Cyprus Finance Minister Harris Georgiades stated in an interview with CNBC that the country's economy has proven to be more resilient than many had anticipated.
Georgiades pointed out, “This is a difficult year. We have to collaborate with various parties, and in that situation, we have done our best. Fortunately, we have made significant progress since the peak of the issues last year, both in terms of the overall economy and the banking system.”
Recent data shows that Cyprus was still in recession in the fourth quarter of last year, but the pace of economic decline has slowed. The economy contracted by 0.8% in the fourth quarter, slightly lower than the 0.9% contraction in the third quarter.
Georgiades acknowledged that Cyprus still faces economic challenges, with high unemployment rates. However, he claimed, “Key sectors of the economy have proven to be better than many had imagined.”
“A year after the crisis peaked, I believe we have made significant progress. There are still some issues; economic imbalances persist; we are actively addressing these issues, so the strong outlook for key sectors of the economy, combined with our efforts to correct all the wrongs, lays the foundation for a more vibrant economic model.
He also emphasized that the tourism industry remains relatively strong and is the "powerhouse" of the national economy.
