Nicosia: Cyprus' current account balance and international investment position (IIP) recorded an improvement in 2025 while net external debt recorded a decrease, according to the Central Bank of Cyprus.
According to Cyprus News Agency, the Statistics Department of the Central Bank of Cyprus released the provisional data for external statistics, including balance of payments, international investment position, and external debt for the year 2025. The preliminary balance of payments data for 2025 indicated that Cyprus' current account balance showed improvement, with the deficit decreasing to £2.336,5 million in 2025 from a deficit of £2.852,6 million in 2024. These deficits represented 6.4% and 8.2% of Cyprus's annual GDP, respectively.
The CBC stated that the resulting deficit, adjusted for the impact of Special Purpose Entities (SPEs), stood at £2.677,9 million in 2025, compared to a deficit of £2.933,7 million in 2024, which corresponded to 7.4% and 8.4% of the country's annual GDP, respectively.
Additionally, the international investment position (IIP) improved in 2025, with a net liability position of £28.165,0 million, compared to a net liability position of £29.235,7 million in 2024. When adjusted for the impact of SPEs, IIP recorded a net liability position of £8.932,3 million in 2025, compared to £10.622,8 million in 2024, as noted by the CBC.
Furthermore, the gross external debt decreased to £225.188,5 million in 2025 from £234.412,4 million in 2024. External assets in debt instruments increased slightly to £223.623,3 million from £222.735,9 million in 2024, resulting in a decrease in net external debt by £10.111,2 million to £1.565,2 million in 2025.
The press release noted that when adjusted for the impact of SPEs, gross external debt reached £59.179,0 million in 2025, compared to £59.872,3 million in 2024. The corresponding net external debt indicator was recorded at -£30.946,3 million in 2025, compared with -£23.906,7 million in 2024.