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Cyprus Increases Social Spending Amid Robust Economic Growth

The President of the Republic, Nikos Christodoulidis, recently underscored the critical link between positive economic indicators and elevated social expenditures during a high-level meeting at the Presidential Palace. Attended by representatives from the Cyprus Federation of Organizations of People with Disabilities (ΚΥΣΟΑ), the Cyprus Federation of Associations of Patients (ΟΣΑΚ), and the Third Age Observatory, the discussions highlighted how a thriving economy can foster comprehensive social support programs.

Economic Resilience Fuels Public Investments

According to government plans, social expenditure is expected to increase in 2024 and 2025, with a larger expansion projected for 2026. Officials said the fiscal framework includes a planned 6% rise in social spending as part of broader budget priorities. The government says the increase is supported by improved economic indicators and aims to reinforce public support systems.

Collaborative Governance With Social Partners

President Christodoulidis emphasized that the government treats social organizations as strategic partners. The administration’s policies and initiatives are built on an ongoing dialogue with these community stakeholders, ensuring that every measure is aligned with the pressing needs and priorities of the citizens. This collaborative approach underscores the state’s commitment to societal well‐being and its determination to address the minimum obligations owed to its populace.

President Nikos Christodoulidis meeting with social representatives
President Christodoulidis meets with representatives from ΚΥΣΟΑ, ΟΣΑΚ, and the Third Age Observatory at the Presidential Palace in Nicosia, Cyprus.

Strategic Measures for Social Cohesion

Beyond planned budget increases, the government said it is evaluating additional targeted measures aimed at strengthening social cohesion and improving support for vulnerable populations. Officials argue that combining fiscal stability with social investment remains central to Cyprus’ broader economic and social policy strategy.

Eurobank Wins Two Euromoney Awards Following Cyprus Merger

Eurobank has been named Cyprus’ Best Bank for 2026 by Euromoney, while also receiving the award for Best Bank for Large Corporates at the publication’s latest Awards for Excellence.

Merger Marks A Milestone

The awards recognise the bank’s performance during 2025, a year marked by the completion of the legal merger between Hellenic Bank and Eurobank Cyprus. The transaction created Eurobank Limited, which the group says is now Cyprus’ largest banking and insurance organisation, with assets exceeding €28 billion.

Euromoney’s Awards for Excellence evaluate banks’ performance over the previous calendar year, with this edition covering January 1 to December 31, 2025.

Lending, Customers And Digital Growth

Eurobank said its business lending portfolio expanded by around 17 per cent during 2025, while its customer base grew to more than 710,000 retail clients and 11,500 business customers.

The bank also continued its digital expansion, saying more than 96 per cent of transactions are now completed through digital channels, and most financing applications are submitted via its mobile app.

Expanding International Presence

Eurobank also highlighted the opening of its first representative office in India, describing the move as a step toward strengthening business links between Cyprus and India while supporting Cyprus’ role as a gateway to the European Union for Indian businesses and investors.

According to the bank, Euromoney recognised not only the successful completion of the merger but also its lending growth, digital transformation and contribution to Cyprus’ position as an international business and investment hub.

CEO On The Awards

“The Euromoney awards confirm Eurobank’s strong momentum and the successful implementation of our group’s strategy in Cyprus,” Chief Executive Michalis Louis said.

He said the merger strengthened the bank’s ability to support households, businesses and the wider economy, while highlighting continued investment in digital services and the opening of the representative office in India as key milestones during the year.

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