Sign up to receive Business News weekly via email
Από: Προς: Ειδήσεις ανά χώρα: Ανα Κλάδο:
Βοήθεια αναζήτησης?
Cyprus Country Report July 2009

Negotiations have made slow progress, but the Turkish Cypriot and Greek Cypriot leaderships remain committed to finding a settlement. The Economist Intelligence Unit puts the chances of a solution by end-2010 at about 40%.

 

There will be strong pressure on both communities and on Turkey to solve the Cyprus issue as it is hindering external relations for the EU and NATO.

 

The main focus of economic policy in 2009-10 will be trying to mitigate the impact on the Cypriot economy of the global financial and economic crises, which has started to deepen.

 We expect the budget balance to swing back into deficit in 2009-10, following surpluses in 2007 and 2008. However, at 2-2.5% of GDP it will remain comfortably below the 3% ceiling for euro area countries.

GDP growth is forecast to slow from 3.7% in 2008 to 0.7% in 2009 and 1-1.5% in 2010. This would be the weakest performance since 1993, but far better than the forecast declines for the euro area of 4.5% in 2009 and 0.7% in 2010.

More Details