Cyprus records the highest annual retail trade growth in the EU for July 2026

In July 2026, Cyprus recorded the highest annual increase in retail trade volume among EU member states, reaching 8.6% compared to July 2025, according to Eurostat data. Monthly, the seasonally adjusted volume grew by 2%, a significant rebound following a 0.9% decline in June. This performance places Cyprus ahead of other EU nations, such as Latvia, which saw a 7.1% annual increase.

Sector-specific data highlights strong performance in information and communications equipment, where sales volume grew by 25.6%, and household equipment, which saw a 16.9% increase in volume. While total sales value increased by 11% annually, Marios Antoniou, Secretary General of the Cyprus Retail Trade Association, noted that consumers have become more selective and price-conscious due to persistent inflation. Key economic indicators for July showed rising costs, particularly in housing, electricity, and hospitality services, where prices surged by nearly 12%.

Despite inflationary pressures, the retail sector displayed notable resilience throughout the first seven months of 2026. The growth in consumer activity is attributed to a combination of tourism, the presence of foreign permanent residents, and seasonal shopping trends. Industry representatives remain optimistic about the current economic trajectory, expecting consumer behavior to remain targeted as shoppers continue to navigate the rising cost of living.