The growth model followed by the TCc in the past few decades has relied heavily on foreign and public involvement in the economy. Fiscal incentives have been used to spur private investment; public employment to absorb labour to keep unemployment in check and to provide young graduates with opportunities. More attempts are now made to promote sector growth to move the economy away from its reliance on the public sector, spur private job creation, and increase income convergence with the government controlled areas. Upon reunification, Micro and Small Sized Enterprises (MSMEs) will be required to comply with the aquis. Suitable support is necessary to make enterprises aware of best practices in various sectors, including corporate governance, business ethics, and trade. In some areas this will require considerable investment to reach, for example, adequate environmental standards.
References
347
Technical assistance to build the capacity of local stakeholders (including business support organisations and enhance the competitiveness of the private sector
Economic Development, Governance & Human Development,
Cyprus, Northern Part,
11/2015 - 09/2018
EEAS - European External Actions Service
2,270,970 €