The Cypriot economy maintained steady momentum in the second quarter of 2025, with GDP expanding by 3.3% compared to the same period last year, according to final figures released by the Statistical Service of Cyprus (Cystat). The data confirm the preliminary estimate published in mid-August, underscoring the country’s resilience despite global economic headwinds.

In seasonally adjusted terms, GDP in volume reached €7.38 billion at the end of the quarter. Final consumption expenditure stood at €5.84 billion, while gross fixed capital formation was €1.65 billion. External trade also showed solid growth, with exports of goods and services rising 5.5% year-on-year to €8 billion, and imports increasing 6.8% to €7.7 billion.

The expansion was largely driven by services, with wholesale and retail trade, accommodation and food services, and transport accounting for €1.57 billion of GDP, reflecting an annual increase of 6% and a quarterly rise of 1.6%. The information and communication sector also recorded robust performance, contributing €841.7 million, up 6.2% compared with Q2 2024 and 1.8% higher than in the previous quarter.

Other important contributors included public administration, defense, education, health, and social work activities (€1.15 billion, up 1.5% year-on-year), real estate (€650.1 million), professional and technical services (€646.9 million), and financial and insurance activities (€601.3 million).

Unemployment in Cyprus stood at 5% in July 2025, based on seasonally adjusted data published by Eurostat. This marks a rise compared to 4.7% in July 2024, corresponding to about 27,000 unemployed individuals.

Among men, the unemployment rate remained stable at 4.5%, the same as in July 2024. For women, however, unemployment increased to 5.6%, compared to 4.9% a year earlier.

In July 2025, the seasonally adjusted unemployment rate in the euro area was 6.2%, down from 6.3% in June 2025 and 6.4% in July 2024. In the European Union, unemployment stood at 5.9%, also down from 6% in both June 2025 and July 2024.

Eurostat estimates that 13 million people were unemployed in the EU in July 2025, including 10.8 million in the euro area. Compared with June 2025, unemployment fell by 165,000 in the EU and by 170,000 in the euro area. Year-on-year, unemployment decreased by 105,000 in the EU and by 161,000 in the euro area.

In July 2025, 2.8 million young people under 25 were unemployed in the EU, including 2.2 million in the euro area. The youth unemployment rate was 14.4% in the EU, down from 14.8% in June 2025, and 13.9% in the euro area, down from 14.3% in the previous month.

Compared to June 2025, youth unemployment decreased by 81,000 in the EU and by 64,000 in the euro area. Compared to July 2024, the declines were more substantial: 189,000 fewer unemployed youth in the EU and 155,000 fewer in the euro area.

For Cyprus, youth unemployment figures for July were not available, as the country reports such statistics on a quarterly basis.

In July 2025, the unemployment rate among women in the EU stood at 6%, down from 6.1% in June 2025, while the rate among men remained steady at 5.8%. In the euro area, the women’s unemployment rate was 6.4%, down from 6.5%, while the men’s rate was 6.1%, compared to 6.2% in June 2025.

The Retail Trade Turnover Value Index in Cyprus rose by 5.2% in July 2025 compared to the same month in the previous year, according to the Statistical Service. During the same period, the Retail Trade Turnover Volume Index recorded an even stronger increase of 8.7% year-on-year.

In terms of the Value Index, the largest growth was seen in Food, Beverages and Tobacco in specialized stores, which surged by 15.3%. In contrast, the steepest decline was recorded in motor fuels, which dropped by 5.7%.

Regarding the Volume Index, the strongest rise also came from Food, Beverages and Tobacco in specialized stores, up by 19.8%, followed by Clothing and Footwear with an increase of 15.7%. The only category to record a decline in July was Educational and Recreational goods (books, stationery, sporting equipment, toys), which fell by 1%.

For the period January–July 2025, compared to the same period in 2024, the Value Index increased by 6.4%, while the Volume Index rose by 7.2%.