Cyprus economy shows 3.1 percent growth in third quarter of 2026

The Cyprus Statistical Service (Cystat) and Eurostat reported on November 13, 2026, that the Cypriot economy grew by 3.1 percent year-on-year in the third quarter of 2026. This performance represents a slight deceleration from the 3.4 percent growth recorded in the second quarter of 2026 and the 4.5 percent observed in the final quarter of 2025. On a quarterly basis, the seasonally adjusted GDP increased by 0.5 percent between July and September, down from 1.2 percent in the previous quarter.

Economic expansion was primarily driven by the wholesale and retail trade sector, vehicle repairs, financial and insurance activities, construction, and the information and communication sectors. While Cyprus' annual growth of 3.1 percent is more than double the European Union average of 1.5 percent and the Eurozone's 1.3 percent, it remains lower than the performance of countries like Ireland. Despite the positive macroeconomic indicators, some sources note ongoing concerns regarding whether rising GDP and average wages are effectively improving living standards for all households.

The current data remains based on preliminary estimates. The Cypriot economy continues to outperform several other EU member states, maintaining its position among the strongest-performing economies in the region.