Cyprus’ housing market is showing renewed signs of pressure, with house prices and rents rising faster than the EU average, even though households on the island remain less burdened by housing costs than many of their European counterparts, according to Eurostat data.

The figures, drawn from Eurostat’s new Housing Dashboard and its Housing in Europe 2025 publication, point to an uneven picture. Cyprus continues to record strong housing investment and construction activity, but affordability pressures are becoming more visible, particularly for younger households and those trying to enter the market. 

House prices in Cyprus rose by 6 per cent in the fourth quarter of 2025 compared with the same period a year earlier, slightly above the EU average of 5.5 per cent. Rents also increased faster than the bloc average, rising by 4.2 per cent year-on-year in March 2026, compared with 2.9 per cent in the EU. 

At the same time, the house price-to-income ratio in Cyprus increased by 0.6 per cent in 2024, while the EU recorded a 1.7 per cent decline. This shows that, despite Cyprus’ comparatively favourable position in several affordability indicators, access to housing continues to come under pressure. 

Evripides Loizides has been re-elected as president of the Paphos Hoteliers Association, securing a renewed mandate for a new three-year term as the organisation looks to strengthen its role in Cyprus’ tourism sector.

The re-election confirms the continuation of Loizides’ leadership within the district’s organised hotel industry, with a focus on maintaining and expanding Paphos’ position in both the Cyprus and international tourism markets.

Alongside the leadership vote, a new board of directors was formed, taking office for the next three years with the aim of supporting the development and competitiveness of Paphos’ tourism product.

The association stated that the new board “will work to reinforce the district’s presence in the tourism sector at a time when Paphos continues to hold a strong position as one of Cyprus’ key destinations”.

Aegean Airlines reported higher revenue and passenger traffic in the first quarter of 2026, although its seasonal loss widened sharply as foreign exchange losses and pressure from the Middle East crisis weighed on the airline’s results.

The group said consolidated turnover rose 5 per cent year-on-year to €320.7 million, compared with €306 million in the first quarter of 2025, while passenger traffic increased 4 per cent to 3.23 million passengers.  

The increase was broadly in line with the rise in seats offered, with the load factor reaching 80.8 per cent, compared with 80.3 per cent in the same period last year. 

At the same time, EBITDA rose 6 per cent to €46.6m, from €43.8m, marking a small improvement in what is traditionally the weakest quarter of the year. 

The redevelopment of Heroes Square and the surrounding streets in central Limassol is expected to be delivered on June 15, around a month later than initially planned, Limassol Mayor Yiannis Armeftis said. 

Speaking to Entrepreneurial Limassol, a periodical published by the Limassol Chamber of Commerce (Evel), Armeftis said the main change brought by the project is the creation of a unified surface across the square, with the removal of steps allowing for improved accessibility and smoother movement through one of the city’s most historic public spaces. 

The project had originally been scheduled for delivery in early May. However, the mayor said the timetable was pushed back to mid-June, with works currently focused on completing the road in front of the Rialto Theatre and strengthening the connection between the theatre’s entrance and the square. 

At the same time, Armeftis said the square’s kiosks, which had fallen into disrepair, are being reconstructed. As the kiosks are listed structures, the municipality worked with the relevant department and decided to rebuild them, a process which also contributed to the delay. 

Louis Hotels has invested more than €30 million in renovations across Cyprus and Greece over the past three years, as the group continues to upgrade its portfolio despite a more challenging tourism season. 

The hospitality group, which operates 25 hotels in Cyprus and Greece with more than 13,000 beds, said investments for the 2024 – 2026 period could exceed €60m if new hotel projects are also included. 

The upgrades include the extensive renovation of Valmar Corfu into a five-star premium all-inclusive resort, as well as the opening of Imperial Island Resort in Paphos, which began operating on May 3. 

Speaking during a presentation of the group’s plans, Louis Hotels chief commercial officer Popi Tanta said that, beyond renovations, the total investment figure rises significantly when new projects such as King Jason hotel in Zakynthos are taken into account.

At the same time, the group is entering the summer season with “modest optimism”, as geopolitical developments in the Middle East have weighed heavily on demand for Cyprus. 

