Overview

The 22nd Annual Cyprus Summit, organised by Economist Enterprise, will take place on 9–10 November 2026 at The Landmark Nicosia, bringing together political leaders, European policymakers, business executives and international experts to discuss the economic and geopolitical challenges facing Cyprus and the wider eastern Mediterranean.

Under this year’s theme, “A Strategic Gateway for Regional Co-operation,” the two-day conference will examine Cyprus’s position in a changing international environment, with discussions covering investment, energy security, artificial intelligence, financial technology and Europe’s economic competitiveness.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

President Nikos Christodoulides is scheduled to deliver the official opening address on Monday, 9 November, focusing on stability and resilience in the eastern Mediterranean and Cyprus’s role in the region.

The programme will also feature senior representatives from European institutions, international organisations and the private sector.

What To Expect

The summit will examine how geopolitical developments, technological change and economic pressures are affecting business and policymaking in Cyprus and across Europe.

The first day, Monday, 9 November, will focus primarily on international relations, investment and energy.

An opening discussion led by John Peet, associate editor of special reports at The Economist, and Joan Hoey, Europe consultant at the Economist Intelligence Unit, will consider the economic and political outlook for Cyprus and the eastern Mediterranean.

A session titled “Investing in Turbulent Times: Make It Simple” will examine how Europe can attract investment, reduce barriers to growth and strengthen its economic resilience.

The programme will also address US-Cyprus relations, diplomatic efforts in the Middle East and Europe’s evolving foreign policy priorities.

Energy will feature prominently, including discussions on regional energy security and the Great Sea Interconnector, the proposed electricity connection between Greece, Cyprus and Israel. Speakers will examine the project’s commercial viability and the geopolitical challenges associated with its development.

On Tuesday, 10 November, attention will turn to issues including the Cyprus problem, healthcare resilience, artificial intelligence, fintech and workforce development.

The session “AI: Driving Growth or Deepening Inequality?” will consider the economic opportunities created by artificial intelligence alongside concerns about employment, unequal access to technology and the distribution of its benefits.

A separate fintech discussion, “Smart Finance: The Fintech Era,” will explore how technological developments are affecting banking and financial services.

The conference will conclude with a discussion on preparing the workforce for an AI-driven economy, including the relationship between education, skills development and future employment needs.

Speaker Line-Up

The programme includes senior political figures, policymakers and business representatives from Cyprus and abroad.

Among the announced participants are:

• Nikos Christodoulides, President of the Republic of Cyprus
• HRH Prince El Hassan bin Talal of Jordan, joining remotely
• Sir Julian King, former European commissioner for the security union
• Ehud Olmert, former prime minister of Israel
• Amre Moussa, former secretary-general of the League of Arab States
• Ioannis Tsakiris, vice-president of the European Investment Bank
• Constantinos Kombos, Cyprus’s minister of foreign affairs
• Michael Damianos, Cyprus’s minister of energy, commerce and industry
• Nicodemos Damianou, Cyprus’s deputy minister of research, innovation and digital policy
• Evgenios Evgeniou, chairman of Invest Cyprus
• Stavros Stavrou, president of the Cyprus Chamber of Commerce and Industry
• Andreas Yiasemides, chief executive and chairman of PwC Cyprus

The business and technology discussions will also feature representatives from financial services and investment, including Lucia Pecchini, secretary-general of the European FinTech Association, Ornit Shinar, managing partner at Sanchi Capital, and executives from ECOMMBX and Capital.com.

Other announced speakers include Athena Michaelidou, Cyprus’s minister of education, sport and youth, and Manuela Geleng, director for jobs and skills at the European Commission’s Directorate-General for Employment, Social Affairs and Inclusion.

Who Should Attend

The summit is particularly relevant to business leaders, investors, entrepreneurs, financial services professionals, policymakers and executives working in sectors affected by regional economic and technological developments.

Its discussions on investment, AI, fintech and energy may be of particular interest to Cyprus-based businesses considering international expansion, technological investment or new financing opportunities.

The conference also offers an opportunity to follow discussions on the policies and international relationships affecting Cyprus’s economic development.

