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Cyprus Construction Sector Posts Modest Output Growth As Prices Accelerate In Early 2026

Cyprus’ construction sector posted modest growth at the start of 2026, while construction costs continued to rise at a faster pace, according to figures released by the Statistical Service of Cyprus (Cystat).

Production Growth Remains Tepid

The Index of Production in Construction, based on 2021 as the reference year, reached 120.74 points in the first quarter of 2026, up 0.7% compared with the same period a year earlier.

The data indicate that construction activity continued to expand during the quarter, albeit at a moderate pace.

Output Prices Continue To Advance

Price pressures remained stronger than output growth. The Output Prices Index in Construction rose to 129.46 points in the first quarter, increasing 3.0% from the previous quarter and 4.7% year on year.

The figures suggest that construction costs continued to rise despite relatively modest gains in overall production.

Activity And Costs Continue To Diverge

Taken together, the latest Cystat data point to a sector where prices are increasing more quickly than construction activity. While output continued to grow in early 2026, the pace remained considerably slower than the rise in construction prices.

Only 1% Of Cyprus Farms Use Precision Farming Technologies

Cyprus remains one of the European Union’s least digitised agricultural economies, with just 1% of farms using precision farming technologies in 2023, according to Eurostat.

The findings come as the EU continues to encourage the adoption of digital tools aimed at improving agricultural productivity, efficiency and sustainability.

Internet Access Expands, But Digital Uptake Lags

Internet access has improved across the bloc, although adoption remains uneven. Eurostat found that 43% of EU farms had internet access in 2023, with northern and central European countries leading the way.

Denmark, Germany, Slovakia, Latvia, the Czech Republic and Austria all reported internet access rates above 90%.

Greater connectivity, however, has not translated into widespread digital adoption. Farm management information systems, which help farmers manage day-to-day operations, were used by only about 11% of EU farms. France was a notable exception, with around 60% of farms using the technology.

Precision Farming Concentrated In Larger Operations

Robotics adoption also remained relatively limited, with only about 7% of EU farms using robotic technologies. Overall, around 18% of farms with utilised agricultural area employed at least one precision farming technology or practice in 2023.

These included robotics for plant protection, band spraying, variable-rate application, precision crop monitoring and soil analysis. Despite representing fewer than one in five farms, these holdings accounted for around 44% of the EU’s utilised agricultural area.

The figures suggest that precision farming remains concentrated among larger agricultural businesses, where investment in digital technologies is typically easier to support.

Cyprus Lags Behind EU Leaders

Luxembourg, Finland and Estonia recorded the highest shares of utilised agricultural area managed by farms using precision farming technologies, each exceeding 75%.

At the other end of the ranking, Cyprus recorded just 1%, while Greece and Romania reported between 10% and 15%. The results indicate that Cyprus remains at an early stage of digital adoption in agriculture, even as precision farming becomes more widespread across parts of the European Union.

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