Turkish Republic of Northern Cyprus: Encyclopedia II - Turkish Republic of Northern Cyprus - Economy

Turkish Republic of Northern Cyprus - Economy

Commercial banks in Northern Cyprus are of two kinds. There are banks which are branches of large organisations based in Turkey, and local banks. Many of these banks have correspondents in other countries. Transactions can be carried out in all leading currencies. The Central Bank of Northern Cyprus is responsible for the monetary, credit and exchange policy, and acts as banker to the government. Banking hours for the public: 8:30 a.m. - 2:00 p.m. in summer. On Mondays also open from 3:00 - 6:00 p.m.

Compared with most countries in Western Europe, the cost of living in Northern Cyprus is low. Locally produced products or those produced in Turkey are generally cheaper than their European counterparts. However, goods imported from Europe tend to tend to be higher in price than their country of origin. Very cheap are cigarettes and alchohol.

The use of credit cards is increasing in Northern Cyprus, but visitors are advised not to rely on them as their only financial resource as the majority of establishments still do not have the facilities to accept them.

The legal tender of Northern Cyprus is the Turkish Lira. As exchange rates change, daily to the visitior's advantage it is advisable not to buy large amounts of the currency before embarking on your holiday. Most shops will also be quite happy to accept major foreign currencies.

Development activities in Northern Cyprus are carried out according to economic planning in accordance with the constitution. In Northern Cyprus, tourism plays a large role followed by tertiary studies, industry, agriculture, transportation and health sector respectively. Ont of the most important steps of the structural change to spur the economic development in Northern Cyprus is privatisation of state owned industries.

Investing in Northern Cyprus` banks can be highly lucrative as interest rates on foreign currencies tend to be much higher than those in Europe. There are also an increasing number of off-shore banking opportunities opening up which visitors may be interested in looking into.

Carobs, Carpet weaving, Hellim, Lefkara ambroidery and lace, Nuts, Olives, Tobacco, Wicker basket weaving

Adapted from the Wikipedia article "Economy", under the G.N U Free Docmentation License. Please also see http://en.wikipedia.org/wiki