Surplus Insights: January-April 2025
The General Government of Cyprus recorded a fiscal surplus of €646.8 million in the first four months of 2025, equating to 1.8% of GDP. This is a slight decrease compared to the €650.5 million surplus (1.9% of GDP) seen in the same timeframe in 2024, according to preliminary results from the Statistical Service.
Revenue Breakdown
Government revenues grew by €243 million (5.3%), reaching €4.826 billion in comparison to the previous year. Income and wealth tax revenues rose by €89.8 million (8.3%), totaling €1.171 billion. Meanwhile, social contributions increased by €135.7 million (9.4%), totaling €1.573 billion. Interest and dividend collections climbed to €84.7 million, marking an increase of €53.7 million.
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Service provisions saw an impressive growth, up by 24.1% to €369.7 million. Conversely, taxes on production and imports decreased slightly by €10.8 million, settling at €1.499 billion, with net VAT revenues falling by €23.6 million.
Expenditure Insights
Expenditures also saw a rise, up €246.6 million (6.3%) to a total of €4.179 billion. Personnel expenses, including social benefits, increased by €72 million (6%) to €1.272 billion. Social benefits expanded by €95.8 million (5.9%).
Capital accounts surged by 30% to €310.7 million. Within this, fixed capital investments grew by 18.7% to €251.7 million. On a lighter note, interest payments fell by €2.8 million, with subsidies also showing a decline.
For additional context on Cyprus’ economic landscape, refer to our coverage on how Cyprus Labor Market Strengthens in Q1 2025.
