US Embassy in Nicosia

The United States and Cyprus are to boost their cooperation in enhancing Cypriot capabilities in countering and prosecuting illicit finance operations, the two governments said on Tuesday.

Cyprus has long had an unwanted reputation as a conduit for illicit money flows, even though authorities have significantly tightened oversight and closed loopholes in the past decade.

The US has been deeply concerned by Turkey's announced intention to begin drilling in the waters off Cyprus and has urged Turkish authorities to halt these operations, US Ambassador to Cyprus Judith Garber said on Thursday evening.