Business & economy wrap-up from the day before

Cypriot businesses are continuing to invest, innovate, and remain resilient in the face of geopolitical tensions and global trade disruptions, according to the latest European Investment Bank (EIB) investment survey for Cyprus.

The survey found that investment activity in Cyprus remains strong, with almost all businesses making investments, primarily focusing on innovation, even though the overall business climate is more cautious compared to the EU average.

“Cypriot businesses continue to invest, digitalise, and strengthen their resilience, even in this difficult global environment,” said EIB Vice-President Marek Mora.

“The growing use of artificial intelligence and the steady commitment to innovation are clear signs of a private sector with a future-oriented focus,” he added.

The Cyprus-Greece Business Association on Friday congratulated Greece’s Minister of National Economy and Finance Kyriacos Pierrakakis, on his assumption of the Eurogroup presidency.

In a statement from the association, president Iosif Iosif expressed pride and a desire for future cooperation.

Pierrakakis, who became the head of the Eurogroup on Thursday, saw off the rival Belgian candidate to become president of the assembly of finance ministers from the 20 countries sharing the euro, underscoring Greece’s significant turnaround since the years it nearly left the single currency.

“The Cyprus-Greece Business Association warmly congratulates you on your election to the presidency of the Eurogroup,” Iosif stated.

“Your assumption of this important position for European financial affairs is a particular honour for you personally, the Greek government, Greece, but also Cyprus,” he added.

PwC Cyprus announced on Friday that Andreas Yiasemides has been elected as the firm’s next chief executive, a decision made by the partnership that will see him formally assume the role on July 1, 2026, succeeding current CEO Philippos Soseilos.

The firm confirmed that Yiasemides will serve a four-year term running from July 1, 2026, to June 30, 2030.

Soseilos will remain with PwC Cyprus until December 31, 2026, to support what the firm described as a smooth leadership transition. The handover between the two will take place on June 30, 2026.

Cyprus’ government is focused on maintaining a strong and resilient economy as the basis on which businesses can plan, invest and grow with certainty, according to Deputy Minister to the President Irene Piki.

Speaking at the 12th Keve Business Leader Awards on behalf of President Nikos Christodoulides, Piki said that in an environment marked by international volatility, “an economy that remains consistent, reliable and resilient” can act as a stable reference point for businesses, strengthening confidence and enabling long-term planning.

She praised the Cyprus Chamber of Commerce and Industry (Keve) for its role in promoting Cyprus as an investment destination and supporting the outward orientation of local businesses.

Referring to the President’s address earlier this week at Keve’s annual general assembly, Piki said the government’s vision for a more competitive Cyprus rests on extroversion, better access to finance and a simpler, business-friendly framework, as the country prepares for its EU Council presidency.

Eurostat reported that renewable energy accounted for 49.3 per cent of net electricity generated across the EU in the third quarter of 2025, a development that highlights wide disparities among member states and places Cyprus among the lowest performers despite month-to-month variations.

The EU-wide figure marked an annual increase of 3.8 percentage points compared with the 47.5 per cent recorded in the same quarter of 2024, showing steady progress in the bloc’s energy transition.

Cyprus continued to lag behind most member states, finishing fifth from last in the share of renewables in electricity production during the third quarter of 2025.

Only France, Slovakia, Czechia and Malta recorded lower proportions, with Malta again at the very bottom.

Eurostat this week reported that the use of artificial intelligence among EU enterprises continued to rise sharply in 2025, with Cyprus trailing behind the European average despite steady improvement over the past four years.

Across the bloc, around 20 per cent of enterprises with at least 10 employees used AI technologies in 2025.

This represents a robust increase of 6.5 percentage points compared with 13.5 per cent in 2024, underscoring what Eurostat described as growing momentum in the business adoption of digital tools.

Cyprus maintained one of the lowest adoption rates in the EU, reaching 9.27 per cent in 2025, which remained far below the EU-27 average of 19.95 per cent, widening the performance gap to more than 10 percentage points.

This placed Cyprus ahead of only Greece, Bulgaria, Poland, Turkey (with a percentage of 7.41 per cent in 2025), and Romania.

The trajectory marks a continuation of Cyprus’ slow but steady improvement.

Eurostat on Friday reported that the EU employment rate for people aged 20 to 64 held steady at 76.2 per cent in the third quarter of 2025.

This latest release comes shortly after recent state statistical service (Cystat) data showing that Cyprus is performing far above the EU average in employment, yet facing a slight rise in registered unemployment in November of this year.

Eurostat stated that “labour market slack stood at 11.0 per cent of the extended labour force in the third quarter of 2025”.

It added that the figure, which includes all persons with an unmet need for work, remained unchanged from the previous quarter.

Cyprus’ bus fleet remained one of the smallest in the European Union in 2024, something which is commensurate with its size, according to a report released on Friday by Eurostat.

Specifically, Eurostat reported that there were 737,142 buses and motor coaches across the bloc, a total that includes trolleybuses, mini-buses and mini-coaches.

Eurostat said “the EU motorisation rate has remained stable at 1.6 buses and motor coaches per 1,000 inhabitants for the last decade”, contrasting this stagnation with the rapid rise in the number of passenger cars, which increased from 506 per 1,000 inhabitants in 2014 to 578 in 2024.

