Cyprus Business Now: weekly wrap-up

Here are the top business stories in Cyprus from the week starting June 19:

Hellenic Bank on Friday released its financial results for the first quarter of 2023, posting a profit of €69.7 million, solidifying a robust performance during this period, while the bank’s transformation plan continues to be implemented.

The Central Bank of Cyprus (CBC) this week released an updated report indicating a significant reduction in non-performing loans (NPLs) by €105 million, a drop of 4.6 per cent of the total outstanding amount.

Cypriot-flagged ships are the eighth-most trustworthy in the world, according to the secretariat of the Paris Memorandum of Understanding (MoU).

The Nicosia tourism board (Etap) announced this week that it is participating in the Food Zone project, which aims to support the skills of food producers, SMEs, and the local tourism ecosystem through the development of regenerative food tourism experiences.

The Central Bank of Cyprus (CBC) maintained its forecast for this year’s economic growth rate at 2.6 per cent, indicating that the positive developments in private consumption and investments during the first few months of 2023 offset the impact created by the sanctions imposed on Russia after its invasion of Ukraine.

President Nikos Christodoulides on Thursday presided over a roundtable discussion at the Presidential Palace with foreign investors, jointly organised by the government and national promotional agency Invest Cyprus.

Cyprus Airways this week announced that it is upgrading its fleet with the advanced A220 aircraft, which offers increased efficiency and further enables the company’s direction toward improved sustainability.

The Cypriot banking system presents the lowest rate of transmission of increased interest rates to deposit rates, according to an analysis report released this week by rating agency DBRS Morningstar, a reflection of local banks’ significant excess liquidity.

The Cyprus Mail recently sat down with Zubr Capital CEO Oleg Khusaenov and partner Nikolay Shestak to discuss the private equity fund’s investment approach, the current set of challenges and opportunities, as well as the evolution of Cyprus’ startup and innovation ecosystem.

Deputy Minister of Research, Innovation and Digital Policy Philippos Hadjizacharias this week described the Cyprus University of Technology (Tepak) as a fundamental pillar for knowledge and research on the island.

Cyprus has recorded a drop of five positions in the competitiveness ranking of the IMD World Competitiveness Centre for the third consecutive year, falling from the 40th position to the 45th among 64 evaluated countries.

Central Bank of Cyprus (CBC) governor Constantinos Herodotou on Tuesday addressed the annual general meeting of the Association of Cyprus Banks, touching on domestic economic developments, the resilience of the local banking sector, as well as future challenges.

The Association of Cyprus Banks has always played a “creative and productive part” in the island’s banking sector developments, particularly amidst the challenges of the past few years, Finance Minister Makis Keravnos said on Tuesday.

State-owned Cyprus asset management company Kedipes has repaid €1 billion to the state for the aid it received, since its inception nearly five years ago, according to chairman Lambros Papadopoulos.

Construction material prices in Cyprus remained stable in May, according to a report published by the state’s statistical service on Monday.

Cyprus is attempting to lure more tourists from the Middle East but it’s proving to be an uphill battle, deputy minister for tourism Costas Koumis said.