Cyprus’ research and innovation ecosystem has reached the point where it must build scale, attract more private investment and talent, and turn research into greater commercial value, according to Research and Innovation Foundation (RIF) director general Theodoros Loukaidis.

Speaking to Cyprus News Agency (CNA) as the foundation marks 30 years since its establishment, Loukaidis said Cyprus had come a long way in research and innovation, with more companies, investment and international links now forming part of the country’s economic landscape.

“It is no longer something that may perhaps be happening. It is something that is happening in Cyprus,” he said, pointing to what he described as a broader shift in attitudes towards research and innovation.

He mentioned that the next challenge is no longer simply to build an ecosystem, but to help it grow up.

Cyprus is stepping up investment in mountain and rural tourism, Deputy Tourism Minister Kostas Koumis said in Agros on Thursday, as the government seeks to draw more visitors inland, support local communities and strengthen the island’s appeal as a year-round destination.

Speaking at the conference “Mountain Areas, Special Interest of Tourism and Community Resilience”, held as part of Mountain Games Cyprus 2026, Koumis described authenticity as “a major asset for the tourism sector”, arguing that the character of rural and mountain communities remains central to their long-term appeal.

The four-day Mountain Games programme, organised during the European Week of Sport, includes 35 activities across eight Troodos villages within the UNESCO Global Geopark.

Koumis noted that the government and the Deputy Ministry were continuing to invest in mountain and rural areas, while recent studies showed travellers increasingly looking for nature, outdoor activities and experiences that bring them closer to local communities.

Rising electricity and fuel costs are putting increasing pressure on household finances and could leave previously reliable borrowers struggling to meet their loan repayments, the Cyprus Borrowers Protection Association (Syprodat) said on Thursday.

The association said the squeeze on household budgets was becoming harder to absorb, as higher everyday costs eat into disposable income while monthly obligations continue to rise.

“Disposable income is falling, while basic needs and monthly obligations are increasing,” Syprodat said.

For thousands of families, low-income pensioners and borrowers, it added, the pressure was becoming particularly acute, with the rising cost of living directly affecting their ability to keep up with loan instalments.

Syprodat warned that the problem could increasingly affect households that have so far kept up with their repayments, as electricity, fuel and other essential costs take up a growing share of monthly income.

Cyprus and Malta are looking to deepen commercial ties and create new opportunities for joint investment, with companies from the two countries meeting to explore cooperation across technology, financial services, manufacturing and cyber security.

The Cyprus Chamber of Commerce and Industry (Keve) hosted the Cyprus–Malta Business Forum and a series of B2B meetings, bringing together a Maltese business delegation and representatives of the Cypriot business community.

The forum, organised with The Malta Chamber of Commerce, Enterprise and Industry and the Cyprus–Malta Business Association, was held in the presence of Permanent Secretary of the Ministry of Energy, Commerce and Industry Kyriacos Iordanou.

Keve said the initiative formed part of its wider effort to strengthen Cyprus’ international business links and help Cypriot companies expand into overseas markets.

Cyprus continues to command strong investor confidence, with 83 per cent of international investors surveyed by EY rating the island attractive for foreign direct investment, even as energy costs, access to finance and bureaucracy remain significant concerns.

The latest EY Cyprus Attractiveness Survey 2026, presented by Stelios Demetriou, EY Cyprus Head of Strategy and Transactions and M&A Leader for Central, Eastern and Southeastern Europe & Central Asia, puts the country’s FDI stock at around €82 billion in 2025, with investment still concentrated largely in financial services, real estate and ICT.

Of those surveyed, 56 per cent described Cyprus as definitely attractive and a further 27 per cent as fairly attractive. Another 13 per cent were neutral, while only 4 per cent considered it unattractive.

The survey was conducted among 80 foreign investors from 23 countries and 11 sectors, with senior executives and investment decision-makers taking part. About 92 per cent of respondents already had business operations in Cyprus.

Sales of locally produced industrial goods in Cyprus rose by 3.7 per cent to €4.77 billion, with halloumi, bakery products and pharmaceuticals among the largest categories, according to statistical service (Cystat) figures released on Thursday.

