Cyprus industrial producer price index falls in April
Cyprus’ Producer Price Index in industry recorded a 3.8% decrease in April 2024 compared to the same month in 2023, primarily due to reductions in the electricity supply sector.
manufacturing sector
Cyprus industrial production index rises in March
The Industrial Production Index in Cyprus increased by 3.4% in March 2024 compared to March 2023. The manufacturing sector experienced a rise of 2.7%, with the water supply and materials recovery sector showing a significant surge of 23.3%. The manufacture of furniture and repair/installation of machinery and equipment rose by 11.9%. Conversely, the manufacture of paper and paper products and printing decreased by 8.9%.
Cyprus industrial turnover index rises in February
The Industrial Turnover Index in Cyprus reached 124.3 units in February 2024, marking a 5.2% increase compared to the same month in 2023. The manufacturing sector recorded a 10% increase in February 2024.
Cyprus industry prices slip 0.7 per cent in March
The Cyprus’ Producer Price Index in Industry reached 121.5 units in March 2024, marking an annual decrease of 3.9% compared to 2021.
Fed expected to refrain from further rate hikes
The EURUSD pair is gaining ground due to positive market sentiment and dovish remarks from Federal Reserve Chairman Jerome Powell. Powell dismissed the likelihood of a further interest rate hike and mentioned that progress on inflation has stalled. Traders are awaiting US economic data releases, while the Eurozone may struggle due to a more dovish stance from the European Central Bank. Eurozone inflation held steady in April, with bets for a potential interest rate cut by the ECB in June.
Cyprus industrial production index rises in February
The Industrial Production Index in Cyprus increased by 6.7% year-on-year in February, reaching 103.4 points.
Economic sentiment in Cyprus improves in March
– Economic sentiment in Cyprus improved marginally in April, with the Economic Sentiment Indicator (ESI) increasing by 0.8 points compared to March 2024.
– The rise in the ESI was driven by strengthening business sentiment across all sectors, with the largest increases occurring in the manufacturing and construction sectors.
– Services sentiment improved marginally in April, driven by more optimistic estimates of turnover in the next quarter.
– Retail trade sector sentiment rose slightly, supported by more favorable assessments of current inventory levels and improved expectations for the next quarter’s sales.
– Construction sector sentiment strengthened due to more favorable assessments of ongoing projects and optimistic estimates of number of employees.
– Manufacturing sector sentiment improved due to better assessments of current order levels, finished goods inventories, and expectations for production in the next quarter.
– Consumer sentiment declined in April as consumers appeared more pessimistic about the future economic situation of their households and the country in general compared to March.
– Economic Policy Uncertainty (EPU) index increased marginally in April, with greater uncertainty among businesses in the services and retail sectors.
– Sales price expectations in retail trade moved upward, and consumer price expectations were revised upward, reaching their highest point in six months.
Multiplicity of taxes heavily burdening industrial sector
Fact: Nineteen to twenty different federal and provincial taxes are currently levied on industrial sector/manufacturing units in Pakistan, increasing their cost of doing business.
Cyprus, ’ economy in January and February 2024
The Cyprus Statistical Service (Cystat) released its bimonthly bulletin “Monthly Economic Indicators” covering January to February 2024. The Manufacturing sector saw a 3.2% increase in January 2024 compared to January 2023. Motor vehicle registrations surged by 45.0% in January and February 2024, with private saloon cars increasing by 50.1%. The Consumer Price Index rose by 1.8% during the same period. Imports of goods decreased by 32.2%, while exports of goods decreased by 3.8%. Tourist arrivals increased by 1.6% in January and February 2024 compared to the same period in 2023.
Euro remains vulnerable after ECB keeps rates steady
The European Central Bank (ECB) decided to hold its Main Refinancing Operations Rate steady at 4.5% to maintain downward pressure on consumer price inflation. ECB President Christine Lagarde warned of a weak economy with risks to growth tilted to the downside. The strong US Dollar is also contributing to the weakness in the EURUSD pair. The Dollar Index (DXY) is near a four-month high, and market expectations for Federal Reserve rate cuts have been pushed back due to strong US consumer price inflation and core Producer Price Index data.