VZCZCXYZ0007
PP RUEHWEB

DE RUEHNC #0003/01 0031400
ZNR UUUUU ZZH
P 031400Z JAN 08
FM AMEMBASSY NICOSIA
TO RUEHC/SECSTATE WASHDC PRIORITY 8445
INFO RUEHTH/AMEMBASSY ATHENS PRIORITY 3950

UNCLAS NICOSIA 000003 
 
SIPDIS 
 
SIPDIS 
 
STATE FOR EB/CBA (DENNIS A. WINSTEAD), EB/EX AND EUR/SE 
 
E.O. 12958: N/A 
TAGS: BEXP ABUD AMGT ETRD ECON EINV BTIO CY
SUBJECT: CYPRUS' PROPOSAL FOR BFIF FUNDS 
 
REF: STATE 159597 
 
¶1. Summary: Embassy Nicosia requests BFIF funding to: 1) reserve 
space at the 2008 Cyprus Travel show to promote tourism to the U.S. 
as well as to cover costs for related advertising and printing of 
promotional materials; 2) cover travel expenses for two FSN's for 
BSP and E-menu training, as well as training on the new TMS system, 
to FCS Cairo, Egypt; 3) promotional and advertising costs for the 
new "Business Service Provider" program and the BuyUSA Cyprus 
website; 4) send the Economic/Commercial Officer to Athens to 
participate in the planned Greece-Cyprus joint Healthcare Trade 
Mission from the U.S. in late May; 5) send Economic/Commercial 
Officer to an International Trade Officer Conference in Brussels in 
March; 6) in cooperation with the newly-formed Cyprus Investment 
Promotion Agency (CIPA,) create information kits and market 
assessments alerting the U.S. business community to business and 
investment opportunities in Cyprus. End Summary. 
 
¶2.  Embassy Nicosia requests funding to cover costs of participation 
at Cyprus' annual Travel Show (May 9-11, 2008) for the purpose of 
promoting tourism to the U.S.  Moreover, post requests funding to 
advertise its participation and to print brochures and other 
promotional material. 
 
a) Justification:  given the Euro's appreciation against the US$ and 
Cyprus having joined the Eurozone on January 1, 2008, this is an 
opportune time to promote tourism to the U.S. from Cyprus.  This 
will also give us an opportunity to create closer relationships with 
tour operators, airlines, and the media for ongoing promotion of the 
U.S. to Cypriot travelers as an attractive tourist destination.  We 
need to alert Cypriot travelers that the U.S. is a lower-cost 
alternative to the traditional Cypriot shopping and/or gambling 
expeditions to the U.K. 
 
b) Anticipated outcomes:  Statistics show that of 844,640 trips 
taken abroad by Cypriots in 2006, only 10,779 were to the United 
States.  Conversations with local travel agents indicate that there 
is significant potential for growth.  In cooperation with the DOC 
Travel and Tourism team and tourism promotion centers throughout the 
U.S. - and through our promotional effort here - we anticipate that 
raising awareness of the relative bargain prices for goods and 
services in the U.S. will generate a significant increase in Cypriot 
outbound tourism. 
 
c) Estimated costs:  Booth costs at Travel show (for 15m2): $2,372 
($158.125 per square meter / conversion rate is CY#1 = USD 2.50); 
Advertising costs: 4 half-page ads in the highest circulation 
newspaper x $2,943.60 (2000) each = $11,774; printing of brochures 
and other promotional material: estimated $2,000.  Total estimated 
cost: $16,146. 
 
d) Point of contact: If you wish to get more information on this 
project, please contact the Commercial Specialist, Ms. Ephie-Yvonnie 
Charalambidou at charalambidouey@state.gov or +357-22-393362 or 
Economic/Commercial Officer Mr. James Carouso at carousoja@state.gov 
or at +357-22-393359. 
 
e) Success criteria will include an increased number of 
high-spending tourists visiting the U.S. from Cyprus. 
 
¶3. Post requests funding to send two FSNs to FCS Cairo, Egypt for 
training with the regional IT programs manager on the new TMS 
system, for the "Business Service Provider" program, and for E-menu. 
 In association with upgrading our online capabilities, Post also 
seeks funds to cover promotional and advertising costs for our 
recently-inaugurated "Business Service Provider" program and the 
BuyUSA Cyprus website. 
 
a) Justification: The BuyUSA Cyprus website is getting an increasing 
number of hits (up 73 percent) and page visits (up 94 percent) from 
December 2006 to December 2007. To continue this momentum, we 
recently introduced the "Business Service Provider" program to our 
website.  However, the two FSN's working on the website require 
additional training on how to enter information on the BSP program 
and on the TMS system in view of its scheduled changes.  In just one 
month, we have received over twenty (20) applications from Cypriot 
businesses asking to participate in our BSP program.  We want to 
ensure that these companies will get the most out of their 
investment in our program.  Moreover, we would like to advertise our 
website and the services we offer, especially the BSP, in order to 
attract more U.S. and Cypriot visitors to our site. 
 
b) Anticipated outcomes: The training will help the FSN's handle the 
TMS and BSP systems more efficiently and effectively.  A promotional 
campaign will attract more U.S. and Cypriot visitors to our site and 
increase participation in our BSP program as well as inform U.S. 
businesses of the services we offer. 
 
c) Estimated costs: Ticket costs to fly roundtrip from Cyprus to 
Cairo - approximately $435 per person (435x2=870); Per Diem, per 
day: $228 per person (including hotel accommodation and M&IE 
(228x4=912x2=1,824); Total estimated cost for a four-day trip for 
both FSN's: $2,694 
 
Funds to cover advertising costs (banner headlines on websites, 
small newspaper ads, mailing of information on BSP program and 
website): estimated cost: $2,500. 
 
