Cyprus Business Now: economy, fuel, property, travel, GSI, Cyta, tourism, shipping

Business & economy wrap-up from the day beforeFinance Minister Makis Keravnos on Friday called for greater flexibility in EU fiscal rules to allow member states to increase spending and support households and businesses struggling with inflation and the energy crisis. Speaking ahead of the Ecofin meeting in Luxembourg, Keravnos expressed confidence that the European Commission would respond to calls from member states for greater flexibility in economic governance. “There is a very serious need for action, solutions and support for our citizens and businesses,” he said. “We cannot remain within an economic governance framework that does not take into account inflation, which is rising rapidly at this time. I expect further discussion and a solution to be found.” Keravnos warned that escalating military conflicts and the worsening energy crisis were placing increasing pressure on households and businesses, with consequences extending beyond the economy. Fuel costs continue to weigh on Cypriot motorists, with diesel prices reaching €2.126 per litre at the most expensive pump in the country and petrol prices remaining on an upward trend that has persisted since August, according to the Consumer Protection Service. The service’s latest price observatory puts the nationwide average for unleaded 95 petrol at €1.757 per litre, while unleaded 98 averages €1.812. Diesel has reached an average of €2.022 per litre, while heating fuel stands at €1.678, adding to pressure on households and businesses as transport and energy costs remain elevated. The latest figures follow Wednesday’s report that diesel had reached an all-time high of €2.126 per litre at a petrol station in Limassol, near the city’s seafront road, the Kean factory and The Oval. Trips lasting at least one night by Cyprus residents rose by 13.3 per cent in 2025, reaching 3.82 million in total, as travel continued to increase across the European Union, according to figures published by Eurostat. The number of trips made by Cyprus residents increased from 3,366,862 in 2024 to 3,815,322 last year, continuing a steady upward trend since 2021. The total had stood at 2,342,043 in 2021 before rising to 2,923,769 in 2022 and 3,239,084 in 2023. Across the EU, residents made 1.21 billion personal and professional trips in 2025, an increase of 1.4 per cent, or 17m trips, compared with 2024. Of these, 848m were domestic trips, accounting for 70 per cent of the total, while 264m were trips to other EU countries, representing 22 per cent. Cyprus’ property valuation professionals have called for faster building permit approvals, formal access to reliable property data and regular safety inspections of buildings, as the sector seeks to improve housing supply and strengthen confidence in the real estate market. The Cyprus Association of Real Estate Valuation Scientists, a member of the Cyprus Chamber of Commerce and Industry (Keve), made the recommendations during its annual general meeting and continuing professional development seminar, attended by more than 100 members and representatives of institutional and professional bodies. Addressing the gathering, association president Polys Kourousides highlighted the role of professional valuers in maintaining the reliability of the property market, supporting financial stability and ensuring that investment decisions are based on sound assessments. He acknowledged progress in speeding up the procedures for issuing planning and building permits, crediting efforts by the Interior Ministry and district local government organisations. The Great Sea Interconnector project is “no longer merely a Greek and Cypriot project” but a “European project”, Greek Prime Minister Kyriakos Mitsotakis said on Friday, of the cable which, if completed, will link the energy grids of Cyprus, Greece, and Israel. “It was European from the very start, as I would remind you that it received over €600 million in European subsidies, and now of course, with the participation of France and the French investment firm Meridiam as the project’s majority shareholder, you can see that this project is also of political and economic interest to the friendly nation, France,” he told television channel Skai. He also made reference to United States Secretary of State Marco Rubio’s comments on the matter a day prior, saying that “Rubio also stated clearly that the United States supports these interconnection projects”. “They support them, I believe, for the right reasons. Specifically, because the project could eventually extend as far as Israel, something which is obviously of particular interest to the United States,” he said. Cyprus’ short-term economic outlook improved in September 2026, supported by stronger property activity, increased card spending and rising retail sales volumes, although higher oil prices and weaker confidence among consumers and retailers continued to pose risks. The Cyprus Leading Economic Index (CCLEI), compiled by the University of Cyprus Economics Research Centre (CypERC), increased by 0.28 per cent year-on-year in September, following a rise of 0.01 per cent in August. “The further strengthening of the year-over-year growth rate of the CCLEI in September points to an improvement in Cyprus’ short-term economic outlook,” CypERC stated. The improvement was supported by increases in property sale contracts, credit card transactions by Cypriots and the retail sales turnover volume index. Cyprus has committed €13.5 million to European Space Agency (ESA) programmes for 2026 to 2028 as it seeks to strengthen its domestic space industry, support technology businesses and expand its role in Europe’s growing space economy, according to Research, Innovation and Digital Policy Deputy Minister Nicodemos Damianou. Addressing the third Space Symposium in Athens on Thursday, Damianou said Cyprus was developing its capabilities through investment, regulation, research and international partnerships. He highlighted estimates from the World Economic Forum and McKinsey that the global space economy could reach $1.8 trillion by 2035, while Earth observation revenues are projected to rise from €3.5 billion in 2024 to almost €8 billion by 2034. Satellite navigation devices and services revenues are also expected to increase from €300 billion to around €580 billion over the same period, according to the European Union Agency for the Space Programme. Damianou said Cyprus had adopted a National Space Strategy for 2025 to 2030, introduced legislation for licensing and supervising space activities, and established the Cyprus Space Office to coordinate national efforts. Cyta showcased its business technology solutions and took part in discussions on leadership, youth development and innovation at INSPIRE 2026, an entrepreneurship festival, held in Nicosia on October 7-8. The telecommunications provider participated as a strategic partner of the festival, which brought together discussions on how young people can fulfil their potential, how leaders can foster trust and collaboration, and how technology can help businesses grow. Cyta board chair Maria Tsiakka Olympiou took part in the festival’s discussions, highlighting the younger generation as a source of inspiration and a driving force behind Cyta’s continued development and that of other sustainable businesses. She also emphasised the organisation’s responsibility to create the infrastructure, opportunities and solutions needed to support the future of young people. Restaurants and bars across Cyprus recorded occupancy rates of more than 80 per cent in September, with the head of the Cyprus Hospitality Owners Association (Osika) expressing satisfaction with business activity and hoping bookings will continue into October. Osika president Fitos Thrasivoulou told the Cyprus News Agency (CNA) that September’s figures were encouraging, as the level of business allowed restaurants, bars and other food and drink establishments to remain open and meet their financial obligations. He explained that the year “had initially looked difficult for the food and drink sector“, but conditions had improved in recent months. “August business had been supported by Cypriot customers, while September had also proved a good month, prompting professionals across the sector to express satisfaction with their performance,” he added. The National Bank of Greece has bought back 715,447 of its own shares for a total of €12.29 million between September 30 and October 8, 2026, as part of a share repurchase programme approved by shareholders earlier this year. The shares were purchased on Euronext Athens at a weighted average price of €17.1813 per share, with the total cost amounting to €12,292,334.80. The programme was approved at the bank’s annual general meeting on April 30, 2026, with implementation of its first tranche announced on June 12 following approval from the European Central Bank’s Single Supervisory Mechanism on June 8. The Cyprus Cement Public Company Ltd repurchased 2,170 of its own shares on October 8, 2026, through brokerage firm ProChoice Chrimatistiriaki Ltd as part of its ongoing capital management programme. The company issued a regulatory disclosure on Friday informing the investing public of the transaction in accordance with the rules of the Cyprus Stock Exchange (CSE) and the relevant circulars of the Cyprus Securities and Exchange Commission (CySEC). The share buyback was carried out in execution of a resolution passed during the company’s extraordinary general meeting of shareholders on June 18, 2026. Lidl Cyprus and Lidl Hellas will appoint Georgios Tokatlis as chief executive officer from March 1, 2027, replacing Miltos Forozidis, who will continue his international career within the Schwarz Group. The company announced that Forozidis, who has served as chief executive officer and president of the boards of both Lidl Hellas and Lidl Cyprus, will hand over the board presidency to Tokatlis at the end of February 2027. Tokatlis currently serves as chief executive officer of Lidl Denmark and has been with the company for 21 years, holding a range of executive positions during his career. He has previously held several senior roles in Greece and spent the past five years in positions of responsibility in Scandinavia, gaining extensive international experience. A shortage of almost 39,000 qualified officers is adding to the challenges facing international shipping, with International Chamber of Shipping (ICS) Secretary General Thomas Kazakos calling for coordinated action on seafarer recruitment, training and the industry’s transition to cleaner fuels. Kazakos raised the issue this week, at the Malta Maritime Summit, where he took part in a discussion examining the human impact of shipping’s green transition and the need for international cooperation. He argued that decarbonisation requires a common global regulatory approach, rather than a collection of national and regional measures, and reaffirmed the industry’s commitment to working with the International Maritime Organisation (IMO). The IMO, he stressed, remains the