Category: Cyprus News Agency

Cyprus recorded a 0.5% increase in retail sales volume in March 2026 compared with February 2026, according to the first estimates published on Thursday by Eurostat on developments in retail trade in the European Union.

On an annual basis, in March 2026 compared with March 2025, Cyprus registered a 6.1% increase in the calendar-adjusted retail sales index, marking one of the strongest performances among the EU Member States for which data are available.

At EU level, in March 2026 compared with February 2026, seasonally adjusted retail trade volume increased by 0.3%, while in the euro area it decreased by 0.1%. In February 2026, the corresponding figures showed a decline of 0.5% in the EU and 0.3% in the euro area.

According to the same Eurostat data, in March 2026 compared with March 2025, retail trade volume increased by 1.9% in the EU and by 1.2% in the euro area.

The European Court of Human Rights ruled Thursday that the Republic of Cyprus has violated the Article for the right to a fair hearing in the case Konstantinou v. Cyprus.

A press release by the Court says that the applicant, Kostas Konstantinou, is a Cypriot national who was born in 1968 and lives in Limassol.

The case concerns the alleged lack of judicial review available to Konstantinou in respect of a decision refusing to promote him to the post of district court president.

It adds that relying on Article 6 § 1 (right to a fair hearing) of the Convention, Mr Konstantinou complains that he had no access to a court to challenge the allegedly arbitrary decision of the transitional Supreme Council of Judicature (SCJ) and that the Supreme Constitutional Court (SCC) failed to act as an impartial tribunal, as the SCC judges who dismissed his complaint were, in their majority, the same judges who decided, as members of the transitional SCJ, not to promote him.

The Court found that there was violation of Article 6 § 1 (access to court). It held that the finding of a violation constituted in itself sufficient just satisfaction for the non-pecuniary damage sustained by the applicant and that the respondent State was to pay him EUR 13,887.60 for costs and expenses.

Improving the performance and resilience of the existing building stock is a strategic priority, Cyprus Minister of Transport, Communications and Works, Alexis Vafeades, said on Thursday at the European Conference on Architectural Policies (ECAP 2026) held in Nicosia.

Addressing the conference, Vafeades said Cyprus holds the Presidency of the Council of the European Union ‘at a critical moment for Europe’, with the built environment ‘at the forefront of today’s challenges’.

‘The challenges of climate change, energy transition, housing affordability and social cohesion require decisive and coordinated action,’ he said, noting that the built environment ’emerges not merely as a sector of activity, but as a strategic field of policy intervention’.

Referring to the European Green Deal and the New European Bauhaus, the Minister said they place ‘sustainability, aesthetics and inclusion at the core of this transition’.

‘Architecture is not only about buildings; it is about shaping resilient societies and improving the quality of life of all citizens,’ he added.

Vafeades said the conference offers ‘a high-level platform for dialogue’ on integrating sustainability principles into the design, construction, renovation and adaptive reuse of buildings.

He added that architectural policy plays a key role ‘in advancing the decarbonisation of the building stock, promoting circular construction practices and fostering innovation’.

The Minister also said that the conference highlights the shift ‘from a predominant model where demolition and reconstruction have too often prevailed, towards an approach that prioritises renovation, adaptive reuse and preservation’.

‘The reuse of existing buildings is not only an environmental necessity, but also a cultural and social imperative,’ he said, adding that it helps safeguard architectural heritage, strengthen local identity and support more sustainable and inclusive urban development.

Referring to Cyprus, Vafeades noted that the country faces significant needs in upgrading its existing building stock, while recognising the importance of policies combining sustainability, heritage preservation and contemporary needs.

‘Improving the performance and resilience of the existing building stock is not optional; it is a strategic priority,’ he stressed.

He added that the development of a National Architectural Policy constitutes ‘an important step’ in this direction.

Vafeades also said the transition towards a climate-neutral built environment ‘cannot be achieved through isolated actions’, but requires ‘coherent policy frameworks, interdisciplinary cooperation and the active participation of all stakeholders’.

Cyprus recorded the highest prison overcrowding rate in the European Union in 2024, according to data published by Eurostat on Thursday.

More specifically, the prison occupancy rate in Cyprus reached 227.6 in 2024, the highest among all EU member states. Slovenia followed with 134.2 and France with 129.3. The lowest occupancy levels were recorded in Estonia at 49.9, Lithuania at 67.0 and Luxembourg at 67.4.

According to the figures, the number of prisoners in Cyprus stood at 965 in 2024, compared with 959 in 2023. The number of prisoners per 100,000 inhabitants was 99.86 in 2024, marking a slight decrease from 101.04 in 2023.

