Address by the Permanent Secretary of the Ministry of Commerce, Industry
and Tourism Mr. Sotiris Sotiriou at the EL 1ST Symposium on E-Business
and E-Commerce organised by the Medressa II project.
Holiday Inn Hotel, Nicosia Cyprus Friday 28 March 2003 at 8:30 am

Mr. Chairman,

Distinguished guests. Ladies and Gentlemen,

I am delighted to be here this morning to address this International Symposium on e-Business and e-Commerce 2003. It is a particular pleasure to be speaking on such an important subject which is so vital for our global economy. The importance of this event is clearly evidenced by the number of participants and the growing interest in this topic.

E-commerce is everywhere! Enabling businesses and citizens to reach out to new customer markets, and harness new channels of communication. Geographical boundaries are becoming insignificant. We are looking at a change on a global scale.

Today it is skills, knowledge and creativity which make the difference. There are compelling reasons for doing business electronically. Electronic links facilitate faster exchange of information, effective communication, promoting the development of better business relationships, faster innovation and greater efficiency.

Trading on the internet promises greater market penetration, increased customer response, more flexibility and lower costs. Better and smarter working provides competitive advantage. Small businesses can forge closer relationships with customers and suppliers.

Innovation is the key to success. Traditional business models are giving way to new ones enabled by technology, which creates possibilities and opportunities for equal participation in the world market, even to small countries like Cyprus.

The membership of Cyprus to the EU, will increase its cooperation with the other member states and will be able to decrease the gap in respect of Information and Communication Technology (ICT) and e-Commerce field, positioning its economy closer to those of the most advanced European countries.

Cyprus will try to achieve the goals set out in the e Europe+ (e-Europe plus) Action Plan that was launched at the Gothenburg European summit in June 2001.The aims are to assist in accelerating reform and modernization of Candidate Countries through the use of information society technologies and tools.

Realising the significance of the revolution on information and communication technologies, and the importance of e-Commerce in the new globalised world, the government has commissioned the preparation of a study for a National Strategic Plan. The objectives of this study are the formulation of the legal framework and a national policy for an e- Commerce strategy to place Cyprus at the forefront of the most competitive and dynamic knowledge-based economies. The report is at its final stages and will be submitted to the Government by the consulting firm shortly.

We acknowledge that our government's active involvement is crucial for the successful adoption of e-Commerce. Thus it is a key challenge to us in adopting specific measures, create favourable conditions in relation with other countries and offer incentives to support the development of e- Commerce:

My Ministry introduced in June 1999 its New Industrial Policy. One of its objectives is the creation of new high technology industrial units through the setting up and operation of business incubators, and the enhancement of the applied research capability of the country.

A technology-incubating program seeks to effectively link talent, technology, capital and know-how to leverage entrepreneurial talent in order to accelerate the development of new, high-potential enterprises in high growth sectors, including the fields of information technology and telecommunications.

We will have to facilitate methods and techniques by which private enterprise re-engineer their business to implement business-to-business e- Commerce solutions. SMEs, need to become aware and understand the potential benefit these activities can bring to their companies. We also need to provide SMEs with incentives for the initiation of projects to enter the business-to-business market.

It is important to take steps towards exploiting the superb strategic position of Cyprus which makes our island a perfect hub for electronic trade and for regional distribution, location for multinationals to doing business on-line with partners, suppliers and customers worldwide.

To attract and enhance inflows of foreign e-Commerce business in Cyprus, we need to promote the island as an e-Commerce hub, through the creation of promotional sites on the Internet and other publicity and advertising campaigns.

We have to build up consumers' trust and confidence by offering advice on safe internet shopping, raise the awareness and educate consumers on business to consumers operations. One area that we have to take action is the protection of citizens' rights with regard to privacy, confidentiality and anonymity. Secure payment systems, strong delivery logistics, electronic signature and dispute resolution are among various necessary conditions to be settled by public policies and regulations.

I thank you for the opportunity to address this event and whish to conclude simply by reiterating how important I think this workshop is. I congratulate the organisers and wish you every success.