Recent amendments to Cyprus International Trust Law have resulted in legislation that now conforms to global best practice.

The new Trust Law introduces a definition of ‘residency’ and the definition of ‘international trust’ has been revised resulting in the following:

• The settlor need not be a permanent resident of Cyprus at the time when the trust is created.

The prohibition of a Cyprus International Trust holding immovable property on the island has been abolished.

The key changes to the Cyprus International Trust Law are:

• Excludes the application of the law of any other jurisdictions, thus enhancing “jurisdictional firewalls” and litigation shields for client asset protection.
• Increase settlor’s freedom by allowing the settlor to retain certain powers while allowing trusts of unlimited duration.
• Abolition of the limitations on investments in Cyprus real estate.