Breaking news

Credit Transfers Dominate Cyprus Payment Landscape Amid Digital and Traditional Trends

Credit Transfers Lead the Way in Cyprus

A recent report by the Central Bank of Cyprus (CBC) underscores the enduring appeal of credit transfers in the local economy. Accounting for 83 percent of the total transaction value, credit transfers remain the primary non-cash payment method, with an average transaction value of €4,402.

Cheques and Cards: Evolving Roles in the Payment Ecosystem

Despite the rapid advancement of digital payment solutions, cheques continue to hold significant relevance in Cyprus, contributing 7 percent of total transaction value with an impressive average payment of €3,615—three times higher than the euro area average of €1,140. Conversely, payment cards, used in 74 percent of transactions, are favored for lower-value purchases, exemplified by an average card transaction of €39. This duality highlights a distinctive payment behavior pattern in Cyprus, blending both traditional and modern payment methods.

Robust Digital and Contactless Infrastructure

The CBC report further reveals a pronounced preference for high-value online card payments, with the average online payment amount reaching €127—placing Cyprus among the top performers within the euro area. A robust contactless infrastructure bolsters this trend, as evidenced by over 75 percent of ATMs in Cyprus supporting contactless card technology, compared to only 33 percent in the broader euro area.

Growth in Payment Institutions and Future Prospects

Additionally, the number of licensed payment and electronic money institutions rose slightly from 36 in 2023 to 38 in 2024, reinforcing Cyprus’ position as one of the most institutionally advanced markets per capita in the euro area. This stability and growth present a promising outlook, as businesses and consumers continue to adapt to a hybrid payment landscape that leverages both digital innovation and established financial instruments.

Cyprus Tourism Shows Strength As Clean Monday Hotel Bookings Surge

Hotels Embrace A Bright Outlook

Recent figures point to growing momentum in hotel reservations ahead of the Clean Monday weekend, signaling renewed confidence in Cyprus’ tourism sector. Christos Angelides, Director of PASYXE, emphasized the positive trend while also underscoring the need to gradually extend the tourism season beyond traditional peak months.

Favorable Conditions And Festive Spirit

Angelides noted that bookings recorded during the past weekend reached encouraging levels, a development attributed to multiple converging factors. The return of sunny weather after prolonged rainfall, coupled with the festive aura of carnival events and children’s parades in cities such as Nicosia, Limassol, and Paphos, has motivated many to opt for short getaways. This seasonal momentum is further boosted by the strategic initiatives of local hotels, many of which are curating special menus for Clean Monday events, offering guests an enhanced stay experience by keeping them on-premise.

Positioning For The Off-Season

Despite the positive indicators, Angelides cautioned that average occupancy rates of 25%–30% highlight the need for continued innovation rather than complacency. He described the current period as part of a longer process of building winter tourism and pointed to opportunities in conferences, corporate events and niche travel segments as potential drivers of year-round demand.

Expanding Air Connectivity and Collective Ecosystem

Industry expectations are further supported by expanded air connections from established markets such as the United Kingdom and Israel, alongside increased routes from Armenia, Romania, Bulgaria, Latvia and Poland. While recovery in the German market remains gradual, broader improvements in connectivity continue to strengthen overall tourism prospects. Angelides added that sustainable year-round tourism depends on a wider ecosystem that extends beyond accommodation to include restaurants, museums, cultural venues and community events.

The Path Forward

Cyprus continues to benefit from strong competitive advantages in climate, accessibility and hospitality infrastructure. With coordinated planning across tourism stakeholders and consistent investment in diversified offerings, the sector is positioned to contribute more steadily to the national economy and support a more balanced, all-season travel model.

The Future Forbes Realty Global Properties
Aretilaw firm
Uol
eCredo

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter