Cyprus growth is expected to remain robust in 2022 as real GDP is projected to expand by 4.1%, according to “Economic Outlook” for January issued by the Economic Research Centre (CypERC) of the University of Cyprus.
Real GDP in Cyprus is estimated to have increased by 5.6% in 2021. In 2022, CPI inflation is projected at 2.6%.
According to CypERC the drivers of the outlook include the robust recovery from the pandemic crisis, the strong economic sentiment, the supportive financing conditions and the accommodative fiscal policy.
The latest COVID-19 wave, it is noted, though more aggressive in terms of the surge in infections, has not led to significant restrictions in economic activity, possibly weakening the link between growth and epidemiological conditions. Nevertheless, new virus variants leading to new infection waves remain a key source
Source: Cyprus News Agency