Date And Venue

Dates: Monday, 9 November and Tuesday, 10 November 2026

Venue: The Landmark Nicosia, 98 Archbishop Makarios III Avenue, 1077 Nicosia

Programme:

• Monday, 9 November: Registration begins at 08:15, followed by the opening sessions at 08:45.
• Tuesday, 10 November: Registration begins at 08:45, with the conference programme scheduled to conclude at 15:30.

The programme includes keynote addresses, panel discussions and networking lunches.

How To Attend

Those interested in attending can submit an enquiry through the official 22nd Annual Cyprus Summit website.

About The Annual Cyprus Summit

The Annual Cyprus Summit is part of the international conference programme associated with The Economist, bringing together representatives from government, business and international institutions to discuss developments affecting Cyprus and its regional partners.

The 2026 edition is centred on the country’s potential role in strengthening cooperation between Europe and the eastern Mediterranean, with particular attention to geopolitical stability, competitiveness, investment and technological development.

Further information, including the full agenda, is available through Economist Enterprise.

Overview

Pharos-CY, Cyprus’s AI Factory Antenna, will hold its first outreach event in Limassol on Thursday, 12 November 2026, introducing businesses, researchers and public organisations to free artificial intelligence services and advanced computing resources.

Titled “Meet Pharos-CY: The AI Factory Antenna of Cyprus Comes to Limassol,” the event will take place at the Limassol Municipality Blue Innovation Centre, hosted by the ERATOSTHENES Centre of Excellence.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Coordinated by The Cyprus Institute, Pharos-CY connects organisations in Cyprus with AI expertise, high-performance computing infrastructure, training and the wider European AI ecosystem.

The event will introduce participants to Pharos-CY’s resources and services, including how organisations can request support for their AI-related needs.

What To Expect

Pharos-CY offers a range of services designed to help organisations develop their AI capabilities, access computing resources and explore the application of artificial intelligence in their operations.

These include:

• High-performance computing (HPC): Access to the DAEDALUS supercomputer and the wider EuroHPC ecosystem.
• AI Registry: Access to AI-ready datasets, models and tools.
• Development and consultation: Guidance on AI solutions, infrastructure and relevant regulations.
• Tailored training: Workshops, bootcamps and webinars supporting AI skills development.
• Business-oriented innovation support: Business guidance, networking opportunities and support for AI innovation.

The initiative has three principal areas of focus: health, sustainability, and culture and language, while supporting AI innovation across other sectors.

Who Should Attend

The event is aimed at startups, small and medium-sized enterprises (SMEs), industry representatives, researchers and public organisations interested in developing or adopting artificial intelligence.

It is especially relevant to organisations looking for AI expertise, advanced computing resources, access to datasets and tools, or guidance on developing AI-based solutions.

Date And Venue

Date: Thursday, 12 November 2026

Time: 13:30–16:30

Venue: Limassol Municipality Blue Innovation Centre, 76 Franklin Roosevelt, 3012 Limassol

Format: In person

Participation: Free

Attendees can register through the official event registration form.

About Pharos-CY

Pharos-CY is Cyprus’s AI Factory Antenna, coordinated by The Cyprus Institute and connected to the European AI ecosystem.

The initiative brings together research institutions and innovation organisations to support the development and adoption of artificial intelligence in Cyprus.

The project is co-funded by the European Union and the Deputy Ministry of Research, Innovation and Digital Policy.

The first Pharos-CY outreach event in Limassol is hosted by the ERATOSTHENES Centre of Excellence.

More information is available at pharos-cy.eu.

Cyprus telecommunications provider Cyta has budgeted €70 million for investments in 2027, with funding earmarked for a new data center and an initial move into renewable energy. The investment budget is 75% higher than the €40 million allocated for 2026.

According to an explanatory note accompanying the budget submitted to Parliament, the funds will support subsidiaries responsible for delivering two major projects. The budget does not specify how much will go toward each project.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

A New Data Center And A Renewable Energy Business

The first project is a new data center, which Cyta expects to complete over two years. The organization says the facility will serve its customers, Cyprus-based businesses, government and other public-sector bodies, as well as customers abroad.

