Cypriot economy growth rate improves from Q4-21

The growth rate of the Cypriot economy grew by 5.9 per cent year-on-year in the first quarter of 2022 according to a report by the Cyprus Statistical Service (Cystat) released on Wednesday.

Moreover, after the correction of GDP in terms of seasonal fluctuations and working days, the growth rate is estimated to have reached 5.6 per cent.

Compared to the fourth quarter of 2021, the growth rate (in seasonally adjusted data) increased by 1 per cent.

Furthermore, based on volume measurements and seasonally adjusted data, Cyprus’ economic production increased by €308.5 million in the first quarter of 2022.

According to the Statistical Service, the positive GDP growth rate is mainly attributed to the hospitality sector, transport, storage and communications”, wholesale and retail trade, as well as motor vehicle repair, among others.

Conversely, the construction sector was a negative factor in the overall growth rate, something which has been attributed to the significant price increases in raw materials.

The sector showed a decrease of 2.7 per cent on an annual basis in the first quarter.

It should be noted that during the first quarter of 2021 the construction sector had benefited from the government interest rate support programme, with the scheme expiring at the end of 2021.