According to the European Commission, the Cypriot economy will grow again this year, by 1.7%, confirming the positive trend of 2015, which saw 1,6% growth. For 2017 forecasts of growth are 2%.

The acceleration of growth should have a positive impact on the labor market, where the unemployment rate is expected to fall, from 13.4% in 2016 to 12.4% in 2017.

Consumer prices have continued to decline, by 0.7% this year, as it still marks an improvement compared to minus 1.5% in 2015. Public debt is expected to stabilize this year at the same level as last year, around 109%, and then begin to fall in 2017.

Also according to the European Commission, the deficit will increase next years, to 4.2% in 2016 and 4.6% in 2017. Last year, the deficit had fallen to 3.5%.


Source: medNews