Cyprus wants to make video games, not just host game companies
A deputy minister outlined plans at the Cyprus Games Summit in Limassol, citing an industry report that puts annual game revenue at around €3.2 billion.
Deputy Minister of Research, Innovation and Digital Policy Nicodemos Damianou says Cyprus should move from hosting international gaming firms to an ecosystem where more games are created, financed and developed on the island. He was speaking at the Cyprus Games Summit 2026 in Limassol.
He pointed to the first Cyprus Video Game Industry Report from the Cyprus Game Makers Association (CYGMA): more than 415 companies, over 4,300 professionals and estimated 2025 revenue of about €3.2 billion. By the report's measures, Cyprus has more game companies, higher revenue and more mobile-game downloads per head than any other country.
The authors are open about the limits of the data: the figures are informed estimates based on open sources rather than audited results, and online gambling is excluded.
Damianou listed the incentives already on offer — the IP Box regime for qualifying intellectual property, enhanced deductions for research and development, employment-income incentives and tax breaks for investing in certified innovative companies. The Research and Innovation Foundation already supports innovative firms and has sought market feedback on a proposed programme called G3 (Games Go Global).
On EU regulation, he said Cyprus will take a constructive part in discussions on the European Commission's proposed Digital Fairness Act, aiming for real protection for users, especially children, and for rules that are clear and workable for studios.
Sources
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