Cyprus’ industrial producer prices saw a 3 per cent decline in July 2023 compared to the same month in 2022, according to data provided by the Cyprus Statistical Service.
However, the year-to-date figures for the first seven months of 2023 (January-July) reveal a significant 9.3 per cent increase in producer prices when compared to the corresponding period in 2022.
In July 2023, the Producer Price Index for Cyprus’ industrial sector reached 137.3 units, based on the reference year 2015=100, marking a 1.0 per cent decrease compared to June 2023.
A sector-wise breakdown of the data shows that in July 2023, the index remained stable in the mining and quarrying sector when compared to June 2023.
In addition, there was a marginal 0.1 per cent increase in the manufacturing sector during the same period.
The electricity supply sector and the water supply and waste material recovery sector both recorded decreases of 3.6 per cent and 1.1 per cent, respectively, in July 2023 when compared to July 2022.
When comparing the figures with July 2022, there was an increase of 6.7 per cent in the mining and quarrying sector, and a 4.0 per cent increase in the manufacturing sector.
In contrast, there was a significant decrease of 17.0 per cent in the electricity supply sector and a 7.6 per cent decrease in the water supply and waste material recovery sector.
Looking at the data by manufacturing sub-sector, in July 2023, there were increases in the production of other non-metallic mineral products (8.6 per cent), the food and beverage industry (7.1 per cent), the manufacture of furniture, other manufacturing activities, and machinery and equipment repair and installation (5.2 per cent), the manufacture of electronic and optical products and electrical equipment (2.9 per cent), and paper production and paper products, including printing (2.3 per cent).
Conversely, there was a decrease in the production of basic metals and the manufacture of metal products (-6.0 per cent).
Cyprus’ General Government has reported a surplus of €425.7 million, equivalent to 1.5 per cent of the Gross Domestic Product (GDP), for the period of January to July 2023.
This marks a significant increase compared to the €109.5 million surplus (0.4 per cent of GDP) recorded during the same period in 2022.
The surplus is attributed to a substantial rise in revenue, primarily from income and wealth taxes, as well as social contributions.
The increase in expenses compared to the previous year is mainly due to a significant rise in personnel costs, including social contributions and public employee pensions, which increased by €202.4 million, representing an 11.9 per cent rise.
According to preliminary fiscal results released by the Statistical Service this week, total revenue for the period of January to July 2023 increased by €692.6 million, or 11.7 per cent, reaching €6.59 billion, compared to €5.9 billion during the same period in 2022.
Specifically, total taxes on production and imports increased by €200.3 million (9.2 per cent), totalling €2.37 billion compared to €2.17 billion in 2022.
Net Value Added Tax (VAT) revenue, after deductions, increased by €139.7 million (9.9 per cent), reaching €1.54 billion, compared to €1.40 billion in 2022.
Revenue from income and wealth taxes increased by €258.6 million (19.2 per cent), amounting to €1.6 billion compared to €1.34 billion in 2022.
Social contributions increased by €281.0 million (16.2 per cent), totalling €2,011.3 million compared to €1.73 billion in 2022.
Current transfers increased by €39.8 million (32.0 per cent), reaching €164.3 million compared to €124.5 million in 2022.
Conversely, interest and dividend income decreased by €19.9 million (24.2 per cent), amounting to €62.3 million compared to €82.2 million in 2022.
Capital transfers decreased by €36.3 million (66.4 per cent), reaching €18.4 million compared to €54.7 million in 2022.
Revenue from the provision of services decreased by €30.9 million (7.8 per cent), totalling €366.4 million compared to €397.3 million in 2022.
Moreover, according to preliminary fiscal results released by the Statistical Service on Thursday, total expenses for the period of January to July 2023 increased by €376.4 million (6.5 per cent), reaching €6.17 billion, compared to €5.79 billion during the same period in 2022.
Social benefits specifically increased by €248.1 million (10.5 per cent), reaching €2.6 billion compared to €2.35 billion in 2022.
Personnel costs, including social contributions and pensions for public employees, increased by €202.4 million (11.9 per cent), totalling €1.89 billion compared to €1.69 billion in 2022.
Subsidies increased by €11.1 million (25.2 per cent), reaching €55.2 million compared to €44.1 million in 2022.
Capital account expenditures decreased by €10.8 million (2.6 per cent), amounting to €404.8 million compared to €415.6 million in 2022.
Specifically, long-term capital investments increased by €38.1 million (12.2 per cent), reaching €349.6 million compared to €311.5 million in 2022, while other capital transfers decreased by €48.9 million (47.0 per cent), reaching €55.2 million compared to €104.1 million in 2022.
Intermediate consumption decreased by €17.0 million (2.7 per cent), reaching €600.9 million compared to €617.9 million in 2022.
Interest payments decreased by €25.5 million (9.1 per cent), amounting to €253.1 million compared to €278.6 million in 2022.
Finally, current transfers decreased by €31.9 million (8.3 per cent), reaching €351.7 million compared to €383.6 million in 2022.
The Business Activity Index in Retail Trade, excluding motor vehicles, recorded a substantial increase of 9.9 per cent in July 2023 when compared to the same month in the previous year, according to a report released on Friday by the state’s statistical service.
During the same period, the Index of Retail Trade Volume experienced an impressive growth of 8.1 per cent in comparison to July of the previous year.
This increase signifies a strong momentum in retail activity, indicating positive consumer
sentiment and economic stability.
The Cyprus Stock Exchange (CSE) ended Friday, September 1 with losses.
The general Cyprus Stock Market Index was at 134.46 points at 12:26 during the day, reflecting a decrease of 0.61 per cent over the previous day of trading.
The FTSE / CySE 20 Index was at 81.67 points, representing a drop of 0.64 per cent.
The total value of transactions came up to €161,994.
In terms of the sub-indexes, the main, alternative and investment indexes fell by 0.93 per cent, 0.5 per cent and 1.89 per cent respectively. The hotel index remained stable.
The biggest investment interest was attracted by the Bank of Cyprus (no change), Demetra Holdings (-1.96 per cent), Salamis Tours (-4.15 per cent), Logicom (-3.23 per cent), and Blue Island (-4.76 per cent).
