GDP growth will be at 2.9% in 2024, according to the April projections published on the website of the Ministry of Finance. For the years 2025-2027, GDP is expected to grow further by 3.1%, 3.2% and 3.3% respectively.
As for inflation, the Ministry of Finance projects that it will fall to 2.5% in 2024, while for the following years until 2027 it is expected to drop to 2%.
Unemployment rate will also follow a downward trend, from 5.8% in 2024 to 5.5% in 2025, 5.3% in 2026 and 5.1% in 2027.
Moreover, the budget balance is expected to remain in surplus. A surplus of 2.9% of GDP is expected for this year, while smaller surpluses are expected for the years 2025-2027, ranging between 2.8%, 2.6% and 2.1% respectively.
At the same time, a significant reduction in public debt is projected, which is estimated to fall to 70.6% of GDP in 2024, to continue its downward trend in 2025 to 65.5%, 59.2% in 2026 and 54.6% in 2027.
Source: Cyprus News Agency