Cyprus’ economy grew, albeit at a slower pace, during the fourth quarter of 2024, with GDP increasing by 2.6 per cent compared to the same quarter of the previous year.

According to a report released on Friday by the state’s statistical service, this growth was driven largely by the hospitality, wholesale and retail, motor vehicle repair, and information and communication sectors.

However, a decline in construction slightly reduced the overall growth rate, which, when adjusted for seasonal variations and working days, was slightly higher at 2.9 per cent.

Throughout 2024, the economy showed consistent improvement, with a 3.6 per cent growth in both the first and second quarters, as well as a peak of 3.9 per cent rise in the third quarter.

President Nikos Christodoulides this week announced a €122 million initiative designed to significantly enhance infrastructure and public services throughout the Famagusta district.

The president outlined the details of this plan, wihch includes 30 new and ongoing projects, during a regional meeting in Paralimni, as part of his broader tour of Cyprus’ municipalities.

Christodoulides pointed out the “crucial role Famagusta plays in the country’s economy”, particularly noting its substantial contributions to the tourism industry.

He mentioned that the plan includes significant infrastructure improvements, such as the €9 million upgrade of Karyon street in Avgorou and an €8 million investment in a new Multi-Storey Parking Area in Paralimni.

Additional enhancements will see the Ayia Napa seafront revitalised with a €3.6 million investment and roads linking Vrysoudia street with Pinia street receiving a €4 million upgrade.

Atlantic Insurance is expected to report a slight increase in its consolidated financial results for 2024, according to an announcement published on the Cyprus Stock Exchange (CSE).

Based on currently available data, the company’s results for the past year are projected to be marginally higher compared to 2023.

This improvement is attributed to increased profits from the group’s core operations, as well as higher revenues and gains from its investment portfolio.

Atlantic Insurance recorded profits of €12.78 million in 2023, up from €6.01 million in 2022.

The latest credit rating reports indicate an overall improvement in the ratings of banks in Cyprus and Greece, reflecting broader economic upgrades in both nations. Strong economic performance is expected to drive further upgrades.

S&P’s recent upgrade makes Bank of Cyprus the highest-rated bank in both countries. Moody’s affirmed its “Baa1” rating with a positive outlook in December 2024, while S&P upgraded it to investment grade (“BBB-”) in February 2025. Fitch remains at “BB+” but with a positive outlook.

Hellenic Bank follows closely, with investment-grade ratings from Moody’s and Fitch. Eurobank, its majority shareholder, recently increased its stake to 93.47 per cent, potentially influencing further upgrades.

Eurobank Greece is investment grade with Moody’s but not with Fitch or S&P. Alpha Bank is rated slightly lower, while Piraeus Bank remains non-investment grade. Overall, further positive rating actions are expected as economic conditions continue to improve.

Budget airline Wizz Air on Friday announced that it has exceeded 9 million passengers travelling to and from Larnaca international airport.

The announcement of the milestone comes as the airline recently introduced two new routes to Cairo and Milan.

In a statement, the company said that “the milestone of 9 million passengers underscores Wizz Air’s continued commitment to offering affordable and high-quality travel experiences while strengthening its presence in the region”.

Moreover, as part of its strategy to increase growth, the airline recently launched flights from Larnaca to Cairo and Milan, “further improving connectivity for travellers”.

The number of building permits issued in Cyprus in September 2024 recorded a year-on-year decline of 30.9 per cent, according to data released this week by the state statistical service.

The decrease is largely attributed to operational issues with the newly implemented system Ippodamos.

Specifically, a total of 423 building permits were issued in September 2024, compared to 612 in the same month of 2023.

The total value of these permits amounted to €160.5 million, covering a total area of 129,100 square metres.

The service explained that these permits are expected to facilitate the construction of 706 residential units.

The significant decline in building permits is mainly due to the transition, as of July 1, 2024, of permit issuance responsibilities from municipalities and district administrations to the newly established district self-governance organisations (EOAs).

The Municipality of Limassol and the “Limassol 2030” organisers have finalised their proposal for the title of title of European Capital of Culture 2030 and will present it before a committee of experts by the end of February.

The proposal “reflects the city’s commitment to innovation and inclusivity, aiming to highlight Limassol as a beacon of culture on the European stage”, the organisers said.

In December, the bid dossier had been submitted, marking an important step forward to the realisation of the project.

The Cyprus Stock Exchange (CSE) ended Friday, February 14, with gains.

The general Cyprus Stock Market Index stood at 224.59 points at 12:53, reflecting a rise of 0.08 per cent.

The FTSE / CySE 20 Index was at 136.40 points, representing an increase of 0.18 per cent.

The total value of transactions came up to €80,099, until the aforementioned time during trading.

In terms of the sub-indexes, the main, alternative and investment firm indexes rose by 0.01 per cent, 0.51 per cent and 1.23 per cent respectively. The hotel index remained unchanged.

The biggest investment interest was attracted by Demetra Holdings (+1.25 per cent), Logicom (-0.52 per cent), Hellenic Bank (-0.42 per cent), Agros Development Company (no change), and Louis PLC (no change).