Investor Presentaiton
Solid near-term growth outlook
2016
2018
2020f
2022f
• Growth momentum of recent years continued over
2018 at a rate of 3,9% and Q1-2019 of 3,4%.
Economic growth remains strong despite
deceleration attributed to a less favourable external
environment.
Growth is broad-based and derives from higher
demand in the sectors of tourism, construction,
business services and retail trade. The positive
developments are partly attributed to the gains in
price competitiveness recorded in recent years. The
only sector recording negative growth rate is financial
services due to its deleveraging.
On the expenditure side, consumption has been the
main driver attributed to higher employment level
and disposable incomes. Additionally, mainly
foreign-financed private investment has boosted
growth with high value added projects in the
tourism, energy and education sectors.
Real GDP growth (% change)
6,0
4,0
2012
2014
2,0
0,0
-1,3
-2,0
-2,9
-4,0
-6,0
-5,8
2,0
GDP (Index, 2000=100)
250
200
150
100
50
4,8
45
4,5
3,9 3,6
3,2
3,0 3,0
Actual
MoF forecast
Cyprus
Euro Area
0
2000 2002 2004
2006 2008 2010 2012
2014
2016 2018
Source: Cyprus Statistical Service, Ministry of Finance
Note: "f" denotes forecasts by the Ministry of Finance, as of April 2019. All forecasts are based on assumptions and there can be no assurance they will be realised.
7View entire presentation