Cyprus' current account balance and international investment position (IIP) recorded an improvement in 2025 while net external debt recorded a decrease, according to the Central Bank of Cyprus.
The Statistics Department of the Central Bank of Cyprus released the provisional data for external statistics (balance of payments, international investment position and external debt) for the year 2025.
According to the preliminary balance of payments data for 2025, the current account balance of Cyprus recorded an improvement, with the deficit decreasing to €2.336,5 million in 2025, compared with a deficit of €2.852,6 million in 2024, which correspond to 6,4% and 8,2% of Cyprus’s annual GDP, respectively.
The CBC says that the resulting deficit adjusted for the impact of Special Purpose Entities (SPEs), that is, classifying SPEs as non-residents, stood at €2.677,9 million in 2025, compared with a deficit of €2.933,7 million in 2024, which correspond to 7,4% and 8,4% of the country’s annual GDP, respectively.
Furthermore, the international investment position (IIP) recorded an improvement in 2025, presenting a net liability position of €28.165,0 million, compared with a net liability position of €29.235,7 million in 2024.
With the corresponding data being adjusted for the impact of SPEs, IIP recorded a net liability position of €8.932,3 million in 2025, compared with a net liability position of €10.622,8 million, in 2024, the CBC notes.
In addition, the gross external debt decreased to €225.188,5 million in 2025 from €234.412,4 million in 2024. The external assets in debt instruments increased slightly to €223.623,3 million, up from €222.735,9 million in 2024. Consequently, the net external debt decreased by €10.111,2 million to €1.565,2 million in 2025.
The press release says that adjusted for the impact of SPEs, gross external debt reached €59.179,0 million in 2025, compared to €59.872,3 million, in 2024.
The corresponding net external debt indicator was recorded at -€30.946,3 million in 2025, compared with -€23.906,7 million in 2024, it concludes.
(Source: CNA)
