Cyprus Business Boosts: From Paphos to Electrifying Future
Explore the week's top business stories in Cyprus, including Paphos' housing market boom and new tax incentives to attract professionals.
Paphos Dominates Luxury Real Estate Scene
Paphos has transformed into a beacon for high-end real estate investment in Cyprus, leading the residential property market with a stellar 16.9% year-on-year increase in house prices. These figures, as per Landbank Analytics, signify a leap from €593,000 to €693,000 within just a year. The surge underlines Paphos as a hotspot for international buyers seeking premium homes.
Interestingly, while houses experienced a boom, apartment prices in Paphos witnessed a contrasting trend with a 10.3% drop. This could be a natural market correction following rapid growth and variations in apartment styles offered recently.
Young Entrepreneurs in the Spotlight
The prestigious Stelios Awards are back, bringing a golden opportunity for young, ambitious minds in Cyprus. With €200,000 up for grabs, this edition targets business moguls aged under 34, reinforcing Cyprus as a nurturing ground for innovation. Source: Cyprus Mail.
Energy and Labour Market Challenges
Cyprus lags in renewable energy production, ranking fourth-lowest in the EU in 2025. As the continent’s average drops to 42.5%, Cyprus feels the heat in both energy and labour sectors. Local businesses face mounting challenges, fighting to fill vacancies. With unemployment under 5%, employers are eyeing international talent to bridge the gap.
Sparking Electric Dreams: €2.5 Million Boost
Cyprus shifts gears towards a cleaner future with a new €2.5 million initiative championing electric vehicles. This government-backed scheme will provide grants for both new and used electric and hybrid vehicles, paving the way for greener transportation options.
Interest Rate Fluctuations in Cypriot Banks
The banking sector sees a downward trend in interest rates, with significant fluctuations across major banks like Eurobank, the National Bank of Greece, and others. This trend marks a notable landscape change for deposit and housing loans as banks strive to adapt to shifting economic currents.
Economic Sentiment and Tax Overhaul
Though Cyprus’ Economic Sentiment Indicator faltered slightly, the government’s ambitious tax reform aims to rejuvenate fiscal policy, offering significant opportunities for public consultation. These legislative changes are poised to redefine the island’s economic framework, reflecting a dynamic vision of future growth.
In conclusion, Cyprus continues to carve a niche in diverse sectors, drawing global attention with its real estate allure, entrepreneurial incentives, and sustainable transport initiatives. These stories herald a promising horizon for Cyprus’ business and economic landscape.
