Cyprus Business Now: weekly wrap-up
Here are the top business stories in Cyprus from the week starting January 19:
Under the programme, the NBA has procured inspection services from the private sector, deploying 150 undercover agents who pose as customers and enter betting premises unannounced.
While on site, the agents monitor staff conduct, check whether illegal bets are being placed and verify that minors are not present.
Alongside these surprise visits, NBA officers also carry out on-site inspections and monitor betting websites used by hundreds of players, while inspections are also conducted to identify potential money-laundering activity.
This assessment is a reflection of growing investor interest, infrastructure upgrades and the city’s longer-term cultural momentum.
Speaking to the Cyprus News Agency (CNA) on the sidelines of the Chamber’s annual general meeting, Antoniou said the designation of Larnaca as European Capital of Culture for 2030 is expected to further strengthen the city’s appeal.
“The fact that Larnaca won the title of European Capital of Culture for 2030 will also help in increasing the attraction of tourists,” he said.
Against this backdrop, he added that “the tourism prospects for the city are very positive”, a trend reinforced by “approximately 20 applications for the construction of small hotel units, for example boutique hotels in Larnaca”.
The one-day hackathon, held on January 17, 2026, at Strovolos municipal hall, formed part of a national initiative aimed at rethinking mobility and transport systems in Cyprus.
It was co-organised by the Ministry of Transport, the Municipality of Strovolos, the University of Cyprus through the Society and Urban Form (SURF) Lab and the KIOS Research and Innovation Centre of Excellence, the Cyprus Youth Organisation (ONEK), Hack{Cyprus} and GDG Cyprus.
Bringing together 26 teams from diverse backgrounds, the event challenged participants to develop practical, scalable solutions to long-standing problems in urban mobility, under the motto ‘Hack the way we move’.
Throughout the day, teams worked intensively, supported by mentors from academia, the public sector and the tech community, before presenting their proposals to a multidisciplinary jury.
Against this backdrop, one of the issues addressed has frustrated both transport authorities and passengers for years. GPS signals from buses frequently drop or become distorted, causing vehicles to appear to “teleport” across the map, sometimes even showing up in neighbouring countries, breaking real-time tracking, corrupting data and undermining trust in public transport applications.
Speaking after the event, team member Igor Akimov said the problem is driven by a mix of regional and local factors. “Yes, it usually happens because of a regional GPS jamming, as well as local discrepancies near embassies or bases,” he said.
During its participation, the bank focused on three key pillars, namely digital transformation, consolidation, and international expansion .
The new banking landscape, shaped by accelerated digitalisation, enhanced customer experience and wider sector developments, was a central theme of the event, where Eurobank participated with what it described as a strong and upgraded presence.
Speaking at the forum, Chief Executive Officer Michalis Louis said the creation of Eurobank through the acquisition and merger of Hellenic Bank with Eurobank Cyprus “represents a milestone not only for the banking sector but for the Cypriot economy as a whole”.
“It is the largest investment ever made in the country, amounting to approximately €1.3 billion in cash, confirming the Eurobank Group’s confidence in Cyprus’ long-term prospects and creating one of the largest and strongest financial organisations on the island,” he said.
The decision was taken by ECOFIN, which determined that Finland’s deficit had exceeded the 3 per cent of GDP threshold established by the Stability and Growth Pact.
Alongside the decision, the Council issued a formal recommendation setting out the required fiscal adjustment path and a timetable for public spending to correct the excessive deficit by 2028.
Finland’s deficit reached 4.4 per cent of GDP in 2024 and is expected to remain elevated at 4.3 per cent in 2025, according to the Council’s assessment.
Although Finland has made use of the national escape clause for defence spending, which allows an excessive deficit of up to 1.5 per cent without triggering the procedure, the Council said this was not sufficient to fully justify the current deficit level.
Speaking against a backdrop of rising regulatory complexity, rapid technological change and geopolitical uncertainty, the commission framed the past year as one of intensified oversight and institutional preparation ahead of Cyprus assuming the Presidency of the Council of the European Union in the first half of 2026.
The presentation was delivered by the commission’s chairman George Theocharides, who underlined that investor protection, transparency and financial sector resilience remain central to the regulator’s mandate.
“CySEC continues to approach supervision with consistency, evidence, and adaptability, investing in strengthening both its regulatory and supervisory frameworks, as well as in transparency, technology, and financial literacy,” he said.
The meetings allowed participants to discuss Cyprus’ national shipping policy, as well as the country’s priorities during its presidency of the Council of the EU.
The three-day working visit came shortly after Cyprus’ re-election to the Council of the International Maritime Organisation (IMO) and was shaped by a clear focus on reinforcing cooperation, both bilaterally and at multilateral level, while keeping Cyprus closely engaged with the global shipping community.
