Cyprus’ living standards have continued to improve, with the country’s GDP per capita reaching 95% of the EU average in 2023, according to recent data from the Statistical Service of Cyprus (CyStat).
While Cyprus saw a decline in inflation and unemployment, there are still areas that require attention to ensure continued growth and stability for the population.
Cyprus’ GDP per capita in 2023 stood at 35,700 euros, which is 95% of the EU average of €37,600. This indicates Cyprus’ economy is close to matching the overall economic output of the EU, though it still has some ground to cover. While GDP growth is important, it’s just one part of a broader economic picture that includes inflation, unemployment, and income distribution.
In terms of unemployment, Cyprus had a rate of 6.1% in 2023, slightly higher than the EU’s 6%. The long-term unemployment rate in Cyprus is 31%, lower than the EU’s 35%. Cyprus’ inflation rate was 3.9%, significantly lower than the EU’s 6.4%, which indicates the country is managing its cost of living increases better than many EU nations. However, Cyprus saw a higher rise in electricity prices, with a 7.9% increase compared to just 1.3% across the EU.