Cyprus revises economic growth rates and reports second-quarter 2026 performance

The Statistical Service of Cyprus announced on October 20, 2026, a significant revision of historical economic growth data and provided an update for the second quarter of 2026. The real GDP growth rate for 2025 has been set at 4.8%, surpassing initial government projections of 3.8%. Significant upward revisions were also applied to previous years: 2024 growth was revised to 6.6% from 3.9%, 2023 to 6.0% from 3.6%, and 2022 to 8.9% from 8.7%. These adjustments followed the completion of Supply and Use Tables, integration of data from major enterprises, and the inclusion of household energy production from photovoltaic systems.

For the second quarter of 2026, the economy grew by 3.3% compared to the same period in 2025 and 1.2% quarter-on-quarter, reaching a value of approximately €8.37 billion. This performance was driven by sectors including wholesale and retail trade, repair of motor vehicles, transportation, accommodation and food services, and construction. Finance Minister Makis Keravnos noted that while these figures demonstrate the resilience of the Cypriot economy, they do not permit complacency. The government remains focused on managing fuel prices amidst global energy uncertainty and intends to advocate for increased flexibility regarding European fiscal rules.