The second project involves renewable energy. Cyta plans to enter the energy market commercially, including by meeting the power needs of its new data center. The budget provides no further details about the scale or structure of the energy investment.

Parliament cleared the way for Cyta to operate in the energy sector last March, approving legislation that allows the organization to participate through renewable energy sources. An amendment passed by a majority bars it from investing in conventional fuels. The move was opposed by the Electricity Authority of Cyprus, or EAC.

Cyta has said it intends to focus on consumers who cannot readily access renewable energy themselves. Its target groups include young couples renting homes, apartment residents and small businesses that lack suitable space to install their own solar panels.

Pension Fund Deficit Continues To Grow

The budget also highlights a widening actuarial deficit in Cyta’s employee pension scheme. A recent actuarial study put the funding shortfall at €211.56 million as of December 31, 2025, up from €140.07 million a year earlier and €85.59 million at the end of 2023.

In response, Cyta’s board increased the annual contribution rate to 4.6%, from 3.9%, and approved a schedule of payments intended to clear the deficit over eight years. The organization will pay €30 million this year, followed by €23 million in 2027 and €25 million in 2028.

From 2029 through 2032, annual payments are set at €33.391 million. A final payment of €29.54 million is scheduled for 2033.

Revenue And Surplus Forecast To Rise

Cyta’s 2027 budget forecasts a pre-tax surplus of €40.09 million and a post-tax surplus of €34.92 million. The projected pre-tax surplus is 14.85% higher than in 2026, an increase of €5.2 million.

Revenue is forecast to reach €478.48 million in 2027, up 6.2% from €450.57 million in 2026. Budgeted expenses are €438.39 million, compared with €415.67 million this year.

Cyprus brought 28 food and beverage companies to SIAL Paris 2026, using one of the industry’s largest international trade fairs to promote its national products and explore new export opportunities. Halloumi, the island’s flagship cheese and a product with Protected Designation of Origin (PDO) status in the European Union, was central to the country’s presence.

Held from October 17 to 21 at Paris Nord Villepinte, the biennial exhibition was organized by Comexposium. According to Cyprus’s Ministry of Energy, Commerce and Industry, this year’s event brought together 8,000 exhibitors from 130 countries and approximately 295,000 trade visitors.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

SIAL is a major global platform for food and beverage businesses to present products, assess market trends and build commercial relationships. Cyprus participated with two national pavilions covering a combined area of about 356 square meters.

Halloumi Takes Center Stage

Thirteen Cypriot companies exhibited in the national dairy pavilion in Hall 7, where the country gave halloumi a prominent showcase. Promotional materials highlighted the “Halloumi®” name and the European PDO designation, while a large section of the hall entrance was dedicated to the cheese.

An interactive touchscreen, titled “Discover Halloumi,” introduced visitors to the product’s characteristics and the Cypriot dairies behind it. The presentation connected the cheese’s international profile with its protected origin and local production base.

A Broader Showcase Of Cypriot Food

A second national pavilion in Hall 2 featured 15 more Cypriot businesses, presenting a diverse range of products from the country’s food industry. These included olive oil, olives, honey, bulgur, fruit juices, nuts, dried fruit, herbal infusions, coffee, frozen foods and vegan products.

Visitors could use an interactive display to learn about participating businesses and their products. A dedicated quiz offered another way to introduce attendees to Cyprus’s food production.

Building Export Reach

The ministry said Cyprus’s participation demonstrated both the strength of established products such as halloumi and the breadth of the country’s wider food sector. A coordinated presence at major trade fairs, it added, can help local companies raise their international profile and identify potential commercial partners.

For Cyprus, the strategy combines the promotion of a globally recognized specialty with exposure for a wider portfolio of domestic products. The ministry reaffirmed its support for efforts to market Cypriot goods abroad, with the aim of strengthening the presence of local businesses in international markets and creating further opportunities for export growth.

The UK’s Competition and Markets Authority (CMA) has launched an investigation into Meta over proposed changes to its terms for news publishers, raising concerns about the use of media content and the company’s market power. Meta has postponed the changes, originally scheduled to take effect on November 20.

