Europe

Despite highs, economic uncertainty declines slightly

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Despite highs, economic uncertainty declines slightly

The level of economic uncertainty in Cyprus, as measured by the Economic Policy Uncertainty (EPU) index, fluctuated from December 2023 to February 2024. It increased in January 2024 to 279.76, attributed to geopolitical turmoil, including the crisis in the Middle East and the Red Sea, before dropping to 221.14 in February. This pattern of fluctuation was also observed in the European EPU index. The University of Cyprus noted that economic uncertainty in Cyprus has been historically high, with significant peaks in 2012 due to the banking crisis, in 2020 due to the Covid-19 pandemic, and in 2022 due to the Russia-Ukraine war.

EU agrees , €5bn boost for Ukraine military aid fund

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EU agrees , €5bn boost for Ukraine military aid fund

European Union countries agreed to provide 5 billion euros for military aid for Ukraine as part of a revamp of the European Peace Facility (EPF) fund. This decision was made after envoys from the EU’s 27 member countries reached a compromise on the overhaul of the fund at a meeting in Brussels. The EPF has already been used to allocate some 6.1 billion euros for military aid to Ukraine.

Health affairs commissioner honoured

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Health affairs commissioner honoured

The Council of Europe honored Stella Kyriakidou, the health affairs commissioner, as one of the 75 outstanding women for their contributions to human rights advancement. This recognition is part of a campaign for the 75th anniversary of the organization. Kyriakidou’s work as the general rapporteur for children at the Parliamentary Assembly of the Council of Europe helped Cyprus ratify the Lanzarote Convention in 2014. Her advocacy for human rights is highlighted through her rapporteur roles focusing on the rights of women, children, and the sick. In 2017, Kyriakidou became the fourth woman and the first Cypriot to be elected president of the parliamentary assembly of the Council of Europe.

Cabinet approves subsidy for relatives of patients sent abroad

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Cabinet approves subsidy for relatives of patients sent abroad

The Cabinet of Cyprus approved a plan to cover the travel, accommodation, and food expenses of one family member accompanying a patient sent abroad for medical treatment. This coverage is for families with an annual household income of under €100,000 and for all minor patients regardless of income. The policy will start next Tuesday and is expected to cost €4.5 million annually. Last year, 1,523 patients from Cyprus were sent abroad for treatment to countries including Germany, Israel, France, the United Kingdom, Belgium, Sweden, and Greece, for various specialized treatments. The Health Ministry has developed collaborations with leading hospitals across Europe to facilitate these treatments.

Raya the hero as Arsenal scrape past Porto, Barca down Napoli to reach quarter finals

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Raya the hero as Arsenal scrape past Porto, Barca down Napoli to reach quarter finals

David Raya saved two penalties in a shootout to help Arsenal advance to the Champions League quarter-finals for the first time in 14 years, after their match against Porto ended 1-1 on aggregate. Arsenal won the shootout 4-2, with successful penalties from Martin Odegaard, Kai Havertz, Bukayo Saka, and Declan Rice. Leandro Trossard scored for Arsenal before halftime. This victory ended Arsenal’s streak of seven consecutive exits at the last-16 stage. Barcelona also advanced to the Champions League quarter-finals with a 3-1 win over Napoli, securing a 4-2 aggregate victory. Early goals by Fermin Lopez and Joao Cancelo, followed by a late goal from Robert Lewandowski, contributed to Barcelona’s win.

Orthodoxou Aviation appointed Air India sales agent in Cyprus

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Orthodoxou Aviation appointed Air India sales agent in Cyprus

Orthodoxou Aviation Ltd has been appointed as the General Sales Agent (GSA) for Air India in Cyprus, responsible for the airline’s marketing and sales activities in the Cypriot market. Air India, a leading global carrier and a member of Star Alliance, connects 39 cities across five continents and 45 cities within India. The airline is undergoing a five-year transformation plan, including receiving 470 new aircraft from Airbus and Boeing and refurbishing its wide-body fleet’s interiors. Air India operates non-stop flights to Delhi from nine locations in seven European countries. Orthodoxou Aviation Ltd, part of the Orthodoxou Group of Companies, specializes in services for airlines, travel agents, tour operators, and the public, based in Cyprus since 1995.

