Frequently Asked Questions
What is the minimum initial capital required for a Payment Institution License in Cyprus?
The initial capital requirement ranges from €20,000 for money remittance services to €125,000 for full payment services
What services can a Payment Institution offer in Cyprus?
Services include executing payment transactions, issuing payment instruments, money remittance, and providing payment initiation and account information services
What are the key requirements for obtaining a Payment Institution License in Cyprus?
Requirements include a sound business plan, appropriate governance and internal controls, and adequate risk management and AML procedures
How long does the licensing process typically take?
The process can take several months, dependent on the completeness and quality of the application submitted to the Central Bank of Cyprus
Can a Payment Institution operate across the EU?
Yes, once licensed in Cyprus, a Payment Institution can offer services throughout the EU under the passporting rights provided by the license
What ongoing compliance obligations are there for Payment Institutions in Cyprus?
Institutions must maintain adequate operational and security measures, regularly update the Central Bank of Cyprus on their activities, and ensure continuous adherence to AML and KYC regulations
What are the benefits of establishing a Payment Institution in Cyprus?
Cyprus offers a strategic EU location, robust regulatory framework, competitive corporate tax rates, and a skilled professional services sector