Business & economy wrap-up from the day before

Eurobank Limited on Friday announced the completion of the merger of its Cypriot insurance subsidiaries, marking a significant development in the consolidation of its insurance operations in Cyprus.

The merger, finalised on October 10, was carried out in accordance with the Insurance and Reinsurance Business and Other Related Issues Law of 2016 and the Companies Law, Cap. 113.

Under the agreement, all insurance portfolios, assets, and liabilities of Hellenic Life Insurance Company Limited and Pancyprian Insurance Limited were transferred to ERB Cyprialife Limited and ERB Asfalistiki Limited, respectively.

“The process has created two strengthened insurance entities under the Eurobank Group umbrella,” the bank said in its announcement.

Cyprus recorded a general government fiscal surplus of €1.39 billion, equal to 4 per cent of GDP, for the period from January to August 2025, according to preliminary figures released on Friday by the state statistical service (Cystat).

The surplus marks a slight increase from €1.33 bn, again equivalent to 4 per cent of GDP, recorded during the same period in 2024.

Total government revenue rose by €641.10 million, or 6.80 per cent, reaching €10.10 bn compared with €9.46 bn a year earlier.

Revenue from taxes on income and wealth climbed by €178.30m, or 7.10 per cent, amounting to €2.70 bn compared with €2.52 bn in 2024.

Cyprus recorded the largest increase in commercial flights among EU member states this September, with activity up 24.1 per cent compared with the same month in 2019, according to the latest Eurostat data.

Across the bloc, total commercial flights reached 653,072 in September 2025, a rise of 2.6 per cent year-on-year but still 1.8 per cent below pre-pandemic levels. 

The data show that, while air traffic in Europe is steadily returning to normal, recovery remains uneven between regions.  

Southern and eastern member states have generally surpassed 2019 levels, while northern countries continue to lag behind. 

Cyprus’ sharp rebound places it ahead of Poland, which recorded a 22.4 per cent increase, and Greece, with 21.4 per cent.  

The Cyprus Shipping Chamber (CSC) expressed its strong support for a joint statement by seven leading international maritime organisations urging governments to adopt the ‘Net-Zero Framework’ (NZF).

The proposal is set to be discussed at next week’s Extraordinary Session of the International Maritime Organisation’s (IMO) Marine Environment Protection Committee (MEPC), which will take place from October 14 to 17, 2025.

Shipping, which transports about 90 per cent of global trade, remains one of the hardest sectors to decarbonise due to its scale and international nature.  

Cyprus recorded a trade deficit of €5.15 billion in the period from January to August 2025, compared to €4.15 billion during the same period in 2024, according to the state statistical service (Cystat).

Total imports of goods for the eight-month period amounted to €8.88 bn, up by 14.20 per cent from €7.78 bn in January-August 2024.

At the same time, total exports of goods reached €3.73 bn, showing a modest rise of 2.80 per cent compared with €3.63 bn a year earlier.

According to provisional data, the total imports of goods reached €1.10 bn in August 2025, compared to €981.80 million in August 2024, marking an increase of 11.90 per cent.

More than 1,000 delegates took part in the international Maritime Cyprus 2025 conference, held in Limassol from October 6 to October 8.

The conference focused on how to unlock the future of shipping, exploring topics such as navigating global disruptions, the P&I market, decarbonisation and climate resilience, technological impacts on seafarers, and funding strategies for the next era of shipping.

Moreover, this year’s event, supported by Eurobank as a platinum sponsor, provided a vital platform for dialogue on the challenges, risks, and opportunities shaping the new era of global shipping.

“Established in 1989, the conference once again highlighted Cyprus’ role as an international maritime, energy, and investment centre, hosting senior executives, officials, and leaders from across the global shipping industry,” Eurobank said in a statement released on Friday.

One of the central themes of the recently-concluded Cyprus–Greece Business and Investment Forum was that the two countries should pursue stronger collaborations, partnerships, and joint ventures to bolster their economies and expand into neighbouring markets.

The event, which took place in Athens, attracted broad participation from both countries’ business communities.

“The event underscored the need for closer cooperation in sectors such as investment, technology, innovation, and women’s entrepreneurship, highlighting their potential to drive mutual economic growth,” the organisers said in a statemenet released on Friday.

Speaking at the forum, Cyprus’ Minister of Energy, Commerce and Industry, George Papanastasiou, and Greece’s Deputy Minister of Development, Stavros Kalafatis, emphasised that “businesses in both countries have the capacity, infrastructure, and willingness to enhance their cooperation and strengthen economic prospects”.

A bill submitted to parliament by the Deputy Ministry of Tourism seeks to modernise the legal framework governing catering and entertainment venues, aiming to boost competitiveness and simplify outdated procedures in Cyprus’ hospitality sector.

According to the ministry’s introductory report, the proposed law addresses long-standing gaps and weaknesses in the existing system, with a view to strengthening entrepreneurship, public safety and the overall quality of the tourism product.

It abolishes what the ministry described as “burdensome and anachronistic provisions” that hinder business development, replacing them with a more flexible and transparent structure.

Under the new framework, seven key changes are proposed. These include scrapping strict building criteria and the previous categorisation of recreation centres by class, as well as ending the requirement for operators to submit price lists for approval.

The bill also introduces clearer distinctions between catering and entertainment venues, enhances health and safety provisions for staff and customers, and adjusts operating hours according to venue type.

The Cyprus Association of Large Investment Projects has backed a bill to establish a national mechanism for the control of foreign direct investments (FDI), saying it will bolster the credibility of the state and the economy without deterring foreign investors.

Covering key sectors such as energy, financial services and defence, the bill aligns with Cyprus’ wider strategy to attract international capital for major projects that support long-term growth. 

