President Christodoulides called on Europe to stem the brain drain of talented young people to American tech giants, warning that the continent cannot afford to lose its brightest minds to Silicon Valley and other US hubs.
Speaking at the European Parliament in Strasbourg on Tuesday as Cyprus presented its EU presidency priorities, Christodoulides recalled visiting the US last year—from Silicon Valley to Houston and New York—to attract investment in key sectors.
“I was struck that in the greatest American companies the talented humanpower were Europeans,” he said. “We simply cannot afford to lose our talented young people. We need to create the conditions for them to return, do business and innovate in Europe.”
The President made economic competitiveness the second pillar of Cyprus’s presidency, declaring that “in today’s world, only a more competitive Europe can be a more autonomous Europe. Economic strength and strategic strength go hand in hand.”
Europe faces intense geoeconomic competition, strained supply chains and accelerating technological change, he warned. “Our response must therefore be pragmatic, focused, and firmly rooted in the real economy.”
Make Europe faster, simpler, smarter
“Competitiveness is the ability to invest. To innovate. To produce. To scale. To lead,” Christodoulides said. “We must make Europe faster. Simpler. Smarter.”
Cyprus will push a simplification agenda that reduces burdens particularly for small and medium-sized enterprises, “the backbone of our economy,” he said. The presidency will work with the European Parliament to conclude key files that cut red tape.
“But competitiveness is not only about removing obstacles. It is also about building capability,” he said. Completing and strengthening the Single Market and deepening capital markets through the Savings and Investment Union remain central to European integration.
Cyprus will prioritise modernising industries and “Europe’s ability to innovate and produce the technologies of tomorrow, while advancing hand in hand the green and digital transitions.”
Energy Union and digital autonomy
“Strengthening Europe’s digital and energy autonomy is also a strategic imperative,” Christodoulides said. “This requires diversified supplier networks and routes, affordable and predictable energy prices, modern infrastructure, and strong interconnections.”
“Now is the time for a true Energy Union,” he declared.
Competitiveness must be inclusive, benefiting all regions including island, peripheral and less-connected areas, he said. “Connectivity is essential.”
Resilient ports, sustainable low-carbon production and strong agricultural and food systems “are all integral for our competitiveness,” he added.
Trade and openness
“An independent Union is also a Union open to the world,” the President said. “It is a Union that engages with the world from a position of internal strength and confidence.”
An open, robust and sustainable EU trade policy through expanding the Union’s network of trade agreements is vital. This includes deepening partnerships with key partners such as the United Arab Emirates and India, “defending the rules-based multilateral trading system and ensuring the effective implementation of our agreements.”
Cyprus will continue engaging constructively with the US on all issues of common interest, as well as with like-minded partners such as the UK.
The geoeconomic landscape is rapidly evolving and unpredictable, Christodoulides warned. Trade tensions are mounting whilst strategic dependencies are weaponised. Technological advances are reshaping societies.
But “Europe’s competitiveness grows through openness,” he said. The continent must strengthen its network of free trade agreements and believe in its collective capacity to shape change.
The next Multiannual Financial Framework “must become the vehicle through which the Union delivers on defence and security, competitiveness, sustainability, resilience and cohesion,” he said.
“This is our shared interest and our shared responsibility,” Christodoulides said. Cyprus is committed to delivering “a balanced, robust and ambitious framework for the Union’s future.”
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