Recent legislative updates and public service changes in Cyprus

The Cypriot government has introduced several initiatives impacting public finances and welfare. The Ministry of Labour is proposing additional social insurance contributions on dividends, rents, and interest, with a 15.8% rate suggested for non-salaried shareholders. Meanwhile, new legislation aims to expand child benefit eligibility to an additional 2,000 families, while simultaneously increasing benefits by 5–10%. Furthermore, a new €20 annual management fee for apartment owners is under consideration to support administrative infrastructure.

Public transport costs have seen significant hikes; in Nicosia, the annual personal bus pass has risen to €668.50 from €480. These changes coincide with reports of uneven infrastructure investment, as the Limassol Chamber of Commerce criticized the 2027 state budget, noting that the city receives only 3.8% of major project funding. Additionally, the GHS health system now covers the medication Mounjaro for diabetes and obesity, while the Department of Social Inclusion has transitioned thousands of disabled children to an updated payment system.

These developments follow a period of economic review by the Central Bank and ongoing parliamentary discussions regarding banking regulations for rental payments. Authorities remain focused on administrative reform, though citizens have expressed dissatisfaction with rising costs, particularly in public transport.