President Christodoulides defends fiscal performance amid calls for economic relief

On October 22, 2026, President Nikos Christodoulides addressed criticism from political parties regarding the translation of Cyprus's EU-leading fiscal surplus into tangible relief for households. Speaking at an event in Nicosia, the President attributed the country's economic success to the government's responsible fiscal policy, which has enabled the drafting of a surplus budget for the third consecutive year.

Christodoulides rejected accusations of populist pre-election spending, asserting that the government's focus remains on structural reforms rather than electoral gains. He highlighted that the current fiscal surplus provides the necessary foundation for a major tax reform—the first in 23 years—aimed at boosting household disposable income and supporting local businesses. Additionally, he noted that this stability facilitates the country’s first pension reform since 1980.

Beyond domestic economic policy, the President mentioned an ongoing focus on geopolitical issues, including discussions regarding the Turkey-Libya memorandum during a recent telephone conversation with Greek Prime Minister Kyriakos Mitsotakis. He also addressed recent contradictory statements by the Turkish Cypriot leader concerning rotating presidencies, maintaining that the government will continue its strategic path without succumbing to short-term election-driven pressures.