GOOD NEWS FOR CYPRUS The sudden lifting of restrictions on the amount of money which can be taken out of Britain is good news for Cyprus. Reaction here to the announcement, which took the financial world as well as the ordinary Briton by surprise, has been cautious, with Cypriot banking officials and businessmen adopting a “wait and see” attitude. Under the British Govrmment’s move, people and companies in the United Kingdon can buy as much foreign currency as they wish, and for whatever purpose. Holidays and business trips, —_in- vestment abroad and the opening of bank accounts in other countries, are no longer subject to the British Treasury Department's approval, unless they in- volve Rhodesia. The measure __is expected to _boost_in- high-ranking official told The Cyprus Weekly: “We are still waiting for the official text of the British government's announce- “But if the pound sterling is now really freed of all restrictions, this would help us a lot here in Cyprus. It would mean more investments by Britons, and of course Cypriots living in the U.K. will be able to send their money home if they want to.” The British Chancellor, Sir Geoffrey Howe, told the House of Commons that the “TL restrictions, which were in- troduced at the start of the Second World War. have (Continued on back pase ) A EAL GOOD (Continued from front page) now “outlived their useful- ness ~ , His action does away with the so-called dollar premium which made in- veshnent abroad an expensive move, and which has always made Britons think twice about buying land or building houses in Cyprus, The restrictions were cased earlier this vear, but now the pound Sterling is completely freed. This first effect of the lifting of restrictions was a drop in the value of the pound against foreign currencies, which is precisely what Sir Geoffrey had in mind. He felt it was too high. It is for this reason, mainly, that the action represents a mixed blessing for Cyprus. On the positive side, British investment on the island will be encouraged by the move. However, with the drop in value, Britons will have to pay out more Sterling. Cheaper Imports Imports from Britain should he cheaper while exports from Cyprus to the United Kingdom will cost more. It is too early to judge whether Cypriot trade will be adversely affected. The thousands of Greek Cypriots living in Britain will now find it much casier to send nioney home to buy property or in- vest in enterprises but it has always been accepted here that those wishing to do so usually found a way around the restrictions! Commented one Cypriot banker: “Now they can do it with a clear con- science, and without fuss.” Estate agents in Cyprus were delighted by the move. As the manageress of a Limassol firm said: “It has always been a problem facing anyone from Britain wanting to buy a house, ora piece of land. Ae ae WY VENL YY NEWS “Often, they have been forced to build a smaller house than the, wanted because of i}, restrictions on getting the money out.” Shackles Are Off” “Now they can de what they like, but we du not expect a rush. How ever, anything whic makes that sort of trans. action easier has to be goo news”. The partial lifting =| the restrictions earlier in i}ie year provided a boost fur Cyprus tourism, but it is now felt the latest move might encourage more people to come here during ¥ the winter months inste:! of leaving Britain durivy the summer only. “The shackles are ott.” was the comment fron, + Nicosia travel agent. °A]! we can do is hope that the British choose Cyprus i» which to celebrate thes new found financial frec- dom.” beet 85 ee ee ee -