The Cyprus Economy and Competitiveness Council on Monday presented the Cyprus Competitiveness Report 2025, highlighting the need to attract more productive investments that create genuine economic activity, new jobs and knowledge transfer as one of the country’s foremost economic priorities.
Presenting the report’s findings in Nicosia, University of Cyprus economics professor Sofronis Clerides, who led the research team responsible for the study, said that competitiveness can no longer be measured solely in economic terms.
He explained that competitiveness should instead be linked to a country’s ability to create sustainable prosperity through an effective business environment, strong economic performance and social and environmental sustainability.
The report identifies productivity as Cyprus’ biggest structural weakness.
It states that despite low unemployment, high employment rates and the substantial inflow of skilled workers in recent years, Cyprus continues to lag behind many competing economies in terms of productivity.
Cypriot beverage company KEO plc announced on Monday that its board of directors has proposed a dividend payment to shareholders during a meeting held earlier today.
The proposal involves a total dividend distribution of €1,687,276.92, which corresponds to 4 cents of a euro for each fully paid share.
This payout will be sourced from the profits of the year 2024 that are currently included in the company’s retained earnings.
The proposal is subject to approval at the annual general meeting of shareholders, which is scheduled to take place on July 8, 2026.
Brussels hosted the European Innovation Council Summit 2026 this month, where Laurence Petit, Director of Innovation at France’s CEA, shared insights on how Europe can transform scientific excellence into successful deep-tech companies.
Speaking to the Cyprus Mail on the sidelines of the event, Petit discussed the ingredients behind CEA’s ability to produce between 10 and 15 spin-off companies each year, the sectors she believes hold the greatest promise, and why team building remains the biggest challenge facing research organisations.
Since 2022, Petit has overseen all of CEA’s start-up support programmes, including maturation, incubation and venture-building activities, while simultaneously managing around 25 projects and the organisation’s investment subsidiary.
CEA, formally known as the French Alternative Energies and Atomic Energy Commission, is one of Europe’s leading public research organisations, active across fields ranging from energy and digital technologies to defence, health and deep-tech innovation.
IMF managing director Kristalina Georgieva has warned that European Union nations face a significant fiscal challenge as public debt levels threaten to climb sharply over the coming decades.
Public debt across the European Union could surge beyond 130 per cent of gross domestic product by 2040 if current fiscal trends remain unchanged.
Without policy measures, we estimate that the simple average of public debt in EU countries would more than double to over 130 per cent of gross domestic product by 2040, the IMF head warned.
These long-term projections reflect the intense pressure already weighing on state budgets due to rising costs in pensions, healthcare for ageing populations, and the necessary energy transition.
The International Maritime Organisation (IMO) has welcomed the peace agreement announced between the US and the Islamic Republic of Iran, saying it signals “a crucial return to peace, dialogue, multilateralism and diplomacy”.
According to the IMO, at least 46 attacks against international shipping have been verified in and around the Strait of Hormuz since the conflict began on February 28, 2026.
IMO Secretary-General Arsenio Dominguez welcomed the agreement “with great satisfaction”, saying it represented “an important step toward restoring safety in this vital maritime corridor for seafarers and ships”.
He said the agreement was also important for “safeguarding the fundamental principle of freedom of navigation”, a concern that remains central for global shipping and maritime centres such as Cyprus.
At the political level, Cyprus’ Foreign Ministry also welcomed the development, saying in a post on Monday that “the agreement is a critical step towards lasting de-escalation in the region, including Lebanon, and the restoration of freedom of navigation, and provides new impetus towards a comprehensive negotiating framework for a sustainable resolution of the nuclear issue and all other critical issues.”
Consumers in Cyprus purchasing goods from outside the European Union will face a temporary flat-fee duty of €3 per item starting July 1, 2026, according to guidance released by both the European Commission and the local Customs Department.
This new customs regulation applies to all low-value consignments of up to €150 imported from non-EU countries, effectively abolishing the duty exemption that was in place until June 30, 2026.
The €3 charge is a temporary measure scheduled to remain in effect until July 1, 2028, after which standard customs duties will apply based on the specific category of the goods.
This initiative forms a core part of the EU’s Customs Reform, a broader project designed to modernise customs procedures and ensure higher levels of fairness, safety, and sustainability across the e-commerce sector.
Amazon executive Panos Panay will headline a fireside chat on how innovation can be turned into real-world economic and social value during the international conference ‘Shaping the Next Digital Frontier’, which will take place in Nicosia on June 17.
The discussion, titled ‘From Innovation to Real-World Impact’, is scheduled for 10.30am at the Filoxenia Conference Centre, as part of a two-day conference taking place on June 17 and 18 in the context of the Cyprus Presidency of the Council of the European Union.
The event is expected to bring together policymakers, industry leaders, researchers, entrepreneurs and technology professionals, with the wider programme focusing on Europe’s digital and artificial intelligence future.
The conversation around innovation has increasingly moved beyond what is technologically possible, focusing instead on how new tools can be used in practice by businesses, governments and society.
