Cyprus Business Now: tourism, public debt, shipping, inflation, real estate
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Cyprus remains a competitive international business centre, with foreign direct investment being essential for its economic growth. The country's economy is showing resilience, with a strong primary balance and a relatively low inflation rate.
Cyprus is a reliable and competitive international business centre, according to a government official speaking at the Great Britain Cyprus Business Association investment conference. Foreign direct investment is crucial for the country's economic growth, enhancing economic resilience and strengthening domestic businesses. The Cypriot real estate market reached new highs in 2025, with an 8% increase in property transaction values to €6bn. The IMF projects Cyprus to record a net lending position of 2.64% in 2026. The country's inflation rate is among the lowest in the EU, at 1.0% in March 2026. Cyprus' shipping industry is also vital to European connectivity and cohesion, with the need for a reliable transport network becoming increasingly pressing amid geopolitical tensions.
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