State Economic Enterprises and Revolving-Capital Enterprises
The ‘spoils of war’ after division of Cyprus provided opportunity for the economic development of north Cyprus. However, the politicians were quick to realize the rentierist and rent-seeking opportunities for securing political power. This chapter shows how the policymakers used these opportunities to satisfy their own close clients and ignored the rest of the population. The chapter discusses the key law and modifications thereof that regulate the working of these semi-state-owned enterprises and provides an overview of histories of some of the significant enterprises, including the national airlines company (KTHY), the Electricity Board (KIBTEK) and the key agricultural product exporter (Cypfruvex), as well as other examples.
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