How successful is the effort to attract skilled professionals, after all?

The traditional view of the “brain drain” as a forced “exodus due to a crisis” is now a thing of the past. Today, the outflow of highly skilled human capital is evolving into a quiet, structural realignment that is putting pressure even on the strongest economies.

With “Minds in Cyprus,” the country is attempting to reverse this trend, yet the critical question remains. How ready is the country to turn expectations into tangible, measurable results, while simultaneously addressing the challenges of the cost of living?

The Problem

At the pan-European level, the brain drain is evolving into a “silent” internal crisis, severely affecting even the strongest economies. For example, data show that Germany is the continent’s largest “source” of brain drain, losing more than 91,000 highly skilled citizens annually (mainly to Switzerland and Austria due to wages and taxation), Italy is seeing an 80% increase in the brain drain of its scientists, while the Netherlands and Sweden are under pressure due to the housing crisis and the cost of living. In contrast, the only countries in Europe that have managed to completely reverse this trend are Lithuania and Bulgaria.

This phenomenon is also affecting Greece, but in a more selective manner, as the exodus is now focused almost exclusively on highly skilled workers. According to the latest data, the number of Greek university graduates permanently residing in Europe has reached 128,500, marking a sharp annual increase of 12.1%, while emigration of individuals with lower educational backgrounds remains completely stagnant. To reverse this trend, the Greek government is implementing targeted measures through the “Rebrain Greece” program.

Out-migration trends from Cyprus as well

Naturally, Cyprus could not remain unaffected by the brain drain of skilled professionals. Although there are apparent signs of stabilization, the problem persists, with the country making commendable efforts to attract talent.

Through the “Minds in Cyprus” plan, tax exemptions of 50% and 20% are offered to Cypriot professionals who have worked abroad for at least seven consecutive years and decide to return home. These incentives have already sparked intense interest in returning.

But they have also raised questions.

The Aftermath

Before we ask our questions about the Minds in Cyprus program—and whether this initiative has tangible results—it’s worth taking a look at how the recent event in London went.

Sources from Invest Cyprus, the organization that, together with the government, is responsible for promoting the program, told *Alpha tis Kyriakis* of a very successful event with a particularly positive reception and increased interest from companies and professionals

The same sources emphasize that the Cypriot delegation’s visit to the British capital is considered an outstanding success, with the participation of 25 companies and approximately 250 to 300 interested parties. Business representatives expressed their complete satisfaction with the caliber of the talent they encountered.

The interest shown appears to have whetted the appetite for more, with the government already considering the next stops on this roadshow. Although final decisions are expected from the Presidency, destinations such as Athens, New York, Australia, and even Africa are on the table.

As for available job openings, approximately 100 positions were posted during the event in London, but the total number on the Ministry of Labor’s official platform is much higher. Currently, more than 750 job openings are posted on the platform from dozens of companies looking to hire staff.

Finally, the dynamic nature of the initiative was emphasized, with the government and the relevant ministries showing a willingness to listen to feedback from the market and the public, taking corrective actions and making adjustments to the plan where necessary.

As we were told, the general feeling is that there is very good momentum, with an extremely positive response. It was emphasized that the plan is dynamic and, if suggestions are heeded, it can be modified for better implementation. At the same time, it applies not only to employees but also to the self-employed who wish to relocate their headquarters to the island.

The Questions

Through this initiative, Cyprus aims to attract back a significant portion of its skilled workforce. However, to avoid merely talking about successful events, we need to assess whether these efforts are yielding tangible results.

Some questions have arisen regarding “Minds in Cyprus,” such as how many people have ultimately found employment through this program. On the one hand, we have the platform where job postings are listed, and as we mentioned, there are over 750. However, the platform is purely informational in nature, and there are currently no figures on how many people went through interviews or how many were ultimately hired. Therefore, it is not immediately clear how many positions have already been filled, or how many people have actually applied, so that we can measure the impact of this initiative in concrete terms.

Furthermore, one of the most critical issues raised is whether the government’s tax incentives are strong enough to offset the high cost of living and expensive rents in Cyprus. Responding to this concern, the same sources emphasized that the package is an important tool, as it offers tax relief of 25% and 50%, depending on income brackets, as well as additional relief for children’s school tuition.

However, the picture remains unclear at this point because, as we were told, the actual impact of these incentives will only become apparent when tax returns are filed next year, that is, in 2027.

Finally, there is also consideration of expanding the program to more countries. Athens, for example, is a logical next step, as both the Cypriot business community and specialized professionals have strong ties to Greece.

What is somewhat surprising, however, is the mention of the U.S., Africa, and Australia. These are countries that are very far removed from Cypriot reality, and it seems we are “banking” on a small percentage of people who might repatriate. Added to this is the issue of cost—both for the government’s events and for the Cypriot companies themselves (or at least those based on the island) to travel, for example, to New York, despite the strong political ties and connections with the Greek-American community there.

Finally, it should be noted that the program is entering its second year of operation, and any amendments or decisions will be made by the government.