The annual inflation in the north stood at 39.5 per cent at the end of 2025, while tourist arrivals increased by 17.2 percent compared to the previous year, the north’s central bank Kuzey Kibris Turk Cumhuriyeti Merkez Bankasi said on Friday.

According to the bank, restaurants and hotels recorded the highest annual price at 66.8 per cent, followed by the education sector, 56.1 per cent and entertainment and culture, 48.9 per cent.

The inflation rate stood at 3.39 per cent as of December 2025.

Overall tourist arrivals increased by 17.2 percent compared to the previous year, reaching 2,6 million in 2026.

In the last quarter of 2025, the overwhelming majority of arrivals, 616,955, were Turkish citizens, while another 84,934 visitors arrived from third countries.

At the same time, departures of Turkish Cypriots through land borders increased by 2.1 per cent in compared to 2024.