CMA Examines Meta’s Use Of Media Content

Under the proposed terms, Meta could access content published on news websites and use it to develop its own products, including artificial intelligence features.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Regulators will assess whether these changes impose unfair conditions on publishers and advertisers, particularly given Meta’s market position.

“We’ve heard concerns from news publishers and other businesses and are acting swiftly to investigate whether Meta’s proposed changes may breach competition law,” CMA chief executive Sarah Cardell said.

Thousands of UK businesses rely on Meta’s platforms to reach customers and audiences. Responding to the investigation, a Meta spokesperson said the company had “already committed not to change our terms without consulting publishers and other stakeholders” and welcomed the opportunity to explain its approach.

Publishers Challenge Meta Across Europe

Resistance to Meta’s approach to media content is also growing in other markets. Since May, more than 340 news websites, including those of The Guardian, The New York Times and USA Today, have blocked internet archive crawler bots over concerns that their content could be collected for AI training.

In Norway, a court temporarily barred Meta from enforcing its new terms after ten media organisations challenged the changes.

France has also taken action. The Paris Appeals Court upheld an order requiring Meta to negotiate in good faith with French publishers over payments for using their content, rejecting the company’s challenge.

Back in July, France’s competition authority said Meta’s conduct could constitute an abuse of its dominant position and ordered negotiations over neighbouring-rights payments. Publishers had complained that renewal talks had stalled while Meta continued using their content after agreements expired.

Judges also criticised Meta for providing fragmented and difficult-to-verify data on its use of media content. The DVP publishers’ association, which includes AFP, called the rulings a “major development”. Meta said it was disappointed and was considering its next steps.

A Wider Test Of Platform Power

At the heart of the dispute are questions of content rights, transparency and compensation. News organisations argue that digital platforms benefit from journalism at scale while offering limited insight into how it is used or opportunities to negotiate fair terms.

The CMA’s investigation could help clarify how competition law applies when dominant technology companies set conditions for using media content in products such as AI services.

Separately, Meta is facing scrutiny over its platform design and alleged effects on children and teenagers. The company is due to appear in a US court alongside Snap in a case concerning those claims.

By Hartmut Jenner, CEO and Chairman of the Board of Management at Alfred Kärcher SE & Co. KG

Europe’s industrial competitiveness is under growing pressure from geopolitical uncertainty, global competition and domestic barriers to investment. Unpredictable US trade policy threatens new tariffs, while China has emerged as a major technology competitor, supported by a state-led industrial strategy that has contributed to market distortions and overcapacity.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

For European manufacturers competing under market-based conditions, the result is an increasingly uneven playing field.

Europe’s Industrial Base Faces A Turning Point

The effects are already visible in declining production and job losses. Decisions by automotive and manufacturing companies to close plants or relocate production show that deindustrialisation is no longer a distant risk.

As a family-owned business operating through 170 subsidiaries in 87 countries, Kärcher has maintained resilience through a balanced business model serving both business and consumer markets. The company continues to invest in research and development, including autonomous cleaning robots, battery technology and digitalisation.

However, even innovative companies cannot indefinitely absorb rising operating and employment costs alongside intensifying competition. Expanding domestic production or hiring additional staff is becoming increasingly difficult to justify economically.

Germany Needs Private Investment, Not Temporary Stimulus

Forecasts of a return to growth in Germany offer some encouragement, but a modest recovery should not be confused with lasting economic strength. Government spending, defence investment and subsidies may provide a short-term boost, but cannot replace sustained private-sector investment.

Domestic challenges are also holding businesses back. Regulatory complexity, bureaucracy and reform fatigue are making it harder for companies to invest and adapt. Rules introduced to manage economic activity increasingly risk discouraging entrepreneurship and innovation.

Jenner also links economic uncertainty to declining public confidence, arguing that the rise of political extremism reflects a demand for greater stability and tangible reforms.

He emphasises that prosperity and strong social standards depend on value creation. Drawing on his experience growing up on his parents’ farm, he describes success as 97% hard work and dedication, 2% talent and 1% luck.

