A new chapter in Cyprus-German relations: An era of hope and opportunity awaits

The dust has settled on the German election held on 23 February 2025. As the conservative CDU/CSU emerged victorious under the leadership of Friedrich Merz, an air of optimism could be felt everywhere. There has been a notable shift to the right, demonstrated by the result of the Alternative für Deutschland (AfD).

But our association remains optimistic: we hope that all political parties will turn this impetus in a positive direction, thereby helping to pave the way for unity and stability. The EU is getting ready for Cyprus’ hold of the presidency of the European Council midway through the year 2025 – and what better time to try and increase awareness of our causes, and to develop further links between a new Germany. CGBA believes that this is a moment of chances and hope. Since its founding, this has been our role: to act as a catalyst for cooperation, a bridge-builder, and a door-opener.

"This new German government will, one way or another, leave its mark on Cyprus"

It is our conviction that this new German government will, one way or another, leave its mark on Cyprus. The question then arises – what sort of mark will it be? I think the result can only be positive. Germany, as Europe's economic powerhouse and an influential player in the European Union, takes a political tone that resonates throughout the continent. Friedrich Merz, a leader whose background is in business and entrepreneurial practice and not just policy, signals – through his rise to power – a promise to turn around the economies of Germany. Focus on this sort of economic renaissance will, indirectly, benefit Cyprus as well: for it means more trade, more investment and a growing economy within the fold of the EU.

Cyprus’ close bilateral links with Germany include a shared dedication to cultural exchanges, cooperation on security matters, and economic partnership. These ties will be strengthened by a stable and progressive German government.

Whether through initiatives like the Goethe-Institute or defence collaborations, Germany has always stood by Cyprus, offering support in the way of trust. If a new government is formed which values stability, then with its help Cyprus can extend these efforts further still – giving us a loyal partner indeed as we navigate regional uncertainty.

Far from being thought of negatively, this change is an opportunity in which we can reinforce our friendship and look for new fields of joint benefit.

"All signs point to a bright future" for German enterprises in Cyprus

What will it mean for German enterprises in Cyprus? All signs point to a bright future. German companies, particularly in such industries amongst many others as shipping, tech and services, already have an important part to play here in our economy. With Merz’s emphasis on economic growth and trade freedom, these companies should flourish in an encouraging environment. His proposal to negotiate a Europe-US free trade treaty might ease the prospects of potential tariffs, to the advantage of manufacturers in Germany – and also, ultimately, their operations based in Cyprus.

Furthermore, a stable German government that concentrates on innovation and is committed to improving infrastructure might well stimulate German companies to invest more deeply in Cyprus which is a centre for shipping, tourism and new technologies. CGBA is ready to act as the springboard for these companies, linking Cypriot and German businesspeople so they can share skills and form networks. Our function as a bridge-builder has never been more important than it is today, and we look forward to seeing how this new stage can attract German companies, leading to growth of the economy in both countries.

German election result, as Donald Trump's re-election, offer "an element of surprise"

As the show gets underway, Germany's election in conjunction with global events such as the re-election of Donald Trump in America adds an element of surprise. The Trump administration has pledged to take sharp actions, such as tariffs that would dent global markets. But from my standpoint, this is not an obstacle; rather, I see it as a chance for Germany and Cyprus to work together more closely. Mr Merz's practical leadership may make Germany effective in negotiations with the United States. This will protect European interests – including those of Cyprus – and provide a solid basis for balanced transatlantic relations, and brings Europe closer together, facing the global challenges truly as a Union.

Outside economics, CGBA remains committed to a vision of peace and stability both for our area and the world at large. The division in Cyprus and tension from other sources cause us to remember the importance of both peace and stability. Germany's new government has potential in Europe and the world, once unifying Germany politically again. In this process it is a helper on the side of dialogue and reconciliation. We hope that the election now taking place ushers in a world where bridges get built, not walls; and where Cyprus and Germany act together as examples for cooperation.

Anticipating the future with hope

At the CGBA, we celebrate the election results not for their political leanings – our stance remains proudly neutral – but for the promise they hold. A stable, growth-oriented Germany is a Germany that can lift its partners, including Cyprus, to new heights. We envision a future where German companies flourish in Cyprus, where our bilateral trade blossoms, and where our joint efforts in the international arena foster peace and prosperity. With Cyprus’ upcoming EU presidency and a constructive approach to Germany’s political landscape, the stage is set for meaningful progress.

As we move forward, the CGBA will continue its work to strengthen ties, facilitate networking, and drive economic opportunities. This is a moment to embrace, a chance to build on our shared history and chart a course for a brighter tomorrow. Together, Cyprus and Germany can show the world what collaboration truly means – bridging divides, creating growth, and inspiring hope. Here’s to a new era of possibility!

*By Christian Gihr, President of the CGBA-Cyprus Germany Business Association