1. INTRODUCTION
2. WHAT IS A TRUST?
3. TYPES OF TRUST
4. I.T.L.
5. TAXATION OF INTERNATIONAL TRUST
6. HOW A TRUST IS CREATED
7. WHERE THE TRUST FUND IS SITUATED
8. WHAT THE TRUST FUND INCLUDES
9. USES OF INTERNATIONAL TRUSTS
10. SUITABILITY OF CYPRUS
11. PROFESSIONAL EXPERTS REACTIONS

1. Short title
2. Interpretation
3. Validity of an international trust
4. Presumption against avoidance of an international trust
5. Duration of an international trust
6. Validity of direction for the accumulation of income
7. Charitable trusts and purpose trusts
8. Authorised investments
9. Power to change the applicable law of an international trust
10. Variation of an international trust by the Court
11. Confidentiality relating to international trusts
12. Taxation of international trusts
13. Application of this Law
14.   Saving of existing laws
15. Registration not compulsory

A. INTRODUCTION
Cyprus is already established, by international recognition, as a healthy offshore financial centre for shipping, banking and corporate business.

 To fully accomplish its targets, and to increase its appeal as an international trust jurisdiction as well, Cyprus enacted in 1992 a new trust law designing and modernising the existing statute (The Trustees Law Chapter 193) and introducing the concept of international trusts specifically aimed at non-resident settlors.  The new law is called The International Trust Law 1992 (No. 69 (I) of 1992).  (“ITL”).  From the legal point of view that was easy as Cyprus (being an ex British Colony) follows English Law, the common law and the doctrine of equity.

 The basic Trustees Law Cap. 193 was in fact enacted during British administration in 1955 and is a copy of the English Trustees Law of 1925.

 Although Cyprus became independent in 1960 our Courts of Justice Law provided in Section 29 that the Court should apply (amongst other laws) and subject to the consition of Cyprus, the common law and the doctrine of equity.

 But since 1960, because English case Law has had no direct application to Cyprus, all the amendments in the U.K. statutory provisions were not followed and until 1992 the old Trustees Law Cap. 193, and the English Trust Law, as it applied in 1960, were the only trust laws in existence (together of course with the common law and equity principles).

 With the introduction now of the ITL the principles on which trusts in general and the trust instrument shall be based and construed are:

• the Trustees Law Cap. 193;

• the ITL;

•   the general principles of equity and the common law; and

• the Trusts Law as it applied in England in 1960