EU Finance Council Confronts Economic Challenges Under Cyprus Presidency

by THEFUTURE.TEAM

January 25, 2026

Inaugural Meeting Under Cyprus Leadership

The first Finance Ministers Council under Cyprus’ Presidency convened in Brussels with Finance Minister Makis Keravnos at the helm. The meeting, held on Tuesday and reviewed further on Thursday during the subsequent Cabinet session, set a decisive tone for addressing pressing issues within the European economy.

Economic Outlook And Strategic Priorities

Minister Keravnos stressed that the Council tackled several critical topics, including the current challenges confronting the European economy. He pointed out that a central theme of discussion was the trajectory of Europe’s economic outlook, including the implications of the Recovery and Resilience Plan—a pivotal initiative that will guide developmental expenditure until mid-2026. As Cyprus assumes the Presidency, it is expected to steer this landmark program into its next phase effectively.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Funding Ukraine And International Developments

The deliberations also encompassed the continuation of financial support for Ukraine in light of the ongoing challenges posed by the Russian invasion. Moreover, the Council initiated discussions on broader international developments, notably issues affecting Greenland—a subject that has drawn significant attention among EU finance ministers ahead of the evening discussions scheduled for heads of state.

Looking Forward

The outcomes of this inaugural meeting underscore a proactive approach by the EU under its new Cyprus Presidency. The strategic priorities discussed not only reaffirm the commitment to strengthening Europe’s economic resilience but also highlight the interconnected nature of global economic and geopolitical challenges.

The Future Forbes Realty Global Properties

Cyprus Hits Historic Tourism Peak As Overtourism Risks Mount

by THEFUTURE.TEAM

February 13, 2026

Record-Breaking Performance In Tourism

Cyprus’ tourism sector achieved unprecedented success in 2025 with record-breaking arrivals and revenues. According to Eurobank analyst Konstantinos Vrachimis, the island’s performance was underpinned by solid real income growth and enhanced market diversification.

Robust Growth In Arrivals And Revenues

Total tourist arrivals reached 4.5 million in 2025, rising 12.2% from 4 million in 2024, with momentum sustained through the final quarter. Tourism receipts for the January–November period climbed to €3.6 billion, marking a 15.3% year-on-year increase that exceeded inflation. The improvement was not driven by volume alone. Average expenditure per visitor increased by 4.6%, while daily spending rose by 9.2%, indicating stronger purchasing power and higher-value tourism activity.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Economic Impact And Diversification Of Source Markets

The stronger performance translated into tangible gains for the broader services economy, lifting real tourism-related income and overall sector turnover. Demand patterns are also shifting. While the United Kingdom remains Cyprus’ largest source market, its relative share has moderated as arrivals from Israel, Germany, Italy, the Czech Republic, the Netherlands, Austria, and Poland have expanded. This gradual diversification reduces dependency on a single market and strengthens resilience against external shocks.

Enhanced Air Connectivity And Seasonal Dynamics

Air connectivity has improved markedly in 2025, with flight volumes expanding substantially compared to 2019. This expansion is driven by increased airline capacity, enhanced route coverage, and more frequent flights, supporting demand during shoulder seasons and reducing overreliance on peak-month flows. Seasonal patterns remain prominent, with arrivals building through the spring and peaking in summer, thereby bolstering employment, fiscal receipts, and corporate earnings across hospitality, transport, and retail sectors.

Structural Risks And Future Considerations

Despite strong headline figures, structural challenges remain. The European Commission’s EU Tourism Dashboard highlights tourism intensity, seasonality, and market concentration as key risk indicators. Cyprus records a high ratio of overnight stays relative to its resident population, signalling potential overtourism pressures. Continued reliance on a limited group of origin markets also exposes the sector to geopolitical uncertainty and sudden demand swings. Seasonal peaks place additional strain on infrastructure, housing availability, labour supply, and natural resources, particularly water.

Strategic Investment And Market Resilience

Vrachimis concludes that sustained growth will depend on targeted investment, product upgrading, and continued market diversification. Strengthening year-round offerings, improving infrastructure capacity, and promoting higher-value experiences can help balance demand while preserving long-term competitiveness. These measures are essential not only to manage overtourism risks but also to ensure tourism remains a stable pillar of Cyprus’ economic development.

Breaking news