appropriate organisation to develop international rules for a sector whose operations extend across national borders. Spyros Papavassiliou, deputy CEO and executive board member of Island Energies, formerly Island Oil (Holdings), received the 2026 ‘Ge’ Néo Epicheirein’ award for shipping enterprises, recognising his leadership and contribution to Cyprus’ maritime industry. The award was presented during the ninth annual youth entrepreneurship awards ceremony, organised by the Cyprus Chamber of Commerce and Industry (Keve), at the Presidential Palace in Nicosia on October 7. The recognition comes shortly after the Limassol-based group announced a major change to its corporate identity, bringing more than three decades of maritime and energy operations under the Island Energies name. Safe Bulkers awarded €100,000 in scholarships to ten students for the 2026-2027 academic year, continuing its support for maritime education in Cyprus through a programme now in its sixth consecutive year. The awards, worth €10,000 each, were presented by the company’s chief executive, Polys Hajioannou, during the sixth annual scholarship ceremony, attended by Deputy Shipping Minister Marina Hadjimanolis. Addressing the recipients, Hadjimanolis stressed the importance of attracting young people to an industry that remains central to Cyprus’ economy. “Cyprus needs your generation. Shipping needs your knowledge, your ideas and your own different look,” she said. The deadline for expressions of interest in taking on the stalled construction project of a natural gas liquefaction terminal at Vasiliko passed on Friday, with Energy Minister Michael Damianos saying that the number of companies interested in the project will be clear on Monday. “On Monday, we will know the number of companies, joint ventures, which were interested in proceeding with the offers,” he told the Cyprus News Agency, before adding that the cost of completing the project has been estimated at around €180 million. He said he expects the project to take two years to be brought to completion. Efforts to build a liquefaction terminal in Vasiliko have been stalled for more than two years, with the China Petroleum Pipeline Engineering Co consortium and Metron Energy Applications SA, which together formed the CPP-Metron Consortium (CMC), having torn up its contract with the government for its construction in July 2024. WISTA Cyprus brought members and their families together in Limassol for a children’s workshop dedicated to the Mediterranean monk seal, the sea and the marine environment, as part of its activities marking World Maritime Day 2026. The workshop, titled ‘Here Only Monachus’, was held on September 19 at the Limassol Municipal Gallery, offering children an interactive way to discover the Mediterranean monk seal (Monachus monachus) through music, sound and creative activities. Led by Rebecca Katsaris, Associate Educator at Enalia Physis, and music educator Christina Charalambidou, the session invited children to explore sounds associated with the sea, experiment with instruments and work together to create their own musical piece. For WISTA Cyprus president Anna Pittalis, the event was also about bringing members together in a different setting. Renting a two-bedroom flat in Limassol can swallow as much as 91 per cent of an average salary, emphasising the growing cost of housing in Cyprus and the widening gap with Greece, where rents and property prices remain considerably lower. Nevertheless, cheaper housing does not necessarily mean greater affordability. With average salaries in Cyprus around 54 per cent higher than in Greece, the cost of renting or buying tells a different story once earnings are taken into account. For Cypriot families paying for student accommodation in Athens or Thessaloniki, Greece can offer substantial savings. For those living and working there, however, rising rents and lower wages are making even modest homes increasingly difficult to afford. The Cyprus Stock Exchange (CSE) has taken action against seven companies listed on its Emerging Companies Market after they failed to submit and publish their half-yearly financial reports by the September 30 deadline. The reports were required to cover the six-month period ending June 30, 2026, under the relevant securities and stock exchange legislation and regulations. The companies that failed to meet the deadline are Cyprus Development Bank Public Company Ltd, iDNA Genomics Public Ltd, G.A.P. Vassilopoulos Public Ltd, Prospertree Plc, Rianeson Investments Plc, The Reputation Exchange Plc and Mr Pengu Public Company Ltd. Cyprus and Italy are seeking to deepen maritime cooperation and expand business partnerships across the blue economy, with officials from both countries highlighting opportunities in shipping, port infrastructure, logistics and sustainable maritime technologies at a business forum held in Limassol on Friday. The forum, held under the auspices of the Shipping Deputy Ministry at the DP World Limassol passenger terminal, was organised by the Italian embassy in cooperation with the Italian Trade Agency, the Italy-Cyprus Chamber of Commerce, the Cyprus Chamber of Commerce and Industry (Keve), the Cyprus Shipping Chamber, Invest Cyprus, the Limassol Chamber of Commerce and Industry and the Cyprus-Italian Business Association. Italian ambassador Antonella Cavallari, Shipping Deputy Minister Marina Hadjimanolis and European Commissioner for Fisheries and Oceans Costas Kadis were among those addressing the event, alongside representatives of business and European