Citigroup has raised its target price for Eurobank to €5.00 from €4.70, maintaining a buy recommendation following stronger first-quarter results and an upgraded profitability outlook.

The investment bank said that, based on a reference share price of €3.72 recorded on May 15, 2026, its base case implies an upside potential of 34.4 per cent, which rises to 38.5 per cent when including an expected dividend yield of 4.1 per cent.

The analysis, shared by Greek business outlet Newmoney, highlighted that Eurobank is entering 2026 with stronger momentum in net interest income and fee generation, supported by management’s medium-term targets, which have enabled Citi to revise its forecasts upward.

It added that estimates for normalised earnings per share have been increased by 4 per cent for 2026, 9 per cent for 2027, and 14 per cent for 2028, primarily driven by higher expectations for net interest income and commissions.

Cyprus’ harmonised inflation rate rose in April 2026, according to a report from the Cyprus Statistical Service (Cystat), with energy and transport costs driving both annual and monthly increases.

Specifically, the Harmonised Index of Consumer Prices (HICP) increased by 3.0 per cent between April 2025 and April 2026, while also recording a 2.2 per cent rise between March and April 2026.

In annual terms, the largest price increases were observed in recreation, sports and culture, up 6.8 per cent, and transport, up 6.7 per cent.

At the same time, the sharpest annual declines were recorded in clothing and footwear, down 5.4 per cent, and information and communication, down 2.2 per cent.

Ten Bank of Cyprus (BoC) Visa cardholders, each accompanied by a guest of their choice, will travel to Athens this week to attend the EuroLeague Final Four 2026, one of Europe’s leading basketball events. 

The winners will watch the semi-finals on Friday, May 22, before returning to the court for the grand final on Sunday, May 24, as Europe’s top teams compete for the trophy. 

The competition was launched by BoC on February 16, giving Visa cardholders the chance to claim a place at the Final Four through their card transactions. Every Visa transaction made until April 19, 2026, counted as an entry, with the bank presenting the campaign as part of its wider effort to offer customers added rewards and experiences. 

Greek lender Alpha Bank on Wednesday reported a strong operational performance in the first quarter of 2026, posting double-digit revenue growth and resilient profitability despite heightened geopolitical uncertainty, the bank announced.

The results confirmed the lender’s transition towards a more diversified and recurring profitability model, driven primarily by strong fee income growth and steady net interest income expansion.

Core revenues rose by 11.5 per cent year-on-year, supported by a 29 per cent increase in fee income and a 5.3 per cent rise in net interest income.

Adjusted net profits reached €221 million, while reported net profits stood at €182 million after one-off items.

Cosmos Insurance Public Company Ltd on Wednesday issued a formal regulatory announcement confirming that its shareholders have officially approved a total dividend distribution of €1,000,000, following decisions made at its annual general meeting.

The extensive cash distribution plan was ratified during the annual assembly held on May 14, 2026, backing a strategic proposal originally put forward by the corporate board of directors.

The total payout corresponds to a gross figure of €0.0177 per ordinary share for securities carrying a nominal value of €0.02.

The company urged its investors to carefully examine the specific logistical details of the distribution alongside any necessary administrative actions required to ensure the smooth completion of the transaction.

According to the official corporate books, the aggregate dividend allocation of €1,000,000 is drawn from a multi-year pool of retained corporate earnings.

Cyprus will host a major EU digital policy conference in Nicosia next month, bringing together government leaders, technology executives and academics to discuss the future of artificial intelligence and Europe’s evolving digital agenda, according to a press release issued by the Deputy Ministry of Research, Innovation and Digital Policy.

The two-day event, titled “Shaping the Next Digital Frontier”, will take place on June 17 and June 18, 2026, at the Filoxenia Conference Centre in Nicosia, as part of Cyprus’ Presidency of the Council of the European Union.

Organisers said the conference will serve as a high-level platform for strategic reflection on Europe’s digital future, with a particular focus on the rapid development and governance of artificial intelligence.

The ministry said the gathering comes at a critical moment for the EU’s digital trajectory, aiming to support forward-looking dialogue on policy choices shaping the digital era.

The event will bring together speakers and participants from EU institutions, national governments, industry and academia, with the aim of fostering exchange on opportunities and challenges linked to technological transformation.