Cyprus records fiscal surplus for the first half of 2026

The Statistical Service of Cyprus reported that the General Government achieved a fiscal surplus of €420.3 million for the period from January to June 2026. This figure represents 1.1% of GDP, marking a marginal increase compared to the €416.8 million surplus recorded during the same period in 2025.

Total revenue grew by 4.1% year-on-year, reaching €7.4 billion, while total expenditure increased by 4.3% to €6.98 billion. The revenue growth was driven by significant gains in tax income and social contributions. Specifically, taxes on production and imports rose by 9.3% to €2.45 billion, with net VAT receipts increasing by 18% to €1.73 billion. Additionally, income and wealth tax revenue grew by 6.3% to €1.69 billion, and social contributions rose by 7.7% to €2.54 billion. Conversely, capital transfers experienced a notable decline.

These preliminary fiscal results reflect the ongoing budgetary performance of the state. The Statistical Service released these data on Friday, July 31, 2026, providing a snapshot of the economic landscape for the first six months of the year.