Just four social enterprises have applied and registered in Cyprus since the passage of the corresponding legislation in 2021, according to what was said on Tuesday during the session of the Parliamentary Committee on Energy, which examined the issue of the course of implementation of the legislation, for the establishment of social enterprises in Cyprus and the strategic planning of the state.
In his statements after the session, AKEL Member of Parliament Andreas Pasiourtidis expressed concern and disappointment over the course of implementation of the institution, explaining that although the regulations were issued in December 2023 and the registration criteria were determined by the Council of Ministers in July 2025, the response has so far been very limited.
"We understand that this development is, in addition to disappointing, also regrettable," he stressed, underlining that the main objective of the legislation to promote the creation of social enterprises has failed miserably.
According to Mr. Pasiourtidis "in the context of the discussion of the ex-officio issue on the course of implementation of the legislation - which we registered as AKEL - we have heard that only 4 companies have applied to be registered as social enterprises".
He added that based on the dates "this thing, apart from being disappointing, is also sad because, if the purpose of the legislation when it was passed was to promote the registration of social enterprises, we have to admit that it has failed miserably".
"This," he noted, "has many contributing factors, one of which we believe is the lack of incentives, the lack of promotions, which will help foster a culture of establishing social enterprises."
Mr. Pasiourtidis stated that he can accept the argument of the Commissioner of Cooperation and Social Enterprises that in Cyprus we do not have such a culture, but added that "culture is cultivated, culture is created and in order to create a culture in a people that has not had it for years, actions need to be taken".
As he said, "responsible for these actions is the government, which unfortunately seems not to have a high priority on promoting the registration of social enterprises.
"I want to believe that from January 2026, when - as announced to us - there will be a press conference and campaign to promote social enterprises, those data will be created that will allow and motivate those who want to register social enterprises," he said.
In addition, he described the amount of 10,000 euros as initial capital or sponsorship insufficient, as the registration and operating costs are significantly higher.
He also sounded the alarm about the lack of awareness of key bodies, such as the Confederation of Disabled Persons, about the current regulations and criteria.
The AKEL member of parliament called on all involved bodies to strengthen the effort, while he announced that the matter will be reviewed soon, with the aim of turning the legislation into reality and promoting initiatives for the establishment of social enterprises.
Finally, he reminded that there are two categories of social enterprises, that is, those that deal with social, cultural or environmental issues and those that aim to integrate vulnerable social groups, such as the disabled, immigrants and prisoners.
"The provisions of the legislation concern very serious issues and Cyprus really needs the development of such businesses", he concluded.