At European Union level, the total prison population reached 508,746 in 2024, representing a 2% increase compared with 2023. According to Eurostat, recent trends show a steady rise since 2020, when the lowest figure was recorded at 463,376 prisoners. Since then, the number of prisoners across the EU has increased by 9.8%.

In 2024, the EU average stood at 113 prisoners per 100,000 inhabitants, compared with 111 in 2023.

The highest prisoner rates per 100,000 inhabitants were recorded in Hungary with 193, Poland with 191 and Latvia with 187. By contrast, the lowest rates were observed in Finland with 57, the Netherlands with 67, and Denmark and Germany with 70 each.

In absolute terms, the largest prison populations in 2024 were recorded in France with 80,699 prisoners, followed by Poland with 69,850 and Italy with 63,524.

Interest rates on outstanding deposits in Cyprus stand at the lower level within Eurozone, while the interest rate level on new loans in Cyprus is comparable to the Eurozone median, Cyprus Central Bank notes, releasing the statistics on the average interest rates applied by monetary financial institutions (MFIs) in Cyprus on deposits and loans of euro area residents in euro for March 2026.

According to the CBC, this might be attributed to the excess liquidity of credit institutions in Cyprus, which is among the higher ones within Eurozone. Indicatively, the Liquidity Coverage Ratio – LCR in Cyprus in March 2026 stood at 315%, compared with 186% (median) and 163% (mean) in European Union in December 2025 (latest available data), as well as to the short range of the banking sector in Cyprus.

Deposit Rates

————

The interest rate on deposits from households with an agreed maturity of up to one year recorded a marginal decrease to 1.18%, compared with 1.19% in the previous month.

The corresponding interest rate on deposits from non-financial corporations registered an increase to 1.39%, compared with 1.19% in the previous month.

Lending Rates

———-

The interest rate on consumer credit decreased to 6.79%, compared with 7.12% in the previous month.

The interest rate on loans for house purchase increased to 3.86%, compared with 3.45% in the previous month. It is noted that, the portfolio of loans for house purchase of the MFIs contains various types of loans, such as loans for primary residence, for vacation houses etc, which bear different risk and interest rate.

The composition of the housing loans portfolio varies from month to month, resulting in changes to the level of the weighted average interest rate, independently of the increases or decreases of the interest rates of the MFIs.

The interest rate on loans to non-financial corporations for amounts up to pound 1 million increased to 4.40%, compared with 4.22% in the previous month. The interest rate on loans to non-financial corporations for amounts over pound 1 million registered a decrease to 4.10%, compared with 4.15% in the previous month.

Amounts of pure new loans

————–

Pure new loans recorded an increase to pound 495.3 million in March 2026 (from total of pound 730.4 million), compared with pound 328.7 million (from total of pound 435.1 million) in the previous month.

According to CBC, pure new loans for consumption increased to pound 24.6 million (from total of pound 26 million), compared with pound 20.1 million in the previous month (from total of pound 21.1 million).

Pure new loans for house purchase recorded an increase to pound 142.8 million (from total of pound 189.1 million), compared with pound 115.1 million in the previous month (from total of pound 151.6 million).

Pure new loans to non-financial corporations for amounts up to pound 1 million increased to pound 54.7 million (from total of pound 72.5 million), compared with pound 47.5 million in the previous month (from total of pound 60.4 million).

Pure new loans to non-financial corporations for amounts over pound 1 million registered an increase to pound 266.9 million (from total of pound 436.3 million), compared with pound 137.3 million in the previous month (from total of pound 191.6 million).

CBC notes that the interest rate level on outstanding loans in Cyprus is close to the respective Eurozone median, with the spread standing at zero (0.0%) for households and to 0.4% for non-financial corporations.

The correlation between the transmission rates of monetary easing and monetary tightening in Cyprus, is in line with the other Eurozone countries in outstanding loans, both to households and non-financial corporations.

More specifically, the correlation between the decrease observed in loans interest rates during the monetary easing period (i.e. for the period June 2024 – March 2026), with the respective increase during the monetary tightening period (i.e. for the period June 2022 – December 2023), is favourably compared with the other Eurozone countries.

The interest rate level on new loans in Cyprus is comparable to the Eurozone median. More specifically, the spread between the weighted average interest rate on loans to households for house purchase stands at -0.2% (lower than the Eurozone median), while the respective spread for non-financial corporations stands at 0.4%.

