News from Cyprus

The Finance Ministry is preparing additional cost-of-living measures for approval by the Council of Ministers, but no details have been released on what the package will include, how much it will cost, who will qualify or when relief will begin. Diesel was averaging around €1.95 a liter on Sept. 21, with prices at some petrol stations already passing the €2 mark, while Brent crude stayed close to $105 a barrel as the Middle East conflict pushed up international energy prices. For households in Cyprus, filling a 50-liter diesel tank now costs close to €100, before higher transport costs work through the rest of the economy.

Industrial producer prices in Cyprus rose 0.2 per cent month on month in August, following a 1.8 per cent increase in July, according to Eurostat, while prices in both the euro area and the EU climbed 1.9 per cent. On an annual basis, Cyprus' industrial producer prices were 4.2 per cent higher, compared with rises of 8.2 per cent in the euro area and 8.0 per cent across the EU. Separate Cystat data show Cyprus' Industrial Turnover Index rose 5 per cent year on year in July to 168.8 units, with domestic market demand up 7.4 per cent, though the figures point to a widening gap between domestic demand and export performance. For people living in Cyprus, the data indicate energy-driven cost pressure building across Europe, with the island's monthly increase smaller than the euro area average.

Inflation in Cyprus accelerated to 3.7 per cent in September from 3.5 per cent in August, according to Cystat. The Consumer Price Index rose 0.74 per cent month-on-month to 104.01 units, and was up 2.3 per cent over the first nine months of 2026 compared with the same period in 2025. Petroleum products rose 25.8 per cent year-on-year, while electricity and water increased 11.2 per cent, keeping pressure on household budgets. The figures come as the government implements a new €70 million package of measures, taking total new and existing support to about €160 million.

Inflation in Cyprus reached 3.7% in September, with consumer prices rising 0.74% from August alone, according to figures released Thursday by the Statistical Service. Petroleum products cost 25.8% more than a year earlier, the electricity and water category rose 11.2%, transport prices overall increased 11.9%, and the broader category covering housing, water, electricity and other fuels climbed 9.6%. The September annual rate was above the 2.3% average recorded over the first nine months of the year. For households, the sharpest increases are in expenses that are hard to cut — commuting, school runs and small-business deliveries — leaving less money for everything else; a €1,000 basket last September would cost about €1,037 this September.

Residential property prices in Cyprus rose 8.5% year-on-year in the second quarter of 2026, with the Central Bank's Residential Property Price Index reaching 109.7 after a 2.4% quarterly increase. The bank attributed the rise mainly to strong foreign buyer demand, followed by local demand, and to continuing construction costs. Apartments led with an 8.9% annual gain, while house prices rose 5.8%. Famagusta recorded the sharpest district increase at 10%, followed by Larnaca at 9.8%, Paphos at 9.6% and Limassol at 7.8%.

Writing in Turkish Cypriot daily Kibris Postasi, Engin Kara argues Turkish Cypriots should return to and reclaim their rights within the Republic of Cyprus, with property the hardest part of that return. He points to the kidney transplant exchange system designed by economists Tayfun Sonmez and Utku Unver with Nobel laureate Alvin Roth, in which incompatible donor-patient pairs swap donors crosswise. For 50 years, property has sat at the centre of every Cyprus negotiation, deferred to a 'comprehensive settlement'.

A 49-year-old man was remanded in custody for eight days by the Limassol District Court on Monday over the alleged rental of a Limassol house without the knowledge or consent of the family who inherited it. The case came to light after a complaint by a woman living permanently in Kuwait, who said she, her mother, her four sisters and her brother inherited the house after her father died in April 2020, and that none of the heirs knew of any rental agreement. On May 11, officers from Polemidia police station visited the house after neighbours reported an alleged illegal entry, and a couple outside showed a photograph of a rental contract between them and three co-owners of the house; on May 18 an estate agent handling the sale told the complainant a rental agreement had been made in April with a woman from Limassol. Limassol CID took a statement from the woman living in the house on August 25.

Cyprus’ short-term economic outlook improved in September 2026, with the Cyprus Leading Economic Index (CCLEI) rising 0.28% year-on-year, up from 0.01% in August, according to the University of Cyprus Economics Research Centre. The Economic Sentiment Indicator also increased by 0.6 points in September, its sixth consecutive monthly rise, supported by property sale contracts, credit card transactions and retail sales volumes. However, higher oil prices and weaker consumer and retailer confidence remain risks. For residents, this suggests modest economic strengthening, though inflation and external pressures could still affect daily costs.

Pitsas Insurance has launched an online platform that lets people applying for Cyprus ВНЖs arrange the immigration health insurance required for their application without visiting an office. Clients can see the price before buying, purchase the policy online and receive the documents needed for the residence application the same day, as part of the company's wider modernisation of its online services. Director Antonis Theofanous said applicants already have enough paperwork to deal with, and the aim is to make one of the necessary parts of relocating to Cyprus quicker and easier to manage.

Eurobank Cyprus has added a new feature to its app that allows customers to open a savings or current account from a mobile phone in just a few minutes. Users choose between euros (EUR), US dollars (USD) or pounds sterling (GBP) and can then manage local and international transactions, issue a virtual debit card for their digital wallet or request a physical card. The service also covers other bank products, including the free "My Account 18–25" account aimed at people aged 18 to 25. Payments and transfers, including free SEPA instant payments, are also available through the app.