Digital transactions in Cyprus are continuing to grow at a rapid pace, as consumers and businesses increasingly move towards card payments, mobile banking, electronic wallets and fintech applications.
The shift reflects the broader digitalisation of the economy, but also the pressure being placed on Europe’s financial system by new payment technologies, artificial intelligence, blockchain and the planned digital euro.
According to the European Central Bank (ECB), the number of non-cash payments in the euro area reached 77.7 billion in the first half of 2025, marking an increase of 7.7 per cent compared with the same period of the previous year.
Card payments remained the most widely used electronic payment method, accounting for 57 per cent of all non-cash transactions in the euro area. Contactless payments also continued to rise, with the ECB reporting 29.6bn contactless card payments during the same period, up 12.8 per cent year-on-year.
Cyprus appears to be moving even faster than the euro area average. Figures based on ECB data show that card payments accounted for 74.5 per cent of cashless transactions in Cyprus in the first half of 2025, placing the country among the eurozone’s strongest users of electronic payments.
Limassol’s worsening traffic problem is no longer just a source of daily frustration, but a threat to the city’s growth, business confidence and ability to retain major companies, the Limassol Chamber of Commerce and Industry (Evel) has warned.
This expression of concern came from chamber president Andreas Tsouloftas, who told Entrepreneurial Limassol, Evel’s periodical, that the issue had now moved well beyond inconvenience.
Speaking during a broad meeting at Limassol municipal hall, held under Transport Minister Alexis Vafeades and attended by mayors, community leaders and other competent bodies, Tsouloftas said the city could not afford to remain stuck in years of discussions while long-delayed projects stayed on paper.
For Limassol, he said, the stakes are now economic.
The city remains the engine of the Cypriot economy, contributing almost 50 per cent of the country’s GDP, while also hosting a large part of Cyprus’ shipping, property, professional services and technology sectors.
Greek lender Eurobank S.A. announced on Monday that it had repurchased a total of 1,657,727 of its own shares between June 10 and June 12, 2026, as part of its ongoing share buyback programme, with the transactions amounting to €6,553,382.61.
The share repurchase programme, which was approved by the bank’s annual general meeting of shareholders held on April 28, 2026, had officially commenced following an announcement issued on June 10, 2026 and a board resolution adopted on April 29, 2026.
According to the bank, the purchases concerned shares traded on Euronext Athens and were executed through Eurobank Equities Single Member Investment Firm S.A., a member of the exchange.
Overall, the bank acquired 1,657,727 shares at an average price of €3.9532 per share, bringing the total value of the transactions to just over €6.55 million.
The US-Iran agreement marks an important development for energy markets and global trade, although inflationary pressure is expected to remain in place for some time, according to University of Cyprus economics professor Marios Zachariades.
Speaking to the Cyprus News Agency (CNA), Zachariades said the agreement had already led to a sharp fall in international Brent crude prices, a move which should gradually be reflected at petrol stations in Cyprus over the coming weeks.
“There is already a huge drop in the international price of Brent oil, and this should be transmitted slowly to gas stations in the coming weeks,” he said.
However, he warned that the effect on food production, transport costs and wider consumer prices would take longer to become visible, as higher energy prices had already fed into production and supply chains.
“But we will see a more immediate reduction in gasoline at gas stations in the coming weeks, logically based on what we see in international markets,” he added.
Cyprus’ startup ecosystem is entering a period of growing maturity, but challenges surrounding founder quality, access to capital and international scaling remain, according to Dionysis Partsinevelos, associate at venture capital firm 33East and analyst at G4 Ventures.
In an exclusive interview with the Cyprus Mail, Partsinevelos discussed the evolution of the island’s innovation landscape, lessons from elsewhere in Europe, as well as the sectors currently showing the strongest momentum in 2026.
Drawing on experience, he explained why early-stage investing is ultimately centred on people rather than numbers, while warning that Cyprus faces a critical decade in its efforts to build a self-sustaining startup ecosystem.
He also highlighted the growing role of applied artificial intelligence, DeepTech, PropTech and hospitality technology, and argued that the country needs more founders willing to take risks and pursue their ventures full time.
Cyprus recorded 13,905 job vacancies in the first quarter of 2026, with the job vacancy rate standing at 2.8 per cent, according to the Statistical Service (Cystat).
Overall, the figures point to continued demand for workers across key parts of the economy, particularly in services, construction and tourism-related activities.
Cystat said the highest job vacancy rates in the first quarter were recorded in arts, sports and recreation, where the rate reached 5.1 per cent.
Construction followed with a job vacancy rate of 4.7 per cent, while accommodation and food service activities stood at 4 per cent.
In terms of the actual number of vacancies, wholesale and retail trade accounted for the largest share, with 2,649 openings in the first quarter of 2026.
The Cyprus Stock Exchange (CSE) has announced adjustments to the weight factors of two major financial institutions within the FTSE/CySE20 Index, effective from Monday, June 22, 2026.
