Cyprus expects to grant first casino resort license within a year
NICOSIA (Reuters) - Cyprus will grant its first license for a casino resort within about a year, the government said on Friday, to be built in the south of the island where gambling has been strictly prohibited.
Scores of Greek Cypriots regularly cross into northern Cyprus, a breakaway Turkish Cypriot state recognized only by Ankara and where there are several casinos.
The ruling Conservatives see allowing gambling as vital for the tourism industry, creating jobs and attracting big spenders, particularly after last year's international financial bailout.
Cyprus's previous communist government, in power until early 2013, had flatly refused to entertain the idea despite reported interest from foreign operators. Some Cypriots still see gambling as socially and morally undesirable.
The island draws about 2 million tourists a year, with the sector representing about 10 percent of overall output.
Authorities said they would invite expressions of interest in a two-stage selection process once approval of relevant legislation is approved by parliament.
"This will be one of the most important infrastructure projects in Cyprus in coming years," Cypriot government spokesman Nicos Christodoulides said.
The license would be valid for 30 years, and the successful bidder would get an exclusivity agreement for 15 years. The state would charge a 15 percent tax on gross income from gambling, Christodoulides said in a statement.
- More troops deployed in Ferguson to guard against fresh riots |
- Merkel hits diplomatic dead-end with Putin
- Ukraine reports new arrivals of Russian supplies for eastern rebels |
- Jewish-nation bill frays Israel's delicate social fabric
- Gunshots echo as violence returns to Ferguson, protests across U.S.
We are living longer but not creating financial plans to keep pace. Advisers give tips on how to make sure you don’t outlive your money. Video