The University of Cyprus’ Economic Research Centre (ERC) has significantly upgraded its projection for Cyprus’ real GDP growth, citing the acceleration of the economic recovery and the improvement in the labour market.
In its economic outlook bulleting for October 2021, the ERC said real GDP growth in 2021 will reach 5.4% and 4.1% the following year, compared with its July projections over a real GDP growth of 3.7% and 3.8%.
The ERC also revised its projection for inflation which is estimated to reach 2.3% in 2021 and 1.8% in 2022 compared with 1.6% and 1.8% in 2021 and 2022 respectively.
“The upward revisions were mainly driven by the strengthening recovery during the second quarter of 2021, further improvements in leading indicators in the third quarter, as well as by upward revisions in National Accounts data,” the ERC said.
Source: Cyprus News Agency