In this context, Hadjimanolis met her British counterpart, Keir Mather, initially presenting the priorities of the Cyprus Presidency of the Council of the European Union.
From there, the discussion moved to the strengthening of Cyprus–UK relations, while particular reference was also made to progress in implementing the Memorandum of Cooperation (MoU) between the two countries.
The circular sets out the steps that must be taken by heads of departments and employees alike, covering eligibility, approval procedures, equipment requirements, supervision and the circumstances under which working from home may be interrupted.
It follows the recent issuance of an implementation manual, which provides technical and operational guidance to services and staff, and is linked to the 2025 law regulating remote work in the public service, which enters into force on April 2 following a council of ministers decision in December.
According to the circular, signed by the department’s director Elena Economidou-Azina, a basic condition for working away from the office is that an employee’s duties, or part of them, can be carried out remotely, taking into account their nature and the technological means required.
This assessment is made by the relevant head of department.
Speaking on LGR 103.3 FM Greek Radio London with host journalist Vasoula Christodoulou, she said she wanted to be there in person, recalling her student years in the UK when Greek radio “made us feel like we were in our homeland”.
Against that personal backdrop, she explained that Cyprus’ frequent presence in London is closely tied to the IMO, where the country continues to be elected to the Council.
During this visit, she held a bilateral meeting with her UK counterpart, Keir Mather, where discussions focused on further strengthening relations between Cyprus and the United Kingdom, while also addressing the broader challenges facing global shipping.
At the same time, she said she briefed him on the priorities of the Cyprus presidency of the Council of the European Union, expressing confidence that cooperation between the two countries will continue and be further strengthened over the coming six months.
In statements made on Thursday, the minister described the €16.50 billion in total offers as a historic milestone.
“The Republic of Cyprus asked for offers of €1 billion and received offers of €16.5 billion,” he said. “This is a historic event.”
“For the first time there has been such strong appetite to invest in a bond of the Republic of Cyprus,” he added.
“It was a very successful issuance, with a very low interest rate of 3.25 per cent, the lowest among all recent sovereign issues,” Keravnos stated.
He pointed to recent bond issuances by Greece, Portugal and other countries, stressing that Cyprus achieved the most favourable pricing.
“This confirms the recognition by foreign investors of the sound economic policy implemented by our government, which creates conditions of economic stability and security for investors,” he said.
The company said the assessment confirms its commitment to responsible entrepreneurship and its continued creation of value for Cyprus for another consecutive year.
The sixth socioeconomic impact assessment captures Lidl Cyprus’ performance during 2024 and highlights the steady strengthening of its economic and social footprint across the country.
According to the study, Lidl Cyprus contributed a total of €133 million to Cyprus’ GDP, corresponding to 0.43 per cent of national output.
The assessment found that for every €1 contributed by Lidl Cyprus, an additional €0.46 in added value is generated across the wider economy.
Citing figures from the Department of Lands and Surveys (DLS), the council reported that 18,114 sales documents were filed nationwide between January and December 2025, up from 15,797 in 2024, reflecting sustained momentum across the market.
At the same time, while the volume of transfers increased only marginally by 0.77 per cent, their total value rose by around 10 per cent, pointing to growing interest in higher-value assets.
Commenting on the results, the president of the Real Estate Agents Registration Council, Marinos Kineyirou, described 2025 as clear evidence of the sector’s resilience and attractiveness.
“The picture of 2025 is the clearest proof of the resilience and attractiveness of the real estate sector,” he said, adding that the market had absorbed shocks from the international environment and returned to a strong growth trajectory.
In his opening address at fintech forum taking place in Nicosia, Patsalides stated that the domestic economy of Cyprus continues to be robust.
He pointed out that growth remains significantly above the euro area average at approximately 3.5 per cent, supported by services, tourism, and professional activities.
At the same time, public debt is on a downward trajectory and labour market conditions remain favourable and close to full employment.
“The Cypriot banking sector is a pillar of resilience and a factor for growth,” he said.
The plan, part of a talent repatriation initiative announced by the president, offers tax incentives and other measures to encourage skilled workers and Cypriots living abroad to return.
A spokesperson for the finance ministry said that since the measures were announced, over 600 applications have been submitted through the official platform.
The ministry described the response as a sign of the plan’s effectiveness in attracting individuals who spent time abroad to gain experience.
A revised bill aims to expand and improve existing tax incentives introduced in 2022.
SEC chairman Giorgos Theocharides was speaking to journalists following a session of the House finance committee which reviewed SEC’s proposed budget for fiscal year 2026.
Currently, Theocharides said, eight companies are licensed to trade in cryptocurrencies, while 21 more entities have applied.
According to Theocharides, Cypriot nationals are increasingly engaged in the cryptocurrency business.