Germany Needs A Competitiveness Agenda

Germany needs a comprehensive programme to improve its business environment, Jenner argues. Excessive bureaucracy, high energy prices, rigid regulations and rising non-wage labour costs are weakening companies’ ability to compete.

He warns that if social security contributions remain significantly above the historically important 40% threshold, tax cuts and subsidies will have limited impact without broader structural reform.

Although the federal government has taken steps in the right direction, Jenner believes they remain insufficient. Compliance requirements continue to divert employees and financial resources away from core operations and innovation.

He calls for public administration to become more digital, responsive and service-oriented, including through the use of artificial intelligence. Rather than adding further reporting obligations, governments should focus on simplifying procedures and reducing the administrative burden on businesses.

More Work, Less Bureaucracy And Fairer Trade

Europe must also address labour shortages linked to demographic change. Jenner calls for a broader discussion about incentives for overtime, more flexible working arrangements, rules governing continued pay during medical leave and simpler recruitment procedures for skilled workers.

He argues that protecting competitiveness is essential to protecting employment, warning that inaction could ultimately put jobs at risk.

Trade policy is another priority. Europe should defend fair competition and respond consistently to violations of trade rules. Free trade, Jenner says, can only function when the same standards apply to all participants.

Ultimately, restoring Europe’s competitiveness requires less regulation, greater personal responsibility, stronger incentives for investment and more predictable business conditions. Jenner argues that lasting reform will depend not only on policy changes but also on a shift in mindset and a willingness to address structural weaknesses.

About Kärcher

Founded in 1935 and headquartered in Winnenden, Germany, Alfred Kärcher SE & Co. KG is a family-owned company specialising in cleaning and care products. It reported nearly €3.5 billion in revenue in 2025, with 86% generated outside Germany.

The Kärcher Group operates in 87 countries, employs approximately 17,000 people worldwide and offers more than 3,000 products.

TikTok is expanding beyond short-form video, adding services that bring shopping, travel bookings, restaurant discovery and potentially payments into one platform. Its latest launch, a restaurant guide called Must Eat, is another step towards a broader ambition: becoming an app users turn to for everyday activities, not just entertainment.

The strategy follows the super app model, already established by platforms such as WeChat in China, which combines messaging, payments and commerce. TikTok is now assembling similar services, with its expansion accelerating following its transition to new, primarily US ownership in January, according to TechCrunch.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Restaurant Guides Turn Viral Content Into Local Search

TikTok has become a popular source of restaurant recommendations, with viral videos often directing customers to local businesses. Its new Must Eat feature builds on that behaviour by using more than 40 million posts and comments to create searchable restaurant guides.

Users can browse recommendations by city and filter results by cuisine, price, rating and location. The feature brings TikTok closer to services such as Yelp and Google Maps, while making it easier to act on recommendations without leaving the app.

Payments Could Expand TikTok’s Commercial Reach

TikTok is also exploring ways to bring financial transactions into its platform. In August, Bloomberg reported that the company was developing a feature allowing users to send money through direct messages, potentially using TikTok Pay.

Its ambitions extend beyond peer-to-peer transfers. In March, Reuters reported that TikTok had applied for approval to offer lending and payment services in Brazil.

Integrating payments could shorten the path from discovering a product or service to purchasing it, while creating additional revenue opportunities.

Sports And Travel Keep Users Within The App

TikTok is extending its role in sports through dedicated content hubs, including its FIFA World Cup hub, which offers scores, schedules, standings, highlights and videos. Partnerships with Major League Soccer and Major League Baseball provide additional access to behind-the-scenes content.

Travel is another area of expansion. Through TikTok GO, launched in the US in May, users can discover and book hotels, attractions and experiences directly through videos, search and location pages.

Both initiatives follow the same principle: turn content discovery into an opportunity to engage, book or purchase without switching platforms.

TikTok Shop Shows The Potential Of In-App Commerce

TikTok Shop provides the clearest example of this strategy. Launched in the US in 2023, it has become a competitor to marketplaces such as Amazon and Shein.

According to eMarketer, US sales through TikTok Shop increased by 407% in 2024 and 108% in 2025, reaching $15.82 billion. Its share of US social commerce stood at 18.2% in 2025 and is projected to reach 24.1% by 2027.

