Political parties address rising cost of living and inflation in Cyprus

Recent Eurostat data indicates that inflation in Cyprus has exceeded the Eurozone average, leading to a significant increase in the cost of electricity, fuel, and essential goods. The AKEL party has proposed immediate state interventions, including reducing VAT on electricity to 5%, expanding social electricity tariffs, and eliminating double taxation on fuel. Additionally, AKEL calls for protective measures for vulnerable borrowers and small businesses amidst the threat of rising interest rates. In response, the Democratic Rally (DISY) acknowledged that inflation is reducing household purchasing power and affecting all sectors, from housing to food. DISY advocates for a comprehensive reform plan focusing on energy, housing, and tax policy to ensure long-term fiscal stability. The party emphasizes the need for targeted short-term support for vulnerable groups, such as low-income earners, families with children, students, and people with disabilities. Both parties agree that the rising cost of living remains a critical challenge for the national economy and society.