The correlation between the pass – through of the transmission rates of monetary easing and monetary tightening in Cyprus, is in line with the other Eurozone countries in new loans to households for house purchase. In relation to new loans to non-financial corporations, the pass – through in Cyprus appears to be weaker, both during the monetary tightening period (increase of interest rates) and the monetary easing period (decrease of interest rates).

However, it is it is observed that the average pass – through rate in Eurozone during the monetary tightening period (increase of interest rates) was higher than the respective pass – through rate during the monetary easing period (decrease of interest rates) in loans to households for house purchase and loans to non-financial corporations, by 28.3% and 15.5% respectively. The pass – through rate for households in Cyprus during the monetary tightening period was by only 4% higher than the respective pass – through rate during the monetary easing period, while for non-financial corporations it was by 6.1% lower.

In contrast to the loans interest rates, interest rates on outstanding deposits in Cyprus are considered as outlier, standing at the lower level within Eurozone.

This might be attributed to the excess liquidity of credit institutions in Cyprus, which is among the higher ones within Eurozone.

Indicatively, the Liquidity Coverage Ratio – LCR in Cyprus in March 2026 stood at 315%, compared with 186% (median) and 163% (mean) in European Union in December 2025 (latest available data), as well as to the short range of the banking sector in Cyprus.

The interest rates on new deposits in Cyprus are standing at similar levels with interest rates on outstanding deposits, due to the same reasons mentioned above.

The pass – through of increases and decreases of interest rates in deposits in Cyprus appears to be weak as compared with almost all other Eurozone countries, both for households and non-financial corporations. It is observed that the average pass – through rate in Eurozone during the monetary tightening period (increase of interest rates) was lower than during the monetary easing period (decrease of interest rates) in the new deposits portfolio of households and non-financial corporations, by 0.6% and 5.6% respectively. The respective differences between the pass – through rates are higher in Cyprus and they stand at 6,6% and 6,8% for households and non-financial corporations respectively.

According to CBC, the share of new loans t? households for house purchase with variable interest rate is aligned with the Eurozone. The said share follows a sharply declining trend in recent years. From almost 100% at the beginning of 2022, it has fallen to 12.2% in March 2026 and is close to the Eurozone median. This may be partly affected by the choice of fixed-rate lending in the early years (e.g. 3-5 years), and their subsequent conversion to a floating rate.

Consequently, there is a change in the behaviour of borrowers regarding interest rate risk, an element that should be taken into account in banks’ risk management policies.

The share of new loans to households and non-financial corporations with floating interest rate compares favourably with the Eurozone. The said share follows a declining trend in recent years. From almost 100% at the beginning of 2022, it has fallen to 61.5% today, which is lower than the Eurozone median. This may be partly affected by the same reason mentioned above and should be taken into account in banks’ risk management policies.

Chairman of the outgoing Parliamentary Committee on Foreign and European Affairs, Harris Georgiades, met on Thursday with the General Affairs Working Group of the Council of the European Union, which is visiting the island between 6 and 8 May, within the framework of the Cyprus EU Presidency.

A House press release said that the Working Group is composed of diplomats from the 27 member states, the European Commission, the General Secretariat of the Council and the Council’s Legal Service.

Georgiades informed the participants about Cyprus’ political system and the responsibilities and the way in which the House of Representatives operates, highlighting the clear separation between the three branches of government.

Referring to the priorities of the Cyprus Presidency, Georgiades noted the geopolitical importance the Mediterranean region and in particular the Eastern Mediterranean has for the EU, which, as he pointed out, is indirectly affected by the current developments.

He underlined the need for a more active and stronger EU presence in the region to address the multiple challenges related to security and stability, such as migration and seafaring, so that the Eastern Mediterranean becomes an area of opportunities and cooperation.

The outgoing MP also noted that the Mediterranean and the current geopolitical challenges were the main themes of the interparliamentary conferences organized by the Parliament, within the framework of the EU Presidency.

He also underlined the importance of parliamentary diplomacy in strengthening efforts to find collective ways to address the challenges at the EU level.

FOR THE PERIOD FROM 0600 07/05/2026 UNTIL 0600 08/05/2026

Atmospheric pressure at the time of issue: 1017hPa (hectopascal)

Weak high pressure affecting the area. The weather will be mainly fine in general.