This decision follows the exchange’s semi-annual review of the index, which ensures that no single constituent holds a disproportionate influence over the benchmark.
In accordance with Rule 5.4.1 of the FTSE/CySE20 Index Management Rules, any participating stock whose weight exceeds 25 per cent of the index must be capped at that level.
The evaluation, which utilised data as of June 13, 2025, determined that both Eurobank S.A. and Bank of Cyprus Holdings currently exceed this 25 per cent threshold.
Cyprus has moved to position itself among Europe’s more competitive jurisdictions for cryptocurrency investors, introducing a dedicated tax regime for crypto assets from January 1, 2026, with a flat 8 per cent rate on realised profits.
The change comes at a time when the European Union has brought much of the crypto market under a common regulatory framework through the Markets in Crypto-Assets Regulation, known as MiCA, while leaving taxation largely in the hands of individual member states.
MiCA sets uniform EU rules for crypto assets not already covered by existing financial services legislation, including provisions on transparency, disclosure, authorisation and supervision. The framework became applicable to issuers of asset-referenced tokens and e-money tokens in June 2024, while rules for crypto-asset service providers applied from December 2024.
However, tax treatment remains fragmented. This means investors across Europe continue to face very different outcomes, with some countries offering exemptions for long-term holders and others taxing gains at rates of 30 per cent or more.
The EuroMED Days conference, held in Nicosia on Monday, highlighted the urgent need to strengthen economic cooperation, investment, and technological connectivity across Europe, the Middle East, and Africa.
Attended by Deputy Minister to the President Irene Piki and Deputy Minister of Research, Innovation and Digital Policy Nicodemos Damianou, the event underscored that the Mediterranean is entering a period of heightened strategic importance.
Invest Cyprus President Evgenios Evgeniou noted that Cyprus acts as a bridge between continents, offering stability in uncertain times.
Cyprus has recorded some of the highest growth rates in the European Union, with technology now contributing approximately 14 per cent of the country’s GDP.
Total employment in Cyprus’ broad public sector reached 78,388 persons in the first quarter of 2026, marking a year-on-year increase, according to the state statistical service (Cystat).
According to Cystat, employment in general government stood at 73,236 persons, while publicly owned enterprises and companies accounted for 5,152 persons.
Within general government, which includes state employees, non-profit organisations and local authorities, total employment reached 55,354 persons among state employees, 11,476 persons in non-profit organisations, and 6,406 persons in local authorities.
Compared with the first quarter of 2025, employment in the broad public sector increased by 1,354 persons, representing a 1.8 per cent rise.
Shipping Deputy Minister Marina Hadjimanolis on Monday welcomed Cuban Ambassador Ruben Pino Martinez to the Shipping Deputy Ministry, where the two sides discussed ways to deepen cooperation in the maritime sector.
According to a statement, Hadjimanolis and the ambassador reaffirmed the longstanding friendship between Cyprus and Cuba, while underscoring the importance of maintaining close bilateral relations.
The discussions also highlighted the significance of the existing bilateral maritime agreement between the two countries, which was described as an important framework supporting cooperation in the shipping sector.
According to the Shipping Deputy Ministry, both sides expressed their commitment to building on this foundation and strengthening ties further.
Cyprus’ Chief Scientist for Research, Innovation and Technology, Demetris Skourides, represented the country at two European science and policy meetings in Austria and Germany last week, as discussions focused on the role of scientific advice in shaping EU decisions.
Skourides first took part in the European Science Advisors Forum (ESAF) Intermediate Meeting, held in Vienna on June 10, 2026, ahead of the forum’s next Annual General Assembly, which is expected to take place in Brussels in early December.
The meeting was hosted by the Austrian Academy of Sciences, as the current ESAF chairmanship is held by Austria.
ESAF was established in 2014 following an initiative by the European Commission. It operates as an EU-level forum and network aimed at promoting the use of scientific evidence in policymaking, while also allowing members to exchange practices and reflect on the role of scientific advice in political and non-political decision-making.
The Cyprus Stock Exchange (CSE) has announced that it authorised the listing of new 13-week government treasury bills totalling €50 million following a successful auction held on June 12, 2026.
These securities consist of 50,000 individual treasury bills with a nominal value of €1000 each, designated as the 6th issue of the 2026 series.
The exchange has also confirmed the simultaneous entry of these bills into the Central Securities Depository and Central Registry.
These government bills are scheduled for official issuance on June 19, 2026, and will not bear any interest.
The Cyprus Development Bank (CDB) announced on Monday that it will proceed with the payment of interest to bondholders for its CDBB1 series.
The payment covers the six-month interest period spanning from December 23, 2025, to June 22, 2026.
The final date for trading bonds with the right to participate in this interest payment is June 16, 2026.
Following this, the ex-interest date, marking when bonds will trade without the right to participate in the payment, is set for June 17, 2026.
The record date, which determines the registered bondholders eligible to receive the interest, is June 18, 2026.
The official interest payment date is scheduled for June 23, 2026.