Sales increased by €170.2 million from €4.60bn a year earlier, although growth slowed from the 7.3 per cent recorded in 2023, when the total had risen from €4.29bn, according to earlier Cystat figures.

Among the biggest contributors was halloumi, with local industrial units selling 46,100 tonnes worth €364.1m, compared with 41,900 tonnes valued at €338.1m a year earlier.

That translates into an increase of around 10 per cent in volume and 7.7 per cent in value, adding €26m to halloumi sales over the year.

Cyprus remains among the EU economies most dependent on sea transport, with 98.6 per cent of imports and 97.2 per cent of exports by weight moving by sea in 2024, as shipping continues to dominate European trade.

The island’s reliance on maritime transport is also evident across freight activity more broadly. In 2024, 96.3 per cent of freight transport in Cyprus was maritime, measured in tonne-kilometres, the third-highest share in the EU after Portugal and Greece.

Meanwhile, fresh Eurostat data show that maritime transport remained the main mode for the EU’s international trade in goods in 2025.

The bloc imported 1.1 billion tonnes of goods from non-EU countries by sea, valued at €1,270 billion, while exports transported by sea totalled 0.5 billion tonnes, worth €1,069 billion.

Cyprus house prices rose 8.5 per cent year on year in the second quarter of 2026, with demand from foreign and domestic buyers continuing to support the market, according to the Central Bank of Cyprus (CBC).

The CBC’s general residential property price index reached 109.7, while prices were 2.4 per cent higher quarter on quarter.

The central bank attributed the increase mainly to strong demand for residential property, particularly from foreign buyers, as well as continued domestic demand and higher construction costs.

House prices rose 5.8 per cent year on year, while apartment prices increased by 8.9 per cent.

Annual price growth accelerated in all districts except Limassol.

Cyprus has emerged as the standout destination in a British ranking of European autumn breaks, with Israeli news website Walla emphasising the island’s warm weather, limited rainfall and short flying time from Israel.

In an article headlined ‘The sun is still here’, Walla reported that Cyprus had taken the top four places in a new ranking of the best European destinations for holidays in October and November.

The study was carried out by British holiday company Solmar Villas, which assessed 105 European destinations using factors including temperatures, the likelihood of rain and air fares during the final two months of autumn.

Ayia Napa ranked first, followed by Limassol, Larnaca and Paphos, giving Cyprus the entire top four.

KPMG Cyprus is placing artificial intelligence, digital tools and innovation more deeply into its work as businesses face increasingly complex regulatory, technological and sustainability demands, according to the firm.

After more than seven decades in Cyprus, KPMG now employs more than 750 professionals across six cities, offering services spanning Audit, Tax, Legal and Advisory while drawing on the wider expertise of its international network.

The firm said, however, that the bigger change is increasingly not what services are offered, but how they are delivered.

Technology is being used to automate parts of traditional professional work, analyse larger volumes of information and allow staff to spend more time on areas requiring judgement, risk assessment and interpretation.

Cyprus is seeking to position itself as a stable European base for international financial services, as Invest Cyprus stepped up its pitch to investors, wealth managers and family offices at an event in London this week.

Speaking at the Financial Times, Invest Cyprus chairman Evgenios Evgeniou said the country had changed considerably in recent years and was increasingly attracting financial institutions looking for a base from which to serve wider international markets.

“Cyprus has transformed. It is now an attractive and secure base for international financial organisations, wealth management companies and family offices,” he told the Cyprus News Agency (CNA).

The London event, held for a second time at the FT’s offices, focused on financial institutions considering Cyprus for back-office operations, family offices and wealth management activities, while companies already established on the island were invited to discuss their own experience of investing and expanding there.

Limassol is heading west this October as Cyberness brings a two-day market inspired by the spirit, colour and character of the Wild West to Kolla.

Taking place on October 3 and 4, from 16.00 to 23.00 each day, the Cyberness: Wild West Market will see Kolla transformed into a Western-inspired space where local creativity, music, food and entertainment come together.

Across the two evenings, visitors will be able to explore more than 150 local shops and makers, discovering everything from handmade pieces and independent designs to fashion, art and original products.

In between browsing the stalls, they can stop for street food and desserts, visit the bars for cocktails and drinks, or stay on for the DJs and live performances shaping the soundtrack of the weekend.