Total estimated cost for both: $5,194 
 
d) Point of contact: If you wish to get more information on this 
project, please contact Commercial Specialist Ms. Ephie-Yvonnie 
Charalambidou at charalambidouey@state.gov or +357-22-393362 or 
Economic/Commercial Officer Mr. James Carouso at carousoja@state.gov 
or at +357-22-393359. 
 
e) Success criteria: FSNs are not yet fully proficient in the TMS 
and BSP systems and this training would help them become less 
dependent on other posts and more efficient in using the latest FCS 
systems.  Advertising the website and BSP program would assist Post 
in raising money to use for other commercial promotion purposes. 
 
f) Post will ensure that the FSNs remain adequately trained on the 
TMS system. 
 
¶4. Post requests funding to send the Economic/Commercial Officer to 
Athens to attend a joint (Greece/Italy/Cyprus) FCS-sponsored trade 
mission for the healthcare sector May 28-31, 2008.  This trade 
mission is led by our Partner Post in Athens and is seen as part of 
our joint efforts to promote business opportunities in Cyprus to 
U.S. companies and businesspersons. 
 
a) Justification: Since this is our first joint trade mission with 
Athens, and healthcare is a targeted growth sector for the Cypriot 
government, the Nicosia FCS Officer should participate in the 
mission and escort the participating Cypriot healthcare companies. 
This joint trade mission represents a new level of cooperation and 
synergy between Nicosia and its Athens Partner Post. 
 
b) Anticipated outcome: Precedent-setting co-effort with our Partner 
Post leading to U.S. companies and businesspersons gaining increased 
awareness of the Cyprus market in a sector of importance to both 
economies. 
 
c) Estimated costs: Ticket cost to fly roundtrip from Cyprus to 
Athens - approximately $500 per person; Per Diem, per day: $325 
($325x6=1,950). 
Total estimated cost for a six-day trip: $2,450 
 
d) Post point of contact: If you wish to get more information on 
this project, please contact Commercial Specialist Ms. Ephie-Yvonnie 
Charalambidou charalambidouey@state.gov or +357-22-393362 or 
Economic/Commercial Officer Mr. James Carouso at carousoja@state.gov 
or at +357-22-393359. 
 
e) Success criteria: A closer working relationship between Nicosia 
and our Partner Post and increased awareness of business 
opportunities from the U.S. in the Cyprus market. 
 
¶5. Post requests funding to send the Economic/Commercial Officer to 
Brussels on a two-day International Trade Officers Conference in 
March.  This conference is held to update trade officers posted in 
EU capitals on the background and current state of play of various 
international trade issues and to provide an opportunity to the 
trade officers to discuss those issues both with specialists most 
directly involved and with other regional trade officers. 
 
a) Justification: The conference will give the Officer the chance to 
meet and discuss U.S.-EU related issues with other trade officers 
from around the world and be better equipped to provide answers to 
important trade questions raised by host country officials. 
 
b) Anticipated outcome: increased ability of the Econ/Commercial 
Officer for better interaction with host country counterparts. 
 
c) Estimated costs: Ticket cost to fly roundtrip from Cyprus to 
Brussels - approximately $1000 per person; Per Diem, per day: $364 
($364x4=1,456 - including days for travel to and from Brussels) 
Total estimated cost: $2,456 
 
d) Post point of contact: If you wish to get more information on 
this project, please contact Commercial Specialist Ms. Ephie-Yvonnie 
Charalambidou charalambidouey@state.gov or +357-22-393362 or 
Economic/Commercial Officer Mr. James Carouso at carousoja@state.gov 
or at +357-22-393359. 
 
¶6. Post seeks funding to create information kits and market 
assessments for distribution (in hard copy and electronic format) - 
in cooperation with the newly-formed Cyprus Investment Promotion 
Agency (CIPA) - to better inform U.S. entities of business and 
investment opportunities in Cyprus. 
a) Justification: The CIPA is a newly-formed organization created to 
promote Cyprus as an investment center.  By working closely with 
this organization and its executives from its beginning, we hope to 
be able to influence CIPA's policies and acquire (and disseminate) 
information about business and investment opportunities in the most 
timely manner. 
 
b) Anticipated outcome: Increased information flow to the U.S. 
business community regarding Cyprus resulting in an increase in U.S. 
business activity here. 
 
c) Estimated costs: $3,000 to include printing/putting together 
information kits/mailing costs. 
 
d) Post point of contact: If you wish to get more information on 
this project, please contact Commercial Specialist Ms. Ephie-Yvonnie 
Charalambidou charalambidouey@state.gov or +357-22-393362 or 
Economic/Commercial Officer Mr. James Carouso at carousoja@state.gov 
or at +357-22-393359. 
 
SCHLICHER