The upward trajectory of Cyprus’ Composite Leading Economic Index (CLEI) continued in March 2025, although the index’s annual growth rate slowed to 1.7%, down from 2.3% in February.

According to the Economics Research Center (ERC) of the Department of Economics at the University of Cyprus, which compiles and estimates the CLEI, “the slowdown in the annual growth rate of the CLEI reflects the prevailing global economic uncertainty and its impact on growth rates worldwide, including Cyprus.”

This latest increase follows annual rises of 2.3% and 2.4% recorded in February and January 2025, respectively, based on the most recently revised data.

The ERC noted that the positive trend of the CLEI was supported by improvements in both domestic and international leading indicators, such as property sales, the total value of transactions using Cypriot credit cards, retail sales volume, and the decline in Brent crude oil prices, according to the latest available data.

Conversely, the ERC highlighted that recent data on the Consumer Confidence Index in both Cyprus and the eurozone pointed to a partial deterioration in economic sentiment, negatively affecting the CLEI.

Additionally, preliminary figures showing a drop in electricity production volumes and the annual decline in tourist arrivals also exerted a restrictive effect on the further strengthening of the index.