institutions. Cavallari said the sea had historically connected Cyprus and Italy and could now serve as a driving force for more ambitious economic cooperation. “Today, this same sea can become the driving force behind even more ambitious economic cooperation,” she said. The Cyprus Chamber of Commerce and Industry (Keve) has announced that a new cycle of free training for beekeepers in Cyprus will begin on October 17, 2026, under the European Union-funded PLANBEE project, with a focus on sustainability, innovation and new business opportunities. The Interreg NEXT MED project, PLANBEE, or Promoting Local Apiary Networks and Bee Entrepreneurial Excellence, is launching its second cycle of training in Cyprus under the title “Beekeeping – From Science to Practice”. The programme is aimed at beekeepers seeking to improve their knowledge and practices while responding more effectively to the modern challenges facing the sector. The organisers said the training would combine scientific knowledge with practical experience, covering issues directly affecting bee health, productivity and the sustainability of beekeeping activities. Marine dry-bulk shipping company Safe Bulkers has increased its issued share capital to 113.84 million shares after Euronext Athens approved the listing of 5,226 new shares allocated to its independent directors under an equity compensation plan. The company announced that Euronext Athens approved the listing of the new shares on October 8, 2026, allowing them to be traded on the exchange’s Main Market from October 12. The new shares are registered voting common stock, each with a nominal value of $0.001, and were issued under Safe Bulkers’ equity compensation plan for independent directors. The plan was approved by the company’s board of directors on June 2, 2020, and subsequently by shareholders at the annual general meeting on August 3, 2020. Following the issue, Safe Bulkers’ total number of issued common shares increased from 113,833,473 to 113,838,699. Used vehicles continued to drive growth in Cyprus’ motor market during the first nine months of 2026, while registrations of new vehicles declined, according to figures released by the statistical service (Cystat) on Friday. A total of 43,890 motor vehicles were registered between January and September, marking a 9.1 per cent increase compared with 40,212 during the same period last year. The gap between new and used vehicles widened further. Used registrations climbed by 19.9 per cent, from 22,916 to 27,473, while new registrations fell by 5.1 per cent to 16,417, from 17,296. The same pattern was recorded in September, although overall registrations fell by 3.9 per cent to 5,326, compared with 5,544 in September 2025. New vehicle registrations during the month dropped by 16.7 per cent to 1,776, while used vehicles increased by 4 per cent to 3,550. Cyprus’ construction sector recorded annual production growth of 1.1 per cent during the second quarter of 2026, while output prices increased by 4.9 per cent, according to figures released by the statistical service (Cystat) on Friday. The Index of Production in Construction reached 130.28 units during the April-June period, based on a reference value of 100 units in 2021. This represents an increase of 1.1 per cent compared with 128.83 units during the corresponding quarter of 2025. Meanwhile, the Output Prices Index in Construction reached 132.48 units, compared with 126.32 units in the second quarter of last year. Eight companies listed on the Cyprus Stock Exchange (CSE) have failed to publish their half-year financial reports for the six months ending June 30, 2026, after the September 30 deadline passed, the exchange announced on Friday. The companies are Cyprus Trading Corporation Plc, Ermes Department Stores Plc, Woolworth (Cyprus) Properties Plc, Karyes Investment Public Company Ltd, Dome Investments Public Company Ltd, A. Tsokkos Hotels Public Ltd, Toxotis Investments Public Ltd and Rehub Plc. The reports were required to be submitted and published by September 30 under the rules governing companies listed on the Cyprus Stock Exchange’s regulated market. The exchange said the shares of the first seven companies would remain suspended from trading, as they were already suspended because of failures to meet other ongoing obligations. Rehub Plc’s bonds, meanwhile, will continue to carry an “S” warning mark in trading tables and price bulletins. K+G Complex Public Company Ltd will consider whether to declare an interim dividend for 2026 at a board meeting on October 23, 2026, according to an official announcement. The company’s board of directors will meet to discuss the possible distribution of a dividend to shareholders from profits generated during the 2026 financial year. Cyprus and Israel will hold a new round of online talks next week to reach an agreement on the cross-border gas reservoir between Cyprus’s Aphrodite field and Israel’s Yishai field, the Cyprus News Agency reported on Friday. The dispute arises as the Aphrodite reservoir extends geologically across the maritime boundary into the Yishai field, which lies in Israel’s exclusive economic zone. Aphrodite is located in Block 12 of the Cypriot EEZ and is operated by the US company Chevron. Energy Minister Michael Damianos said last month that meetings would take place in the first half of October. Talks have been under way for years, as Israel has argued that part of the gas in Aphrodite comes from Yishai, with estimates suggesting up to 10 per cent of the field could be Israeli, which would put more than €1 billion at stake.