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Holiday Table Costs Remain Steady Amid Digital Promises and Price Cuts

Stable Pricing Despite Seasonal Discounts

The cost of the New Year’s table in Cyprus has remained largely unchanged, even as minor discounts on select items such as tomatoes and cucumbers have surfaced. According to Mario Drousiotis, President of the Cyprus Consumers Association, these minimal price cuts have not significantly altered the overall expenditure for festive meals.

Detailed Cost Analysis for a Range of Tables

A comprehensive study conducted by the Association in Nicosia revealed that a “luxurious table” comprising 34 items cost approximately 160 euros for a family of four and 227 euros for a family of six. In contrast, an “economical table” featuring 19 items was priced at 98 euros and 129 euros, respectively. For lower-income households, a selection of 11 products from the 34 required was estimated to cost only 33 euros for a family of four and 49 euros for a family of six. Notably, these figures reflect a 9% increase compared to the previous year.

Methodology and Regional Considerations

The research was strictly carried out in prominent supermarkets in Nicosia, ensuring price consistency by using the same chains as in previous studies. Drousiotis emphasized that in the provinces there were no voluntary submissions and that the four major chains examined are known to set uniform prices across Cyprus.

e-Kalathi App: Unmet Expectations and Limited Participation

Drousiotis also scrutinized the performance of the e-Kalathi application. He has called on the Consumer Protection Service to release an accountability report on the app’s performance to date. The application, which initially promised coverage of 3,000 products, now displays only 478—a stark discrepancy when supermarket chains offer between 8,000 to 10,000 product codes. Moreover, participation by a major supermarket chain was limited to just 15 out of 60 days during the October–November period, with only 120–125 products available, and a complete absence of involvement from December 17 to 29. A separate chain managed to list 135 products in October.

User Engagement and Future Outlook

The data, according to the President, clearly indicate that consumers are not being adequately served. User adoption also remains abysmal, with nine out of ten users failing to return to the app. Drousiotis publicly urged the relevant authorities to ascertain whether the application succeeded or failed after six months of operation, and to identify how many of the 10,000 initial users continue to utilize it.

In summary, while minor price adjustments offer little reprieve in overall festive costs, a digital solution intended to empower consumers has yet to live up to its promise, raising wider concerns about transparency and efficacy in consumer support tools.

ECB Launches Geopolitical Stress Tests For 110 Eurozone Banks

The European Central Bank is preparing a new round of geopolitical stress tests aimed at assessing potential risks to major financial institutions across the euro area. Up to 110 systemic banks, including institutions in Greece and the Bank of Cyprus, will take part in the exercise, which examines how geopolitical events could affect financial stability.

Timeline And Testing Process

Banks are expected to submit initial data on March 16, 2026. Supervisors will review the information in April, while the final results are scheduled to be published in July 2026. The process forms part of the ECB’s broader supervisory work to evaluate financial system resilience under different risk scenarios.

Geopolitical Shock As The Primary Concern

The stress tests place particular emphasis on geopolitical risks. These may include armed conflicts, economic sanctions, cyberattacks and energy supply disruptions. Such events can affect banks through changes in market conditions, borrower solvency and sector exposure. Lending portfolios linked to regions or industries affected by geopolitical developments may face higher risk levels.

Reverse Stress Testing: A Tailored Approach

Unlike traditional stress tests that apply the same scenario to all institutions, the reverse stress test requires each bank to define a scenario that could significantly affect its capital position. Banks must identify a geopolitical shock that could reduce their Common Equity Tier 1 (CET1) ratio by at least 300 basis points. Institutions are also expected to assess potential effects on liquidity, funding conditions and broader economic indicators such as GDP and unemployment.

Customized Risk Assessments And Supervisor Collaboration

This methodology allows banks to submit risk assessments based on their own exposures and operational structures. The approach is intended to help supervisors understand how geopolitical events could affect institutions differently and to support discussions between banks and regulators on risk management and contingency planning.

Differentiated Vulnerabilities Across Countries

A joint report by the ECB and the European Systemic Risk Board indicates that countries respond differently to geopolitical shocks. The Russian invasion of Ukraine led to higher energy prices and inflation across Europe, prompting central banks to raise interest rates. Belgium, Italy, the Netherlands, Greece and Austria experienced increases in borrowing costs and lower investor confidence. Germany, France and Portugal recorded more moderate changes, while Spain, Malta, Latvia and Finland showed intermediate levels of exposure.

Conclusion

The geopolitical stress tests will not immediately lead to additional capital requirements for banks. Their results will feed into the Supervisory Review and Evaluation Process (SREP). ECB supervisors may use the findings when assessing capital adequacy, risk management practices and operational resilience at individual institutions.

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