The Government of Cyprus historically followed a nonaligned foreign policy, but it increasingly aligns itself with European positions within the EU's Common Foreign and Security Policy as accession approaches. Cyprus has long identified with the West in its cultural affinities and trade patterns and maintains close relations with Greece. Since 1974, the foreign policy of the Government of Cyprus has sought the withdrawal of Turkish forces and the most favorable constitutional and territorial settlement possible. This campaign has been pursued primarily through international forums such as the United Nations. (See Political Conditions.) Turkey does not recognize the Government of Cyprus.

The Government of Cyprus enjoys close relations with Greece. Cyprus is expanding relations with Russia, Israel, Egypt, and Syria, from which it purchases most of its oil. Cyprus is a member of the United Nations and most of its agencies as well as the World Trade Organization, the World Bank, International Monetary Fund, Council of Europe, and the Commonwealth. In addition, the country has signed the Multilateral Investment Guarantee Agency Agreement (MIGA).