Cyprus average salary reaches €29,547 but trails EU benchmark

Cyprus beats Greece and Portugal on pay but lags Mediterranean peersCyprus recorded an average annual full-time adjusted salary of €29,547 in 2025, remaining substantially below the European Union average of €41,464, despite a stronger annual increase than the bloc as a whole, according to figures published by Eurostat. The 5 per cent annual increase in Cyprus brought the country’s average adjusted salary up from €28,143 in 2024, continuing a steady upward trend over the previous three years. However, the gap with the EU average remained considerable, with the Cypriot figure standing at approximately 71.3 per cent of the European average, or €11,917 less annually. The figures also placed Cyprus below several other southern European countries, including Greece’s European neighbours Spain, Italy and Malta, although it remained well ahead of Greece, which recorded one of the lowest averages in the bloc. Cyprus salaries rise by more than EU average Cyprus’ average annual full-time adjusted salary increased from €24,203 in 2022 to €26,696 in 2023, €28,143 in 2024 and €29,547 in 2025. This represented an overall increase of approximately 22.1 per cent over three years, outpacing the EU’s corresponding increase of around 16.2 per cent. Across the bloc, the average rose from €35,671 in 2022 to €37,879 in 2023, €39,773 in 2024 and €41,464 in 2025. The latest increase therefore suggests that Cyprus has been making progress in narrowing the difference, although its average salary remains well below the European benchmark. In 2025, the EU average increased by approximately 4.3 per cent, compared with the roughly 5 per cent recorded in Cyprus. Cyprus’ average was also higher than those of several central and eastern European countries, including Poland (€23,853), Romania (€20,818), Hungary (€20,138) and Bulgaria (€16,201). It also exceeded Greece’s average of €18,772, which was the second-lowest in the EU. How Cyprus compares with southern Europe The comparison with other southern European countries presents a more mixed picture. Malta recorded an average annual adjusted salary of €35,003 in 2025, while Spain stood at €35,125 and Italy at €34,213. This left Cyprus approximately €5,456 behind Malta, €5,578 behind Spain and €4,666 behind Italy. Portugal recorded a lower average of €26,202, placing Cyprus ahead by €3,345. Greece remained considerably further behind, with its average of €18,772 representing a difference of €10,775 compared with Cyprus. The figures indicate that, although Cyprus has moved ahead of a number of EU member states, it has yet to reach the salary levels recorded in several other Mediterranean economies. Luxembourg and Denmark lead European rankings At the top end of the rankings, Luxembourg recorded the highest average annual full-time adjusted salary, reaching €85,609 in 2025. It was followed by Denmark at €73,500 and Ireland at €64,387. Belgium recorded €61,984, followed by Austria at €60,727 and Germany at €56,360. At the same time, Finland stood at €50,960, while Sweden recorded €49,622 and France €44,734. The difference between Luxembourg and Cyprus was particularly pronounced, with the former’s average salary standing at almost three times the Cypriot figure. At the other end of the scale, Bulgaria recorded the lowest average at €16,201, followed by Greece at €18,772 and Hungary at €20,138. The figures demonstrate the substantial differences in salary levels across the European single market, even as average earnings have generally increased over recent years. National figures show what employees earn in Cyprus Separate figures from the Cyprus Statistical Service (Cystat) provide a more detailed picture of earnings within the domestic labour market. According to its provisional estimates, average gross monthly earnings reached €2,548 in the second quarter of 2026, representing a 3 per cent increase from €2,475 during the corresponding period of 2025. However, the average masks significant differences between employees, particularly in terms of gender, nationality and income levels. Cystat’s distribution figures show that 33.6 per cent of employees earned less than €1,500 a month, while just 5.6 per cent received gross monthly earnings of €6,000 or more. The largest category comprised employees earning between €1,500 and €2,999 a month, accounting for 41.4 per cent of the workforce. This means that roughly one in three employees earned less than €1,500 monthly, while fewer than one in 17 were in the highest income bracket. The distinction between average and median earnings is also important, since averages can be pushed upwards by relatively small groups of highly paid employees and may not accurately represent what a typical worker earns. Cystat’s annual 2025 figures, published separately, put median gross monthly earnings at €1,953, compared with an average of €2,591. This means half of employees earned less than €1,953 a month, illustrating the difference between the overall average and the experience of the middle-income worker. Gender and nationality differences persist The second-quarter 2026 figures also highlighted continuing differences between male and female employees. Men earned an average of €2,708 a month, compared with €2,345 for women, leaving a monthly difference of €363. Nevertheless, women’s average earnings increased by 4.1 per cent year-on-year, outpacing the 2.1 per cent increase recorded among men. The distribution also differed according to nationality. Among Cypriot employees, the largest proportion, or 45.5 per cent, earned between €1,500 and €2,999 a month. By contrast, non-Cypriot employees were more heavily concentrated in the lowest earnings category, with 46.3 per cent earning less than €1,500 monthly. Taken together, the Eurostat and Cystat figures offer two complementary perspectives on Cyprus’ labour market. While the country has recorded relatively strong growth in its full-time adjusted annual salary and continues to move closer to the EU average, domestic earnings data show that a substantial proportion of employees remain in lower income brackets.