Meeting on LNG expected by end of this week

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Meeting on LNG expected by end of this week

This week is crucial for the development of the liquefied natural gas (LNG) terminal project at Vasiliko, with Energy Minister George Papanastasiou meeting officials from CPP-Metron Consortium Ltd (CMC). The government may exit the deal due to disputes, as the consortium halted work and sought €200 million in arbitration. A top executive from the consortium is set to discuss project resumption in Cyprus. The government insists on not paying additional claims outside the Arbitral Tribunal in London and demands a project resumption date. The project, including an FSRU, jetty, mooring facilities, a pipeline, and a PV storage system, has received a €101 million EU grant and additional financing from the European Investment Bank and the European Bank for Reconstruction and Development.

Real estate sector depends on outside factors

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Real estate sector depends on outside factors

The Cyprus economy has shown strong resilience, recording one of the highest growth rates in the European Union, according to Dr. Giorgos Mountis, CEO of Delfi Partners. The Cypriot economy grew by 2.4% in 2023 and is estimated to grow by 2.8% in 2024 and 3% in 2025. Inflation decreased from 8.1% in 2022 to 3.9%, with further reductions expected to 2.4% in 2024 and 2.1% in 2025. Efforts to contain inflation involved decisions that temporarily affected citizens’ incomes, with interest rate increases placing significant pressure on household incomes. However, optimism exists that the European Central Bank’s decisions will start to change in 2024, potentially leading to a decrease in domestic interest rates. Unemployment is at very low levels, approaching full employment, though many sectors face personnel shortages. The government’s strategies to employ and attract foreign labor could lead to an increase in the country’s population and economic development. The real estate sector remained resilient in 2023, with sales contracts increasing by 16% compared to 2022, reaching the highest level since 2008, driven by increased demand from non-European buyers. Apartment prices in 2023 exceeded those of 2010 for the first time, according to the Central Bank of Cyprus, leading to an increase in properties purchased for rental investment.

Famagusta tourism board targets German market

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Famagusta tourism board targets German market

The Famagusta Tourism Board (Etap) and local businesspeople attended the “ITB BERLIN 2024” international tourism exhibition last week to promote tourism bookings in Germany. Giorgos Kafkalias, an official from Etap, highlighted the significance of the German market for Cyprus tourism, noting it as the largest in Europe with potential for growth. Despite economic challenges in Germany, there was a moderate optimism for maintaining tourist levels, possibly with a slight decrease. German travel agents showed interest in various forms of tourism including hiking, cycling, diving, gastronomy, and agritourism, besides beach tourism. Etap emphasized the Famagusta district’s attractions, suitable for families, young couples, and visitors over 55. The district is renowned for its clean beaches, which have received international awards, and offers diverse experiences throughout the year. A mobile app providing a virtual tour of Famagusta’s points of interest was also promoted. Etap plans to participate in major international tourism exhibitions to promote the district and support Cyprus’s tourism promotion efforts.

Europe, ’s stocks fall from record highs, inflation data in focus

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Europe, ’s stocks fall from record highs, inflation data in focus

European stock indexes fell from recent record highs on Monday, with Wall Street also expected to face losses. This shift in the market is attributed to an uncertain economic outlook and anticipation for U.S. inflation data set to be released later in the week. U.S. stocks began to decline from record highs on Friday, a move analysts believe was due to profit-taking after mixed U.S. payrolls data, yet expectations for a Federal Reserve rate cut in June remained. Traders are now focused on the upcoming U.S. inflation data, which could influence expectations for when major central banks will start reducing rates. As of 1236 GMT, the MSCI World Equity index was down by 0.3 percent after reaching a new all-time high on Friday. Similarly, the pan-European STOXX 600, which also reached a new all-time high on Friday, was down by 0.5 percent. London’s FTSE 100 and Germany’s DAX experienced declines of 0.5 percent and 0.7 percent, respectively. Amelie Derambure, a senior multi-asset portfolio manager at Amundi, suggested that Monday’s downturn might be due to uncertainty about the economic outlook and high stock valuations. Recent comments from Fed Chair Jerome Powell and European Central Bank policymakers have raised expectations for interest rate cuts starting in the summer, which contributed to pushing stock indexes to new highs.