Insider Business High growth rates and surpluses projected in Cyprus by fiscal policy framework

High growth rates and surpluses projected in Cyprus by fiscal policy framework

High growth rates exceeding 3% of the GDP and high primary surpluses are projected until the year 2021 in the Strategic Fiscal Policy Framework (SFPF) 2019-2021, which was approved on Monday by the Council of Ministers.

According to the SFPF, for 2018 the improvement in the labour market with the consequent improvement of the available income, the sectors of tourism, professional services, and shipping, are expected to drive the expansion of the Cypriot economy over the next few years.

Based on the macroeconomic scenario drafted by the Ministry of Finance, the growth rate of the economy in 2018 is expected to be around 3.8%, while the improved macroeconomic environment will attract further foreign investments.

Developments in the baking sector will continue to be decisive for the economy, especially the effective management of the very high percentage of non-performing loans (NPL). However, growth is expected to remain high with the restructuring of the banking system and the improvement in the management of NPLs.

Furthermore, unemployment is expected to drop even more to around 9.5% of the labour force from 11% in 2017.

According to the Ministry of Finance, the public debt is expected to reach 105.6% of the GDP by the end of 2018 after the issuing of a number of government bonds worth €2.35 billion to the Cyprus Cooperative Bank but will drop to 88% of the GDP by the end of 2021.

Read more

https://in-cyprus.com/news/business/deflation-for-the-fifth-consecutive-month-in-april/

Source: CNA

Top Stories

Driver in Limassol-Platres collision arrested

    Police have arrested the 21 year old driver of a car involved in a violent collision with another car on the Limassol-Platres road a...

Limassol: Mother remanded for leaving child unsupervised, illegal residence

    A 30-year old woman was remanded in custody for two days on Saturday as police investigate a case of child abandonment and illegal residence...

One person tests positive for Covid-19

  One person has tested positive for coronavirus after a total of 1748 tests, bringing the total to 1014, the Health Ministry said on Saturday. The...

New yellow alert as Cyprus continues to bake

    The Met Office has issued a new extreme high temperature warning, the second in as many days. The new yellow alert is in force from...

Croatia makes face masks compulsory in public indoor spaces

    Croatia said on Saturday that wearing face masks will be obligatory in most closed public spaces from next week as the number of COVID-19...

Taste

Kolokasi (Taro Root)

Ingredients: (Serves 4) 1 kg kolokasi (taro) root ½ kg pork (lean belly pork or shoulder) cut into large cubes 6 tbsp olive oil 1 head of fresh celery,...

Moungra

Moungra is a traditional Cypriot mezze which consists in cauliflower pickled in fermented bread dough and typically served as an appetizer or meze. It...

Cheesy Eggplant Rolls

Ingredients 4 Eggplants 2 tbsp olive oil 1 chopped onion, 2 grated carrots 1 garlic clove (sliced) ¾ of the cup finely chopped canned tomato, ½ ts sugar 1 ts oregano 2 tbsp...

Black eyed peas with chard (Louvia me laxana)

Ingredients: 2 cups black eyed peas small lemon (juice) + 1 tsp lemon zest 1 bunch Cypriot chards olive oil & lemon for serving salt & pepper Method: Step 1 Put the...