Cyprus recorded one of the strongest performances in the European Union in the third quarter of 2025, with seasonally adjusted GDP rising by 0.9 per cent compared with the previous quarter, according to Eurostat.

This followed growth of 0.7 per cent in the second quarter. Year-on-year GDP growth in Cyprus reached 3.6 per cent in both the second and third quarters of 2025, placing the country among the top performers in the bloc.

Meanwhile, across the euro area, GDP increased by 0.3 per cent in the third quarter of 2025. The EU as a whole posted slightly faster quarterly growth of 0.4 per cent.

In the previous quarter, GDP had risen by 0.1 per cent in the euro area and by 0.3 per cent in the EU.

On an annual basis, euro area GDP grew by 1.4 per cent and EU GDP by 1.6 per cent.

These rates followed respective increases of 1.6 per cent and 1.7 per cent in the second quarter of 2025.

Denmark achieved the highest quarterly GDP increase among member states at 2.3 per cent.

Luxembourg and Sweden each recorded growth of 1.1 per cent.

Ireland and Finland both saw GDP contract by 0.3 per cent, while Romania experienced a decline of 0.2 per cent.

Household final consumption expenditure rose by 0.2 per cent in both the euro area and the EU.

This followed increases of 0.3 per cent in both regions in the previous quarter.

Government final consumption expenditure grew by 0.7 per cent in each region, after rises of 0.4 per cent in the euro area and 0.5 per cent in the EU.

Gross fixed capital formation increased by 0.9 per cent in the euro area and by 1.1 per cent in the EU.

These gains followed declines of 1.7 per cent and 1.4 per cent respectively.

Exports rose by 0.7 per cent in the euro area and by 0.9 per cent in the EU.

These figures represented an improvement after earlier quarterly contractions.

Imports increased by 1.3 per cent in both regions.

In the second quarter, imports had moved only marginally.

Household consumption contributed 0.1 percentage points to GDP growth in the euro area and the EU.

Government expenditure added 0.1 percentage points in the euro area and 0.2 percentage points in the EU.

Gross fixed capital formation contributed 0.2 percentage points in both regions.

Changes in inventories added 0.1 percentage points in the euro area and had a negligible effect in the EU.

Net trade reduced GDP growth by 0.2 percentage points in the euro area and by 0.1 percentage points in the EU.

Employment in the euro area increased by 0.2 per cent in the third quarter of 2025, while the EU recorded growth of 0.1 per cent.

Both areas had recorded employment gains of 0.1 per cent in the previous quarter.

Compared with the same period a year earlier, employment rose by 0.6 per cent in the euro area and by 0.5 per cent in the EU.

Hours worked increased by 0.4 per cent in both regions on a quarterly basis.

On an annual basis, hours worked rose by 0.8 per cent in the euro area and by 0.7 per cent in the EU.

Croatia posted the fastest quarterly increase in employment at 1.6 per cent.

Portugal followed with growth of 0.9 per cent, and Spain recorded an increase of 0.7 per cent.

Romania registered the largest decline at 1.2 per cent, while Austria and Finland each posted decreases of 0.3 per cent.

Eurostat estimates that 220.6 million people were employed in the EU in the third quarter of 2025.

Of these, 172.2 million were employed in the euro area.

Labour productivity based on persons employed increased by 0.7 per cent in the euro area and by 1.1 per cent in the EU compared with the same quarter of 2024.

Measured by hours worked, productivity rose by 0.6 per cent in the euro area and by 0.9 per cent in the EU.