Be careful of the sharks that swim on the land and feed on the crisis, which includes our own Government

There are always winners and losers in every recession, in addition to the unscrupulous people that feed of the vulnerable during hard times.

For example 4 men and woman were recently arrested in Larnaca for loan sharking. The suspects in question (all in their 30's and 40's), were detained by Police, after a local businessman aged 34 filed a complaint.

In essence the businessman borrowed the sum of €23,000 at a 30% interest rate (we thought the bank of Cyprus was expensive, but they don't give loans anyway now) from 3 different suspects. The businessman claims he already paid back €30,000 to date but the suspects allegedly demanded another €70,000, which accounts to considerably more than the 30% interest involved.

The businessman was forced to borrow the money due to a financial issue, which is commonplace at present in Cyprus.

The suspects were held in connection with extortion, usury and profiteering. The trouble is our own Government in collusion with the Troika is actually guilty of similar charges over the whole population in the past year of so. In essence the Government and banks caused the economic crisis and then penalized the population for the problems they generated, by resorting to the tactics of common criminals by taking money from peoples bank accounts and then increasing all taxes to cover for their mistakes. The difference being that we can catch the loan sharks by appropriate use of the law, but when it comes to the Government and Banks, they are a law unto themselves!

The Government is hell bent on destroying small businesses in Cyprus

Ever since the recession started in Cyprus and the disastrous bail-out crisis that followed, small and medium sized businesses (SME's) have been under constant attack by the Government. Tens of thousands have gone bankrupt and cannot afford to operate, yet the Government directed by the Troika are hell bent on destroying the small businessman through a series of Corporate Tax increases, new company taxes, increases in VAT, property taxes, international banking restrictions, theft from bank accounts, no credit facilities and tough tactics to collect funds when the man on the street is trying to survive. 

Cyprus was once the land of the small businessman, but that has now dramatically changed. It seems that no allowances are made for the SME's and the result is a mass of closures. It seems that the banks and Government who brought the country to into the mes we are in, are making the rules up as they go along by forcing the man on the street to pay for what they have done.

Now the story continues to get worse with the Annual Government Levy that was €350 until 30/06/2014 will be increased as from 01/07/2014 until 31/08/2014 to €385.

Then as from 01/09/2014 until 30/11/2014 the amount will be increased to €490.

A company that generates millions pays effectively the same as one that generates hundreds or even dormant. Of course to a large company €490 is nothing, but to a small business its the difference between surviving or not and another major blow.

In summary Cyprus is no longer SME friendly and it appears that the agenda is to squeeze out as many SME's as possible to bolster the business advancements of the mega companies and multinationals, so that the new workforce can be placed on the minimum wage.

4 apartments broken into in Larnaca, as crime continues to rise across the island

4 apartments were broken into this past week on Piale Pashia street (old Turkish area) in Larnaca.
A Police report indicated that the burglars prized the front door lock of the building open to gain access to the building.

We understand among numerous items stolen valuable jewellery was taken also. The owners of the apartments were actually away and Police are attempting to contact them in order to appreciate exactly what was taken.

Upon arriving at the scene officers noticed that other apartments on the same floor also had their front door locks removed.

This incident is one of many this summer as clearly crime is on the rise in Larnaca, no doubt impacted by the Islands economic woes.

Countdown to nominations - Daxi Business Awards 2014

Do you feel your employer is one of the best? What business do you like most in Larnaca?

Give the the business on your choice the recognition they deserve by nominating them for the 'Employer of the Year' Award! Nominations now open! ‪#‎daximagazine‬ ‪#‎awards‬ ‪#‎cyprus‬‪#‎events‬

Financial Crisis is Driving People Abroad

We do not need to inform you that hundreds of Cypriots who are unemployed are abandoning the Island in search of a better future abroad.

Case in point, a EURES study contacted by the Ministry of Labor and showed that 742 Cypriots aged 18-29 left Cyprus back in June to December 2012. This number then doubled in 2013 and in particular after the Eurogroup fiasco 65 to 142 people left Cyprus each month to seek new opportunities, compared to 14-54 people each month from June to December 2012.

The study also shows:
  • 28% of people aged 18-28 intend to leave
  • 62% of these same people have a degree 
  • Moreover younger aged youths in the 22-25 bracket are also considering leaving the island.
Its important to mention that people who live in the cities that have been most affected by the current recession are subsequently more likely to leave the island.
  • 33% in Famagusta
  • 31% in Paphos
  • 29% in Larnaca
  • 28% in Limassol
  • 27% in Nicosia of people took part in the survey plan to abandon Cyprus in the near future
While the Government have taken some measures to address this critical problem, they have so far been wholly insufficient and impotent.Moreover, with the various Tax hikes and challenging measures that are crippling local small businesses, one wonders who will be able to employ young people in the future!

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