Yesterday evening, during the Limassol Chamber of Commerce and Industry's Annual General Assembly, CCCI President Christodoulos Angastiniotis highlighted the challenges presented by the war in neighboring Israel. He warned of rising energy costs due to international oil price surges, inevitably worsening inflation, and anticipated negative impacts on Israeli tourist arrivals, which pose problems for tourism projects.

Angastiniotis did not rule out potential repercussions on the broader energy collaboration with Israel. He noted that it's unlikely global banks will relax their strict monetary policies or lower interest rates soon, adversely affecting business and household incomes.

Furthermore, he remarked that these developments occur at a time when “economic forecasts are not particularly rosy, with the EU and government estimates indicating a decline in growth rate to around 2 to 2.5% of GDP for 2023 from 5.2% in 2022, and inflation may rise due to the crisis in Israel.”

"Unemployment, currently at a reasonable 6%, is expected to rise in the coming months following the tourist season's end, and these developments will inevitably impact public finances, creating new needs for state support of society, beyond the recently announced €196 million by the Government, which CCCI welcomed," he added.

In his speech, Angastiniotis also expressed concern about the business climate, describing it as fluid with uncertain and numerous factors. He urged the government to initiate a broader discussion on economic issues, assuring that CCCI is ready to present comprehensive proposals for addressing these challenges.

Moreover, Angastiniotis voiced his concern over "the numerous and unfounded demands of the trade union movement" and the ease of organizing strikes in both public and private sectors. He insisted that the invocation of labor peace over the ATA cannot continue indefinitely without rational actions.

"If issues such as productivity, non-horizontal distribution of the ATA, and many others are not addressed, we will stand in opposition. The often-heard union philosophy regarding ATA cannot hold. The ATA can continue in a more rational manner, not horizontally, not at 100%, and not as those who want to understand it differently," he added.

He also mentioned the shortage of human resources and CCCI's expectation for the government to announce incentives for entrepreneurship.