Justice and electricity reforms highlighted by Oev

The Employers and Industrialists Federation (Oev) on Tuesday said Cyprus’ economy growth rate in 2022 amounted to 6 per cent, adding that the current unemployment rate is now at the same level it was before the Covid-19 pandemic.

In a statement to mark the end of the year, Oev president Antonis Antoniou said the reduction of non-performing loans in the country has restored some credibility to Cyprus’ “beleaguered” banking system.

“We are well aware of the potential, tenacity and resourcefulness that distinguish the Cypriot entrepreneur,” Antoniou said.

“Thanks to prudent economic management implemented by the state, upgrades of the credit rating of the Cypriot economy by international rating agencies were also achieved, which, in turn, attracted many more foreign investments.”

Oev added that the government’s reforms implemented throughout 2022 played a key role in the successful year for the Cypriot economy.

“The most important breakthroughs were without a doubt the one promoting a quicker administration of justice and the liberalisation of the electricity market, which will make way for a reduction in the cost of electricity in the upcoming months,” Antoniou said.

Cyprus, he said, has managed to draw up a detailed Recovery and Resilience Plan covering a wide range of development projects and initiatives. “Thanks to the plan, we will be able to recover the ground lost due to the pandemic and the war in Ukraine.”

But Antoniou said making any prediction for 2023 could be risky.

“In this period of prolonged global economic turmoil, the business community in Cyprus is dealing with several issues, such as inflation, the difficulties in securing raw materials and the increases in lending rates.

“We hope that our trade union partners will show the necessary flexibility in order to safeguard our productivity, competitiveness and growth,” he added.