Cyprus: Cash transactions only under € 10 thousand


September 6 2017

The bill prohibits transactions of more than € 10 thousand in cash, per transaction for the sale of goods in the course of a business activity. In fact, receiving such an amount by persons who market goods will be a criminal offense and a fine of up to 10% of the value of the transaction will be imposed.

The European Commission recommends limiting cash use to transactions as a measure to minimize the risk of money laundering instead of due diligence by traders that they have not proven to deliver. Recently, the European Central Bank (ECB) in an opinion issued on behalf of the Portuguese Parliament has accepted the restriction of the use of cash in the public interest in the sense that it is close to the limit set by the EU Directive.

In view of the above, the Cyprus Ministry of Finance requested a new opinion from the ECB. Strongly disagree with limiting the use of cash to lawyers, auditors and banks.