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Cyprus Sees Surge In ATM Withdrawal Value Amid Digital Payment Expansion

ATM Withdrawal Trends

Data from the Central Bank of Cyprus show that cash withdrawals from the country’s 405 ATMs totaled €2.5 billion in the first half of 2025. Although the number of transactions declined compared with the same period in 2024, the average withdrawal increased 28% from €291 to €372, keeping the overall value of cash dispensed relatively stable.

Rapid Digital Payment Adoption

Cash usage continues to decline as digital payments expand. Cyprus remains one of the most advanced markets in the euro area for contactless infrastructure, with more than 70% of ATMs supporting contactless cards, compared with around 34% across the eurozone. Payment card circulation increased 7% year over year to approximately 2 million cards, equivalent to about two cards per resident, reflecting continued growth in electronic payment adoption.

Consumer Spending Patterns And Card Dominance

Card payments now represent around 75% of transaction volume in Cyprus, placing the country among the most card-intensive markets in the euro area. Cyprus ranks second in payment card usage frequency, behind Portugal.

Debit cards remain the dominant payment method, with consumers significantly more likely to hold debit cards than credit or post-charge alternatives. VISA and Mastercard continue to account for the majority of issued cards. Average in-store card transactions stand at €37, slightly above the euro area average of about €33.

Online Spending Trends

Online transactions show higher average values than physical purchases. The average online payment in Cyprus reached €125, compared with roughly €60 across the euro area.

The data suggest that while cash withdrawals remain substantial, consumer behavior is increasingly shifting toward digital payments, particularly for higher-value online purchases.

Ryanair Cuts 20 Routes In Belgium As Aviation Taxes And Fuel Costs Rise

Ryanair is cutting 20 routes and more than one million seats from its Belgian winter 2026 schedule, citing higher aviation taxes and rising fuel costs. The airline said it would reduce its fleet by six aircraft across Brussels Charleroi and Brussels Zaventem, representing a $600 million reduction in investment.

At the centre of the dispute is Belgium’s planned aviation tax increase, from €2 per ticket in January 2025 to €7 in January 2027. Ryanair argues that higher charges will make the country less competitive than European markets with lower operating costs.

O’Leary Warns Of Higher Fares In 2027

Ryanair chief executive Michael O’Leary has also warned that airfares could rise significantly next year as the airline’s existing fuel price protection expires.

“We guarantee no fuel surcharges, but there is no doubt that air fares are going to rise significantly in 2027 because of much higher oil prices,” O’Leary told Euronews.

The airline has secured fuel prices at approximately $67 per barrel for 2026 through advance pricing agreements. O’Leary expects costs to roughly double next year as that protection ends.

Oil prices have risen amid the war in the Middle East and concerns over supply routes through the Persian Gulf. Brent crude closed at $109.86 per barrel on Friday, its highest level since May, before moving above $110, according to the report.

Belgium Faces Pressure Over Aviation Taxes

O’Leary argues that aviation taxes do more than increase airline costs: they can also redirect passenger traffic, investment and tourism towards countries with lower charges.

“The Belgian government is doing exactly the opposite,” he said, warning that the planned increase could discourage investment, reduce passenger numbers, hurt tourism and cost jobs.

Ryanair said it had already redirected six aircraft, more than one million seats and 20 routes away from Belgium for winter 2026. The airline warned that further cuts could follow if the tax remains unchanged.

It also criticised the EU emissions trading system, arguing that it raises the cost of intra-EU flights while flights to destinations outside the bloc do not face the same burden. O’Leary called for Belgium to abolish aviation taxes, saying higher charges would shift demand and tourism towards more competitively priced destinations elsewhere in Europe.

Airlines Face Wider Cost Pressures

Belgium’s planned tax increase was reduced from an earlier proposal to charge €10 per ticket following industry pressure. Ryanair maintains, however, that the revised rate remains too high.

The capacity cuts come as other airlines also adjust their schedules amid challenging market conditions. Sweden’s SAS and easyJet have both reduced flights this year.

Ryanair is urging the Belgian government to reconsider the tax, warning that maintaining higher charges could further weaken the country’s aviation market.

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