The company has expanded beyond low-cost products, introducing digital gift cards and moving into luxury retail. Its approach offers a model for other services: use content to generate interest and make the next step available within the app.

Music, Search And Entertainment Broaden The Offer

TikTok has also developed its local search tools, combining maps, reviews, location pages and practical information such as opening hours and price ranges. These features build on users’ existing habit of searching the platform for recommendations about restaurants, shops and destinations.

In music, the company has shifted from trying to build its own streaming service to partnerships with established providers. After shutting down TikTok Music in 2024, it introduced a feature allowing Apple Music subscribers to play full songs after discovering them on TikTok.

The platform is also expanding into scripted entertainment and gaming. Its microdrama app PineDrama offers short episodes, while in-app games give users more ways to interact with friends through direct messages.

Can TikTok Become An Everyday Super App?

TikTok’s expansion now covers categories traditionally served by separate platforms, from local search and travel bookings to shopping, payments and entertainment. The appeal is convenience: users can discover a restaurant, plan a trip or find a product and take action without leaving the app.

However, bringing multiple services together does not guarantee success. TikTok will need to build trust in financial transactions, deliver reliable experiences across different categories and convince users that its services can compete with specialised alternatives.

TikTok Shop has already demonstrated its ability to turn attention into sales. The next challenge is extending that model to more everyday activities without losing the entertainment experience that made the platform successful.

Cyprus recorded government revenue of €7.51 billion in the first nine months of 2026, while expenditure reached €7.01 billion, leaving a surplus of approximately €500 million before borrowing-related cash flows, according to a report published by the Treasury.

Revenue between January and September increased by €670 million compared with the same period in 2025, while expenditure rose by €410 million. Development spending reached 44% of its annual allocation, up from 41% a year earlier and above the 10-year average of 36%. Of the €1.62 billion budgeted for development, €711.6 million had been spent by the end of September.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Tax Collections Drive Revenue Growth

Higher direct and indirect tax receipts accounted for the increase in government revenue.

Direct tax collections rose by 17%, or €480 million, to €3.05 billion. Higher income tax payments from individuals and businesses contributed €470 million to this increase.

Indirect tax revenue grew by 8%, or €250 million, to approximately €3.25 billion. VAT was the main contributor, with receipts rising from €2.29 billion to €2.56 billion.

Social Benefits And Operating Costs Increase

Government expenditure rose from €6.60 billion in the first nine months of 2025 to €7.01 billion this year. Salaries, pensions and gratuities remained the largest category at €2.45 billion.

Social benefits increased by €100 million, or 7%, to €1.47 billion, mainly due to higher healthcare spending. Transfers and grants rose by €110 million to €1.42 billion, including a €30 million increase in the government’s contribution to the Social Insurance Fund.

Operational and other expenditure climbed by €150 million to €740 million. Defence and policing accounted for €250 million, while general operating costs reached the same amount. Government financing costs stood at €460 million, slightly below the €480 million recorded a year earlier.

Development Investment Reaches €711.6 Million

Capital expenditure totalled €243.6 million by the end of September. Road network projects received €49.3 million, followed by construction projects at €39.5 million. Other allocations covered government buildings, equipment, water and sewerage systems, and school infrastructure.

A further €216.6 million went towards co-funded projects and other financing expenditure, including EU-funded initiatives, childcare subsidies, sustainable urban mobility and energy-efficiency schemes.

Grants and subsidies totalled €168.3 million. The University of Cyprus received €93 million, while the Cyprus University of Technology was allocated €48.4 million. Development-related social benefits accounted for another €40.9 million, covering education, healthcare, renewable energy and housing.

2026 Budget Forecasts Higher Revenue And Spending

The full-year budget projects government revenue of €10.78 billion, 5% above the €10.31 billion recorded in 2025. Expenditure is expected to reach €11.53 billion, up 4% from €11.13 billion.

Higher direct tax receipts and grants are expected to drive revenue growth, while operating costs are projected to account for the largest increase in expenditure.

