The current account balance and the international investment position (IIP) of Cyprus recorded an improvement, while its gross external debt decreased in the second quarter of 2025 (Q2 2025), according to provisional data for external statistics for Q2 2025, released by the Statistics Department of the Central Bank of Cyprus on Wednesday.
In particular, the current account balance of Cyprus recorded an improvement, with the deficit decreasing from pound 341.7 million in Q2 2024, to pound 257.3 million, in Q2 2025.
The resulting deficit adjusted for the impact of Special Purpose Entities (SPEs), that is, classifying SPEs as non-residents, stood at pound 280.9 million in Q2 2025, compared with a deficit of pound 363.6 million in Q2 2024.
The international investment position (IIP) recorded an improvement in Q2 2025, presenting a net liability position of pound 30,094.9 million, compared with a net liability position of pound 30,420.9 million in Q1 2025.
With the corresponding data being adjusted for the impact of SPEs, IIP recorded a net liability position of pound 11,480.9 million in Q2 2025, compared with a net liability position of pound 11,871.7 million, in Q1 2025.
The gross external debt decreased to pound 232,988.2 million in Q2 2025 from pound 233,599.8 million in Q1 2025. The external assets in debt instruments decreased to pound 223,083.6 million, from pound 223,482.2 million in Q1 2025. Consequently, the net external debt decreased by pound 213.0 million to pound 9,904.6 million in Q2 2025.
Adjusted for the impact of SPEs, gross external debt reached pound 59,044.1 million in Q2 2025, compared to pound 59,569.7 million, in Q1 2025. The corresponding net external debt indicator decreased to -pound 24,313.4 million in Q2 2025, compared with -pound 23,924.4 million in Q1 2025.