Beyond cryptocurrency, and regarding the SEC’s operations in general, Theocharides told MPs that as at the end of 2025 the number of SEC-regulated entities came to 808.
According to an Israeli government announcement, the delegation includes officials from the ministries of energy, finance and justice and aims to conclude negotiations on the framework governing exploitation of the reservoir.
Israeli energy minister Eli Cohen said natural gas is a “strategic asset for Israel” and that the government intends to continue developing offshore fields to increase production, exports and economic returns.
The agreement focuses on cooperation mechanisms for managing the portion of the Aphrodite field that extends into Israel’s Ishai block and on compensation arrangements linked to gas volumes located within the Israeli EEZ.
The discussion in parliament quickly turned abrasive, when the chairman of Etyfa – the state-run natural gas infrastructure company – refused to disclose information regarding ongoing payments made to the government’s consultants on the LNG import project.
Etyfa head Giorgos Ashikalis was also less than forthcoming on a status report being compiled by Technip – the government’s technical consultants for the stalled project.
He refused to provide information to the House energy committee, arguing that in the past confidential information got leaked to the media. This, he said, hurt the government’s interests in the arbitration proceedings underway in London against the former Chinese-led contractor.
This initiative is being implemented at a time when Cyprus faces ongoing economic challenges, along with the rise of digital finance. Introducing financial literacy early equips the next generation with invaluable money management skills, arming them to dodge debt traps, master budgeting and secure their future, organisers said.
The event, TOKO in the Classroom, will take place from 8.30am to 1pm at the UCy Ceremony Hall, centring on the children’s tale 70 Toko and a Hole in the Shoe by Maria Loizidou.
Participants will explore practical ways to teach young children key concepts such as saving, budgeting and avoiding unnecessary spending through engaging storytelling.
The businesses had been granted until November 2025 to get all their paperwork in order – compliance with fire protection as well as sanitary requirements – but the vast majority did not meet the deadline.
MPs have now granted them a one-year extension – to November 2026.
Under the bill tabled by Disy MP Kyriacos Hadjiyianni, the ‘temporary permit’ is now called a ‘special permit’.
The special dispensation was deemed necessary, as otherwise most of the hotels would have had to cease operating as they are technically in violation of the law.
For the first time, candidates in Cyprus can access airline-linked pilot training through WAPA, a programme that allows participants to qualify as First Officers in around two years.
Training is closely connected to Wizz Air operations, while successful graduates are offered employment with the airline.
To coincide with the launch, Wizz Air will hold an Open Day on January 25, from 16.00 to 20.00, at the Sunhall Hotel in Larnaca.
During the event, interested candidates and their families will have the opportunity to meet Wizz Air representatives and receive detailed guidance on the application process and programme requirements.
Specifically, Eurostat reported on Friday that the EU economy recorded 3.3 billion tonnes of CO2 equivalents in greenhouse gas emissions in 2024.
This marked a 1 per cent decline compared with 2023 and a 20 per cent reduction compared with 2013, reflecting longer-term structural changes across the bloc.
For Cyprus, the data showed that greenhouse gas emissions intensity fell by 28.9 per cent between 2013 and 2024, placing the country among those that achieved a substantial decoupling of economic growth from emissions.
At EU level, greenhouse gas emissions intensity declined by 34 per cent over the same period, as emissions fell while gross value added increased.
Over the last two months, the bank combined recognition for performance with tangible initiatives across retail banking, pensions, sustainability, energy, tourism and social responsibility, underlining a strategy that blends balance sheet strength with societal impact.
The period opened with international recognition, as Eurobank was named Bank of the Year 2025 by The Banker, the Financial Times Group publication.
The distinction reflected strong financial performance, a growing presence in Cyprus and enhanced services for retail and SME clients, while also highlighting continued investment in innovation and digital transformation as the sector moves into a new phase of growth.
Tourist arrivals reached 156,959 in December 2025, up from 133,063 a year earlier, marking an 18.0 per cent increase and confirming a strong end to the year for the tourism sector.
Over the full January-December 2025 period, total arrivals climbed to 4,534,073, compared with 4,040,200 in 2024, representing a 12.2 per cent annual increase.
In December, Israel emerged as the largest source market, accounting for 19.1 per cent of total arrivals, or 30,020 visitors, reinforcing its position as a key driver of winter tourism demand.
Panayiotou pointed to quality growth “in an environment of heightened regulatory requirements, technological transformation and intensifying international competition”.
She explained that in recent years Cyprus “has not limited itself to creating an institutional framework to attract investment structures”, but has instead built “a functional and reliable market, characterised by regulatory consistency, transparency and international credibility”.
At a time when investors are seeking not only returns but also predictability, she said the Cypriot jurisdiction “has proven that it can support the entire life cycle of an investment fund, from establishment and marketing, to operation, reporting and exit”.