Cyprus: 2017 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Cyprus
IMF Staff Country Reports, December 14, 2017
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- Cyprus: 2017 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Cyprus
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Bibliographic details
- Published: December 14, 2017
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781484332726.002
Economic turnaround and growth momentum
- The Cypriot economy has achieved an "impressive turnaround" since the 2012–13 banking crisis.
- GDP growth has been accelerating for three consecutive years, driven by strong foreign demand.
- The current strong growth momentum is expected to persist for the next several years, underpinned by ongoing large construction projects and weak payment discipline.
Labor market and banking sector developments
- Rising labor demand has sharply lowered the unemployment rate to 10.3 percent as of September 2017.
- Emergency liquidity assistance to banks has been fully repaid.
External sector and competitiveness
- Gains in cost competitiveness and strong foreign demand have narrowed the underlying current account deficit (excluding large one-off imports).
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- Country Report