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Cyprus GDP Set To Grow Over The Next Two-Year-Period According To Commission Forecast
February 14, 2020
The economy in Cyprus will grow by 3.2% in 2019, 2.8% in 2020 and 2.5% in 2021, according the European Commission`s Winter Economic Forecast, published today in Brussels, and presented by Commissioner Paolo Gentiloni. Inflation will be 0.8% in 2020 and 1.2% in 2021 and "downside risks are primarily external notably a potential slowdown in foreign demand for residences and tourism services," the CNA reported.
More specifically, according to the European Commission "Cyprus’ real GDP grew strongly in the third quarter of 2019 (3.4% y-o-y), driven by buoyant domestic demand." But "net exports, by contrast, were a drag on growth." The EC states that "economic sentiment stabilised in 2019 and it even improved in early 2020" and "business sentiment remained strong in services and manufacturing, but deteriorated in construction," while "consumer sentiment and business sentiment in retail trade stabilised suggesting that growth might moderate in the months to come."