

The eligible costs for which sponsorship will be granted to Large Enterprises, based on Regulation (EU) 651/2014, are covered by the following articles:

1. Article 14: “Regional investment aid”.
2. Article 38: “Investment Aid for Energy Efficiency Measures other than energy efficiency measures in buildings”.
3. Article 38a: “Investment aids for energy efficiency measures in buildings”.
4. Article 41: “Investment Aid to promote the production of energy from renewable sources, renewable hydrogen and high efficiency cogeneration”.
5. Article 47: “Investment aid for the efficient use of resources and to support the transition to a circular economy”.
   ● “REGULATION (EU) no. 2023/2/2831 OF THE COMMISSION of 13 December 2023 on the application of Articles 107 and 108 of the Treaty on the Functioning of the European Union to de minimis aid’ (De Minimis) (hereinafter ‘Regulation (EU) 2023/2831’) and all its modifications / corrections. The period of application of the Regulation ends on December 31, 2030.