The Central Bank of Cyprus said July borrowing rates were broadly in line with the euro area median, while deposit rates remained the lowest in the euro area. The rate on new housing loans fell to 3.78 per cent from 4.04 per cent in June, and household deposits with an agreed maturity of up to one year declined to 1.27 per cent from 1.42 per cent. Consumer loan rates rose to 6.94 per cent from 6.50 per cent, while deposits from non-financial corporations rose to 1.56 per cent from 1.41 per cent. The CBC linked the divergence in deposit rates to the high liquidity of Cyprus banks and the relatively small size of the domestic banking market.

Central Bank of Cyprus data for August 2026 show the rate on new household deposits with an agreed maturity of up to one year rose to 1.35 per cent from 1.27 per cent in July, while the average rate on new house purchase loans jumped to 4.16 per cent from 3.78 per cent. The CBC found Cyprus deposit rates at the lower end of the euro area and said transmission of interest rate changes to deposits has been weaker in Cyprus than in almost all other euro area countries, for both households and businesses. Rates on outstanding loans and new lending, however, are broadly close to the euro area median. For households on the island this means low returns on savings alongside renewed growth in mortgage borrowing costs.

Cyprus presented a pension reform proposal to trade unions and employers on Wednesday, targeting implementation from 1 January 2027. All 123,000 existing old-age pensioners would get an increase, with greater support for lower pensions, and the actuarial adjustment for retiring at 63 would drop from 12% to 7.5% on the basic pension component. The changes are not yet law, with further talks with social partners due on 28 August. For those living in or moving to Cyprus, the current Social Insurance Scheme continues to cover employees and self-employed people working legally on the island.

Labour Minister Marinos Mousiouttas said talks on pension reform are moving forward after chairing a meeting of the labour advisory board, made up of trade union and employer representatives, that lasted more than three hours. The board will now meet twice a week, reconvening on Monday and then Thursday. Mousiouttas insisted on the government timetable of passing the reform through parliament before the end of the year so it can be implemented from the beginning of January. Trade unions reiterated that their key concerns have not been allayed, and the minister declined to be drawn on outstanding disagreements or what might constitute a deal breaker, conceding only that stakeholders have different approaches.

Growing numbers of Israelis are moving to and investing in the Republic of Cyprus, citing the volatile situation in Israel and insecurity after the October 7, 2023 attacks and the wars that followed. For many, the island is shifting from a holiday and investment destination to a place to settle permanently, and in some cases a "Plan B". Israelis who spoke to DW anonymously described buying homes, including in a large residential development in Limassol district, citing the 40-minute flight and the same landscape and climate.

Photographer and content creator Bora Markovic is to receive a Cypriot passport after waiting more than 30 years, Demetris Tokaris said in a Facebook post. Tokaris thanked Interior Minister Constantinos Ioannou for approaching the case on humanitarian grounds and righting a long-standing injustice. Markovic arrived in Cyprus at the age of ten and has lived on the island since the 1990s; his naturalisation applications were repeatedly rejected over a break in his ВНЖ dating back to the 1990s, when he was a minor. AKEL MP Christos Christofides raised the case earlier this year, and Ioannou's response was dated July 13; no official announcement had been made by the time of publication.

The source is promotional material inviting international students to study in Greece and Cyprus, presenting both countries as places where ancient academic heritage meets modern universities. It names fields such as archaeology and history, philosophy, medicine, science and sports, and cites Plato, Aristotle, Hippocrates, Euclid, Pythagoras and Archimedes, adding that Cyprus is a further option a short journey across the Eastern Mediterranean. It stresses that today's Greek and Cypriot universities are not living museums but evolving academic bodies. The source contains no figures — no sums, dates, deadlines or percentages — and no details on fees, visas or migration procedures.

The University of Cyprus (UCY), the country's first public university, is broadening its academic offer with five new undergraduate programs taught in English, as part of a strategy to create what it describes as a genuinely international academic community. UCY says its ambition is not only to attract more international students but also to develop international partnerships, research excellence and global recognition. The university frames internationalization as an important part of its future development as Cyprus becomes an increasingly attractive destination for international students. For those living on the island, the English-taught programs mean more study options at a public university in Cyprus itself.

The Health Insurance Organisation (HIO) approved 932 of 1,304 requests for Gesy beneficiaries to receive medical treatment abroad in the first 12 months since it took over the process, with 24 cases classed as life-threatening and 86 as emergencies since October 2025. The average time from submitting a request to admission to a hospital abroad was 1.5 days for life-threatening cases, five days for emergencies and 22 days for non-urgent cases. Most referrals were to hospitals in Germany (28.4 per cent), followed by Greece (21.2 per cent), the United Kingdom (18.5 per cent) and Israel (11.7 per cent), and the HIO also arranged 101 medical air transfers. The referrals cover patients needing services that cannot be provided in Cyprus through Gesy within the necessary timeframe.

The Cyprus association of private hospitals (Pasin) urged fairer compensation under the national health scheme Gesy and urgent action on nursing staff shortages at its annual general assembly in Nicosia on October 8. Pasin president Dr Marios Karaiskakis said payments must reflect operating costs and ensure equal conditions for all healthcare providers. The association warned both issues affect financial sustainability and service quality, saying a strong private sector is essential to Gesy.