The association said that “the need for a formal control framework emerged after a series of large-scale acquisitions in public utilities, which revealed the risk of strategic infrastructure being transferred to investors from third countries”.

“Given the small size of the Cypriot economy, such developments could affect critical sectors such as banking and port operations,” the association added.

Cyprus’ energy regulatory authority (Cera) on Friday formally handed over two permits related to the construction of the Great Sea Interconnector to Greece’s independent transmission system operator Admie.

The permits are the interconnection line owner permit and the interconnection line operator licence, which had, until Friday’s decision, belonged to the project’s previous implementing body, EuroAsia Interconnector.

The decisions had been taken by Cera’s senior management on September 3 and appeared in the official government gazette on Friday, thus legally entering into force on the date of their publishing in the official gazette.

EuroAsia Interconnector Ltd, a Cypriot company, quit the project in October 2023, handing over the baton to Admie, which until Friday had operated without having taken receipt of the two permits.

The Finance Ministry’s debt management office will hold a public auction of €25 million in treasury bills on October 20, 2025.

The auction will cover bills with a 13-week maturity and will take place from 08:30 a.m. to 11:30 a.m., the debt management office said.

In a notice published in the official gazette of the Republic on Friday, the office stated that the issuance date for the bills, the 10th Series of 2025, will be October 24, 2025.

The bills will carry no interest and are set to mature on January 23, 2026, the announcement added.

A new survey by Zubr Capital has revealed that the majority of relocated tech founders in Europe feel shut out of local startup ecosystems, describing them as “in a bubble” and often lacking meaningful access to capital and quality support.

The findings stem from the Relocated Tech Survey, which collected insights from over 100 participants, primarily startup founders, along with investors and senior executives.

Respondents were drawn from major relocation hubs across Europe, with Poland and Cyprus among the most represented, offering what Zubr Capital described as a rare dual founder–investor perspective on how well Europe integrates incoming entrepreneurial talent.

According to the survey, 82 per cent of relocated founders said that local ecosystems are “in a bubble”, while 51 per cent considered this situation critical.

Only 34 per cent of respondents viewed their local venture capital market as developed, while 55 per cent reported that raising funds was difficult.

Cyprus participated in the international exhibition World Food India 2025, which took place in New Delhi from September 25 to September 28, 2025, through the Cyprus Trade Centre in New Delhi under the Energy Ministry.

According to a statement from the ministry, the exhibition “confirmed Cyprus’ commitment to promoting quality food and beverages and to strengthening long-term trade partnerships with India and the wider region”.

The ministry stated that World Food India 2025, organised every few years by India’s Ministry of Food Processing Industries, brought together over 90 countries and 2,000 exhibitors, “consolidating India’s position as a global hub for food innovation and trade”.

Total beer deliveries in Cyprus recorded a notable increase in September 2025, rising by 24.1 per cent year-on-year, according to data released this week by the Statistical Service (Cystat).

Total deliveries reached 4.37 million litres, compared to 3.52 million litres in September 2024. 

Beer deliveries for domestic consumption showed a strong rise of 23.5 per cent, reaching 4.18m litres from 3.39m litres in the same month last year.  

Exports also surged, marking an impressive 40.3 per cent increase to 183,503 litres, compared to 130,825 litres in September 2024. 

Agros Development Company ‘Proodos’ Public Ltd, which manages the Rodon Hotel in Agros and is listed on the Cyprus Stock Exchange (CSE), has issued a clarification regarding its 2024 annual report.

In a supplementary announcement dated October 9, 2025, the company explained details concerning the reference to Christodoulos Ellinas in note 27.1 of its financial statements, which covers the remuneration of directors and other key management personnel.

The company stated that the note listed remuneration for Ellinas as €2,058 in 2023, but clarified that he had resigned from the board of directors on October 30, 2023, as announced on the same date through the CSE.

According to the statement, the mention of Ellinas in the 2024 financial statements was made solely for comparability purposes between the remuneration of the company’s directors in 2023 and 2024.

The Cyprus Stock Exchange (CSE) has lifted the suspension of trading of the shares of The Reputation Exchange Plc on the Emerging Companies Market.

“The company has complied with its pending ongoing obligation and has completed the process of listing its additional issued shares,” the exchange said in an official announcement.

In addition, the Cyprus Stock Exchange announced the listing of 266,922 additional shares of The Reputation Exchange Plc on its Emerging Companies Market.

“The shares, which have a nominal value of £0.0261, were granted at a sale price ranging from €10.76 to €11.25 through private placement in the years 2021-2022,” the exchange added.

Lemissoler Corporate Management Ltd. has received Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for its innovative watertight hatch cover design for gearless bulk carrier vessels, a milestone that further strengthens the Limassol-based company’s reputation for sustainable ship design and engineering.

Developed by Lemissoler’s technical team, the new system improves watertight integrity through an advanced seal arrangement and introduces an enclosed deck configuration that shields crews from harsh weather, reduces deck maintenance and increases cargo capacity.  

ABS reviewed the full structural plans, including finite element strength analysis (FEM) and the hydraulic system, confirming compliance with class requirements. 

Joshua Divin, ABS Senior vice president, Marine Business Development, said larger gearless vessels such as the Kamsarmax remain popular because of their versatility.  

Employers’ organisations Oev and Keve remained in close contact on Friday as they awaited an invitation from the labour and finance ministers for a meeting aimed at breaking the deadlock over the cost-of-living allowance (CoLA) dispute with trade unions.

Sources told the Cyprus News Agency that on Friday morning the invitation had not yet arrived.

Oev and Keve will be meeting on Monday at 3pm to discuss their next steps, after the presidency announced discussions would continue under the ministers of finance and labour to find a way out of the deadlock.