- Cyprus Property News Magazine - https://www.news.cyprus-property-buyers.com -

Critical meeting to save Chinese airport deal

CYPRUS Minister of Communications and Works Efthimios Flourentzou will hold a meeting with the Chinese investor Yang Ki on Wednesday, during which he will try to convince him not to withdraw his interest regarding the Larnaca airport investment project.

Speaking to the Cyprus News Agency, Flourentzou said that he received a letter from the Chinese investor on August 14, informing the government that he was no longer interested in the Larnaca project due to lengthy and complex procedures.

Flourentzou said that lengthy and complex procedures in the Chinese airport investment project were not the case. “From our side there were not lengthy and complex procedures. Contrarily, there was an accelerated process”, he added.

Replying to a question, Flourentzou said that he will have a meeting at his office with the Chinese investor, next Wednesday, August 22, at 3.00 pm.

“My effort will be focused on convincing him to withdraw his letter, with which he announced his intention to withdraw his interest from the airport investment project, and let the process of the evaluation of his investment proposal to be concluded”, he said.

Chairman of Cyprus Investment Promotion Agency (CIPA) Christodoulos Angastiniotis, speaking to CNA said that the decision of Yang Ki to withdraw his investment interest due to lengthy and complex procedures is justified.

He also said that CIPA is not participating in the evaluation committee for the Chinese investment project in the old Larnaca airport. However, he said, CIPA is participating in the Rapid Licensing Mechanism for the implementation of Strategic Investments.

Angastiniotis said that a big number of cases are pending before the Rapid Licensing Mechanism for the implementation of Strategic Investments, which had its first meeting on August 1, 2012. However, CIPA Chairman refrained from getting into details about the proposals for investments in Cyprus.

On March 28, 2012, Hermes Airports, the company managing Cyprus’ airports, and Far Eastern Phoenix concluded a €600 million investment deal, believed to yield big financial benefits for Cyprus.

Under deal, Far Eastern Phoenix planned to redevelop the old Larnaca airport; building a commercial showroom for Chinese products, an exhibition area, bonded warehouses and a small conference centre.

Chinese multi-million airport deal collapsed