Aviation: The next major opportunity for Cyprus

*By Frederic Pralus For years, when aviation in Cyprus was discussed, the focus was almost exclusively on arrivals, departures, and tourism turnover. These are, of course, indicators that justifiably occupy public debate in a country where a significant part of the economy and employment depends on tourism. Today, however, aviation is much more than that. My participation in the recent European Aviation Strategy Summit, held in Nicosia as part of the Cyprus Presidency of the Council of the European Union, confirmed that Europe now approaches aviation from a different perspective. It is no longer seen only as a means of transport, but as a strategic sector that generates investment, specialised employment, know-how, and competitiveness. This shift in approach is worth reflecting on constructively. The economic impact The value of aviation is not measured only by the number of passengers passing through an airport. It is also measured by the services exported, the investments attracted, the quality jobs created, and the capital flowing into the Cypriot economy. In the sector I know best, aircraft maintenance and repair ( MRO ), every contract awarded to a Cypriot company means export of services, tax revenues, social insurance contributions, and meaningful economic activity for dozens of other businesses. At the same time, it brings specialised professionals to Cyprus, who live and work in the country for weeks or even months, supporting the local economy, particularly during periods of lower tourism activity. Those of us active in the sector know well that none of this is self-evident. Every maintenance contract secured by a Cypriot company has been won in a highly competitive international environment, against established markets in the wider region. This is not merely a business success; it is a success for the Cypriot economy, as it brings income, know-how, and activity that would otherwise be directed to competing markets. The selection of a Cypriot company by a major European airline is not based on geography or chance. It is the result of continuous investment in people, infrastructure, and expertise, as well as compliance with one of the strictest regulatory frameworks in the world. Trust in our sector is not granted; it is earned daily. From a national economic perspective, attracting such contracts represents the export of high value-added services. When combined with investments that strengthen Cyprus’ position as a regional hub for aviation services, enabling the sector’s further development is not only a business priority. It is a deliberate development choice for the country. Cyprus has greater potential Cyprus has significant comparative advantages that can overcome the structural challenges created by its insularity, particularly in terms of logistics and supply chains. Its strategic geographical location, EU membership, and the presence of internationally active companies create strong conditions for further growth in the aviation sector. The ecosystem that has developed around Larnaca Airport demonstrates that Cyprus can evolve into a regional hub not only for passenger transport, but also for highly specialised services aimed at the international market. At Bird Aviation , we chose from day one to invest in this perspective. Over the course of a decade, we have made successive investments using our own capital, creating new facilities that have doubled our production capacity and enabled the creation of new jobs. More importantly, these investments represent a tangible vote of confidence in Cyprus’ ability to claim a greater role in the European aviation landscape. Achieving this requires, in parallel, cooperation between the private and public sectors, with the active support of institutional bodies such as the Department of Civil Aviation and the Ministry of Transport, Communications and Works, in order to establish a modern and functional framework capable of competing with other countries that are actively developing their aviation sectors. The next challenge The recent conference in Nicosia confirmed that Europe now views aviation as part of its industrial policy, not just as a transport sector. In this context, it is important to remember that the MRO sector in the EMEA region represents a market exceeding €30** billion annually – roughly the size of Cyprus’ economy a few years ago. The key question for Cyprus is therefore whether it will secure the share it deserves in this market. Whether this happens is not a theoretical question, but a practical choice with direct economic consequences. *CEO, Bird Aviation | MRO Part.145