The long-running ethno-territorial conflict in Cyprus is world’s one of the most complex and intractable regional conflicts. It remains a potential flashpoint in an otherwise peaceful area of Eastern Mediterranean. While the UN peacekeeping force has maintained peace since then but it is achieved at the cost of long-term objective of conflict resolution. This peace could be termed “negative peace”. The Cyprus conflict continues to resist with tenacity all efforts to bring a solution even after the entry of the European Union. Although the EU’s “power of attraction” helped move the stalemate towards a resolution in 2004 with positive changes in Turkey and also saw attitudinal changes within the common people of Turkish Cypriots. But the membership of the EU for Cyprus and the process of Turkey’s accession though conducive initially are no longer effective from the resolution perspective. Refusal of Turkey’s membership and keeping it in the “waiting room” status along with the breakdown in the promises towards the Turkish Cypriots have reached a stalemate. The mediation efforts are failing because of the irreconcilable demands and attitudes between both the communities.