The budget also includes €1.9 billion in borrowing-related inflows and €2.28 billion in outflows. During the first nine months, actual inflows reached €1.35 billion, compared with €70 million a year earlier. Outflows totalled €2.14 billion, up from €160 million.

These figures reflect government borrowing and debt repayments, which are recorded separately from ordinary revenue and expenditure.

Overall, the figures show stronger tax collections and rising public spending, with development investment progressing faster than its recent historical average.

Binance says it has covered about 90% of the approximately $6.3 billion in token assets stolen from its hot wallets, and plans to make users whole for the remaining losses.

The exchange announced Saturday that it will continue sourcing the outstanding assets through market purchases and over-the-counter transactions. The theft, disclosed Thursday, is the largest crypto heist on record.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Binance Says Users Will Not Bear The Loss

Binance said its largest token holdings—including BTC, ETH, USDT, BNB, SOL, USDC, XRP, USD1, RLUSD and ZEC—are fully backed. The remaining shortfall involves tokens outside its top 10 holdings, which the company described as less liquid and potentially harder to acquire in the required quantities.

“Binance will absorb the financial impact of these stolen funds, not our users,” the exchange said in its statement.

To replenish the assets, Binance said it is drawing on its Secure Asset Fund for Users, a portion of its futures insurance fund and its corporate treasury. The company said it would continue reporting progress and taking steps to cover the full financial impact.

Withdrawals Could Resume As Investigation Continues

Binance identified the resumption of user withdrawals as its next milestone, saying services could return by Sunday, subject to security checks. The exchange said its investigation into the attack remains ongoing.

Binance declined to provide further details about the investigation, referring questions to its latest public statement.

How The Breach Happened Remains Unclear

The precise mechanics of the attack—and who carried it out—have not been established publicly. Binance initially said the breach may have involved a compromised DevOps engineer’s laptop, which could have enabled an attacker to access a service container and submit unauthorized withdrawal transactions. Co-CEO Richard Teng later said the incident involved a more complex process than the misuse of a single engineer’s permissions.

Blockchain intelligence firm TRM Labs has pointed to North Korean hackers as potential perpetrators. The firm said the attack shared characteristics with earlier heists it has linked to North Korea, including activity involving Tornado Cash, advance staging and signatures obtained before the theft and executed in a concentrated burst. Those observations are indicators, not a confirmed attribution.

For Binance, the immediate test is operational as well as financial: restoring access to withdrawals while demonstrating that the stolen assets are being replaced and that its security controls can withstand scrutiny.

Cyprus’ tax-to-GDP ratio edged up to 36.3% in 2025, from 36% in 2024, remaining below the European Union and euro area averages, according to Eurostat.

Across the EU, the ratio rose to 40.7% from 40.2%, while the euro area average increased to 41.3% from 40.7%.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

EU Tax Revenues Reach €7.68 Trillion

The tax-to-GDP ratio measures revenue from taxes and net social contributions as a share of gross domestic product. It provides an indication of public revenue relative to the size of an economy, although national tax systems and social contribution rules vary.

EU governments collected €7.68 trillion in taxes and social contributions in 2025, an increase of €401 billion compared with the previous year.

France Records Highest Ratio

France had the EU’s highest tax-to-GDP ratio at 46%, followed by Belgium at 44.7%, Denmark at 44.3% and Austria at 43.9%.

At the other end of the scale, Ireland recorded the lowest ratio at 22.7%. Romania followed at 29.3%, Malta at 30.3% and Bulgaria at 30.6%.

Ratios Increase In 19 Member States

The tax-to-GDP ratio rose in 19 EU countries in 2025. Germany recorded the largest increase, climbing from 40.3% to 41.4%. Malta’s ratio rose from 29.3% to 30.3%, while Spain’s increased from 37.2% to 38.1%.

Eight member states recorded declines. Sweden saw the largest fall, from 41.8% to 41.2%, followed by Latvia, where the ratio dropped from 34.9% to 34.2%.

Cyprus’ 0.3-percentage-point increase was more modest than some of the changes elsewhere in the bloc. Its ratio nevertheless rose alongside the EU and euro area averages, reflecting a broader increase in tax and social contribution revenue relative to economic output.