Cyprus counted 3,144 buses in 2024, placing it in the lower tier of EU member states but still ahead of Slovenia, with 3,015, Luxembourg, with 2,735, and Malta, with 2,620.

The Central Bank of Cyprus (CBC) has announced that the quantity of the silver collector coin, issued to commemorate the 70th anniversary of the start of the Eoka liberation struggle, was now exhausted from its counters due to strong demand from the public.

The limited edition coin, which has a nominal value of €5 and a mint year of 2025, honoured the Eoka struggle against British colonial rule, with a total of only 2,000 coins issued.

The coin was available to the public and collectors from December 8, 2025, for a selling price of €55, including VAT, on a first-come, first-served basis, with each person allowed to purchase up to 2 coins.

Cyprus and the United Kingdom moved to deepen cooperation in defence and advanced technologies this week, as the first Cyprus-UK Defence Industry Day was held in London, marking what organisers described to Cyprus News Agency as an upgrade in bilateral ties in a high-priority sector.

Hosted by the High Commission of Cyprus, the event brought together senior government officials and representatives of defence industry associations from both countries.

According to the organisers, the meeting confirmed the shared will of Nicosia and London to expand cooperation in defence and technology, an area seen as increasingly strategic.

Cyprus’ Ministry of Labour this week awarded businesses and organisations certified in 2025 for implementing good practices on gender equality in the workplace, underscoring the growing emphasis on inclusive and transparent working environments.

According to a statement by the department of labour relations, the awards were presented by Labour Minister Marinos Moussiouttas, who referred to the rapid transformation of work driven by new technologies, labour shortages and evolving employee needs.

Against this backdrop, he said, human resources policies must adapt, as modern businesses are “called upon to create working environments based on equality, respect for diversity and transparency”.

The minister congratulated the awarded organisations for their practical commitment to equal treatment, equal opportunities for development and advancement, as well as protection from all forms of harassment.

Women and girls from across Cyprus stepped into leadership roles on land and at sea, as Winds of Change hosted its inaugural ‘Women at the Helm’ empowerment programme in Larnaca.

The one-day initiative, held at the Golden Bay Beach Hotel and Larnaca Marina, brought together participants aged 12 and above from communities across the island, combining leadership workshops with hands-on sailing.

It marked the first edition of a programme designed to translate leadership principles into real-world decision-making under live sailing conditions.

Opening the event, Winds of Change founder Sophia Papamichalopoulos OLY, an Olympian and vice president of World Sailing, spoke about reclaiming space, stepping into leadership and the importance of women supporting one another.

The Central Bank of Cyprus (CBC) on Friday announced that it deemed it appropriate to maintain the countercyclical buffer (CCyB) rate at 1.5 per cent, effective as from January 14, 2026.

Limassol-based Island Oil Holdings this week announced the acquisition of its newly purchased bunkering vessel, Ruby, which has now officially joined the company’s fleet in Cyprus.

Ruby, a vessel specialised in bunkering and the sister ship to Island Oil’s Astraia, enhances the company’s operational flexibility and capacity to serve marine fuel clients, according to the company.

To mark the vessel’s arrival, Island Oil held a traditional blessing ceremony on board.

As part of her entry into Cypriot waters, Ruby passed directly in front of the company’s seafront offices in Limassol, which Island Oil described in a social media post as “a special moment for our team”.

The fleet expansion comes as the company continues to strengthen its commercial footprint.

The Enterprise Europe Network has announced that a high-level mission to Thailand is scheduled for May 24–28, 2026.

The mission will feature Commissioner for Agriculture and Food Christophe Hansen and a business delegation to promote European agricultural and food sector products and foster trade opportunities in South-East Asia.

This announcement was shared in Cyprus by the Chamber of Commerce and Industry (Keve), which acts as the coordinator of Enterprise Europe Network Cyprus.

The mission will include up to 100 senior executives from European companies and agricultural and food sector producer organisations.

EAC Supply, in collaboration with the Cyprus Energy Agency, has announced a new “AHK+” Grant Scheme to support businesses, local authorities, and vulnerable households across Cyprus in their transition to a cleaner and more efficient energy model.

The scheme provides financial support for the replacement of lighting fixtures and old air-conditioning units with modern, high energy-efficiency devices.

This initiative aims to offer immediate benefits to businesses, organisations, and households, while simultaneously contributing to reduced energy consumption and the promotion of the green transition.

The total budget allocated for the “AHK+” Grant Scheme amounts to €5.5 million.

The Central Bank of Cyprus published its balance sheet this week, showing total assets and liabilities of €29.74 billion as of the end of November, 2025.

Gold and gold receivables reached €1.45 bn, forming a significant component of the bank’s reserves.

Claims on non-euro area residents denominated in foreign currency stood at €1.09 bn, while claims on euro area residents in foreign currency totalled €32.08 million.

Claims on non-euro area residents denominated in euro amounted to €567.10m.

Lending to euro area credit institutions related to monetary policy operations remained at zero for the month, whereas other claims on euro area credit institutions reached €10.01m.

Securities of euro area residents denominated in euro formed one of the largest asset categories at €6.54 bn, while general government debt in euro stood at zero.