The Cypriot economy experienced its highest growth rate in five quarters during the first quarter of 2024, with Gross Domestic Product (GDP) increasing by 3.5% compared to the same quarter in 2023, according to a preliminary estimate by the Statistical Service.

The 3.5% GDP increase in the first quarter of 2024 is the highest since the fourth quarter of 2022 on an annual basis. After adjusting for seasonal fluctuations and working days, the growth rate is estimated at 3.3%, marking the highest growth rate since the first quarter of 2023 on an annual basis.

Compared to the previous quarter (Q4 2023), GDP increased by 1.2%.

The first quarter of 2024 marks the 13th consecutive quarter (since Q1 2021) that the Cypriot economy has recorded positive growth rates on an annual basis.

According to the Statistical Service, the positive GDP growth is mainly attributed to the sectors of "Hotels and Restaurants," "Wholesale and Retail Trade; Repair of Motor Vehicles," "Information and Communication," "Construction," "Arts, Entertainment and Recreation," and "Other Service Activities."