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Cyprus Unemployment Drops To 4.0% In Q4 2025 As Workforce Participation Rises

The unemployment rate in Cyprus fell to 4.0% in the fourth quarter of 2025, according to data from the Cyprus Statistical Service. This compares with 4.5% in the corresponding quarter of 2024 and 4.1% in Q3 2025, reflecting continued improvement alongside growth in both employment and labour force participation.

Robust Growth In The Workforce

The Labour Force Survey shows that the labour force expanded to 531,062 individuals, representing 65.2% of the population, up from 518,053 individuals (64.3%) a year earlier. Participation rates reached 70.3% for men and 60.4% for women, indicating stronger overall engagement in the labour market.

Employment Trends And Sector Performance

Total employment rose to 509,773 people, lifting the employment rate to 62.6% from 61.4% in Q4 2024. Employment among men reached 67.6%, while women recorded 57.9%. Within the 20–64 age group, the employment rate increased to 81.7% from 80.2% a year earlier, with rates standing at 86.2% for men and 77.4% for women. Employment among those aged 55–64 also improved, rising to 71.7% compared with 69.9% in the previous year.

Sectoral Composition Of Employment

The services sector remained the dominant employer, accounting for 81.3% of total employment. Industry represented 16.5%, while agriculture accounted for 2.2%, with sector shares largely unchanged from 2024.

Part-Time And Temporary Employment Dynamics

Part-time employment represented 8.6% of the workforce, or 43,703 individuals, slightly down from 8.8% a year earlier. The share remained higher among women (10.4%) than men (6.9%).

Employees accounted for 90.2% of all employed persons, totaling 460,003 individuals. Among them, 14.8% were working under temporary contracts, up from 13.6% in the previous year, indicating a moderate increase in flexible employment arrangements.

Shifting Landscape In Unemployment

The number of unemployed declined to 21,289 from 23,454 in Q4 2024. However, youth unemployment among individuals aged 15–24 increased to 14.7% from 9.6% a year earlier.

At the same time, long-term unemployment continued to ease, falling to 18.3% from 25.4%, while 66.6% of unemployed persons reported searching for work for less than six months.

Outlook

The latest figures point to a labour market that continues to strengthen overall, supported by higher employment and labour force participation. At the same time, rising youth unemployment highlights a segment that may require closer policy attention going forward.

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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