Cyprus Business Now

Deputy Minister of Tourism Kostas Koumis this week addressed the growing need for foreign workers in Cyprus’ tourism sector, attributing it to the surge in tourist arrivals exacerbating labour shortages.

Following visits to Protaras and Ayia Napa, Koumis expressed optimism about the tourism sector’s performance, citing a quarterly increase of over 5 per cent compared to the previous year, with Protaras also witnessing a rise in visitors.

He highlighted beach upgrades and service revitalisation, emphasising their positive impact.

Regarding the employment of workers from third countries in tourism, Koumis acknowledged a preference for local hires but stressed the necessity of foreign labour.

The Economics Research Centre (CypERC) at the University of Cyprus recently updated its economic forecasts, painting a picture of stronger growth and lower inflation expectations for the upcoming years.

Despite facing external challenges, the report highlights several factors contributing to this robust economic outlook.

According to CypERC’s April update, economic activity in Cyprus is anticipated to sustain its growth momentum throughout 2024-2025, showcasing resilience.

Specifically, the Gross Domestic Product (GDP) growth rate is forecasted to reach 2.6 per cent in 2024, with a further strengthening to 3.3 per cent in 2025.

Compared to previous estimates in January, these projections have been revised upward by 0.2 percentage points for 2024 and 0.1 percentage points for 2025.

The Central Bank of Cyprus (CBC) on Friday reported an increase in both loans and total deposits within the Cypriot banking system for March 2024.

According to the CBC, liquidity, measured as the difference between loans and deposits, exceeded €27 billion at the end of the aforementioned month.

Moreover, total deposits saw a net increase of €252.1 million, compared to a net increase of €63.2 million in February 2024.

In addition, the year-on-year growth rate of total deposits reached 0.6 per cent, compared to 0.3 per cent in February 2024.

President Nikos Christodoulides this week expressed confidence in Cyprus’ ability to successfully the current global climate, dominated by uncertainty and instability, despite numerous regional and geopolitical developments.

He also stated that Cyprus aims to become one of the best places in the world to live, work, and conduct business, as outlined in the national strategy titled ‘Vision 2035’, while he also underlined the importance of bolstering the country’s reputation on the international stage.

Speaking at the 16th In Business Awards on Thursday evening, the president highlighted the importance of growing the country’s productive base through the creation of a new development model that ensures a more resilient, sustainable, and competitive economy.

This week in Guangzhou, China, Deputy Minister of Shipping Marina Hadjimanolis, Cyprus Chamber of Commerce and Industry President Stavros Stavrou, and COSCO Shipping Bulk Co. Ltd President Jerry Chen, along with Cyprus Ambassador Frances-Galatia Lanitou Williams, convened to discuss enhancing cooperation in the shipping sector.

Jerry Chen expressed interest in Cyprus as a maritime hub. Both sides agreed to explore synergies benefiting Cyprus and China’s economies.

Hadjimanolis celebrated the addition of ‘AAL Limassol’ to Cyprus’ Registry of Ships, thanking Schoeller for contributions and government support, highlighting his role in Cyprus shipping’s global promotion.

The Cyprus Stock Exchange (CSE) ended Friday, April 26 with marginal profits.

The general Cyprus Stock Market Index was at 144.54 points at 12:36 during the day, reflecting an increase of 0.47 per cent over the previous day of trading.

The FTSE / CySE 20 Index was at 87.82 points, representing a rise of 0.5 per cent.

The total value of transactions came up to €41,969, until the aforementioned time during trading.

In terms of the sub-indexes, the main, alternative and hotel indexes rose by 0.51 per cent, 0.42 per cent and 2.67 per cent respectively. The investment firm index remained stable.

The biggest investment interest was attracted by the Bank of Cyprus (+0.82 per cent), Logicom (+0.75 per cent), Lordos Hotels (+4.94 per cent), Tsokkos Hotels (-3.33 per cent), and Vassiliko Cement Works Public Company (+0.6 per cent).