Visibility: Good

Sea surface temperature: 20°C

Warnings: NIL

AREA PERIOD WIND STATE OF SEA

West Coast

Morning Northeast to Southeast 3, gradually Southeast to Southwest Smooth to Slight

Afternoon West to Northwest 3 to 4 Smooth to Slight

Night Northwest to North 3, offshore 3 to 4 Smooth to Slight

South Coast

Morning Northwest to Northeast 3, gradually Northeast to Southeast Smooth to Slight

Afternoon Southwest to West 3 to 4 Smooth to Slight

Night Northwest to North 3 Smooth to Slight

East Coast

Morning Northwest to Northeast 3, gradually Northeast to Southeast Smooth to Slight

Afternoon Southeast to Southwest 3 Smooth to Slight

Night West to Northwest 3 Smooth to Slight

North Coast

Morning Southwest to Northwest 3, gradually West to Northwest Smooth to Slight

Afternoon West to Northwest 3 to 4 Smooth to Slight

Night Northwest to North 3, near the coast Southeast to Southwest Smooth to Slight

Time of issue: 0530 Date: 07/05/2026

The Cyprus Stock Exchange (CSE) All Share Index closed at today`s stock exchange meeting as follows:

MEETING DATE: 07/05/2026

INDICES BASE VALUES: FTSEMed=5000, OTH

EURO (pound )

TRADED VALUE: 479.009,61

INDEX VALUE % DIFF. VALUE (pound )

FTSE/CySE 20 175,190 0,600 453.375,090

MAIN MARKET INDEX 235,100 1,390 436.775,180

INVESTMENT COMPANIES MARKET INDEX 2.852,240 -0,960 31.442,410

CSE GENERAL INDEX 294,370 1,270 466.804,180

HOTELS INDEX 1.896,340 1,050 1.577,000

ALTERNATIVE MARKET INDEX 1.940,790 0,450 39.476,000

* The second column presents the percentage variation of the indices as compared to the last meeting.

Inflation went up in April, reaching 2.8%, according to the Statistical Service, mainly due to the increases recorded in the price of fuel.

Consumer Price Index in April 2026 increased by 1.73 points, reaching 102.80 units compared to 101.07 units in March 2026.

According to CYSTAT, the largest increases compared with April 2025 were recorded in the economic categories Petroleum Products (18.3%) and Agricultural Goods (9.6%), while the largest decrease was observed in Electricity and Water (-7.9%).

Compared with March 2026, the largest increase was recorded in Petroleum Products (12.6%).

Analysis of Percentage Changes

———-

Compared with April 2025, the largest increases were observed in the categories Transport (8.2%), Food and Non-Alcoholic Beverages (4.8%), Recreation, Sports and Culture (4.2%) and Educational Services (3.7%).

The largest drop was recorded in the category of Clothing and Footwear (-5.3%).

In relation to March 2026, the largest changes were recorded in the categories Transport (8.3%), Clothing and Footwear (5.2%) and Housing, Water, Electricity, Natural Gas and Other Fuels (1.4%).

Analysis of Effects in Units

————-

The largest positive contribution to the change in the CPI of April 2026 compared with April 2025 was recorded in the categories Restaurants and Accommodation Services (3.11), Recreation, Sports and Culture (2.82) and Alcoholic Beverages and Tobacco (1.85), while the largest negative contribution to the CPI change of April 2026 compared with April 2025 was observed in the categories Health (-2.61), Information and Communication (-1.61) and Clothing and Footwear (-1.14).

The largest impact on the month-to-month changes in the CPI in April 2026 compared with March 2026 was recorded in the categories Transport (1.23), Clothing and Footwear (0.32), Housing, Water, Electricity, Natural Gas and Other Fuels (0.17) and Food and Non-Alcoholic Beverages (-0.11).

The largest positive contribution to the change in the CPI of April 2026 compared with April 2025 was attributed to Recreation Services (2.88), while the largest negative contribution was attributed to Mobile Communication Services (-1.50).

Fuels and Lubricants (0.72) had the largest positive impact on the change in the CPI of April 2026 compared with the corresponding index of March 2026, while Vegetables (-0.20) had the largest negative impact.

Cyprus Chief Returning Officer Elikkos Elia officially declared the representatives of the Latin and Armenian religious groups elected to the House of Representatives on Thursday.

Antonella Lydia Mantovani was declared representative of the Latin religious group, while Vartkes Mahdessian was declared representative of the Armenian religious group.

Speaking during the proclamation procedure, Elia said the two candidates were automatically elected after no opposing candidacies were submitted by the deadline on Wednesday at 12:30 p.m., and no objections were filed by Thursday’s deadline.

Asked about the Maronite religious group representative, Elia said two candidates are contesting the seat, namely Marios Mavridis and Petros Nakouzis.

As a result, a vote for the Maronite representative will take place during the parliamentary elections scheduled for May 24.