Cyprus is on course for a fiscal surplus of around 4% of GDP in 2027, according to the state budget presented to the House of Representatives on Thursday. If confirmed, it will be the third year in a row that public finances end in surplus.
Surplus and public debt projections
Presenting the 2027 budget, Finance Minister Makis Keravnos said that public debt continues to decline and is expected to fall to 45.2% of GDP by the end of the year.
Growth, unemployment and inflation forecasts
Citing Ministry of Finance data, Mr Keravnos said the economy is expected to grow by 2.9%, with unemployment projected at around 3.8% and inflation expected to ease to 2.5%.
Minister's statement on fiscal management
Mr Keravnos attributed the figures to the government's handling of public finances.
"These results reflect the consistency with which the Christodoulides government manages public finances. On this stable basis, we can support households and businesses wherever there is a genuine need," he said.
Call for timely approval by parliament
The Finance Minister said he looked forward to a constructive dialogue with the House of Representatives, so that the budget could be approved in a timely manner and its fiscal balance maintained.
"Timely approval ensures the smooth operation of the state, provides certainty to households and businesses, and also allows projects and programmes to move forward without delays, strengthening the country's credibility with partners and markets," he said.
Source: CNA
