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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.

Cyprus Central Bank Governor Sees No Case For ECB Rate Hike Despite Energy Price Risks

Inflation risks are increasing as energy prices remain elevated, but there is no evidence to justify an immediate interest rate increase, Central Bank of Cyprus Governor Christodoulos Patsalides said.

Speaking to financial news service Econostream, Patsalides supported the European Central Bank’s decision to leave interest rates unchanged, saying inflation remains broadly in line with expectations and second-round effects have yet to emerge.

Energy Prices Remain Main Inflation Risk

“There was no evidence that would have supported a rate hike,” Patsalides said. “Second-round effects are not evident, expectations are anchored, and inflation is more or less in line with its expected path.” He said prolonged high oil prices remain the main risk to the inflation outlook if geopolitical tensions persist.

“As more time passes without a resolution of the situation, and prices remain elevated, being pre-emptive gains in importance,” he said.

Patsalides said the ECB will continue monitoring whether higher energy costs feed through to production costs, consumer prices, inflation expectations and wages. So far, he said, there is no evidence that inflationary pressures have broadened beyond energy, while wage demands remain contained.

ECB To Remain Data-Dependent

Patsalides said monetary policy decisions should continue to be based on incoming economic data rather than individual indicators. “One has to look at the whole set of data before assessing and deciding,” he said.

He also warned that larger fiscal deficits and higher defence spending across Europe could create additional inflationary pressures over the medium term.

No Return To Forward Guidance

Patsalides defended the ECB’s decision not to provide forward guidance, saying uncertainty remains too high to signal future policy moves.

“Honesty, flexibility and credibility” would be undermined if the central bank resumed forward guidance, he said. “One should not guide anyone toward a place that may not materialise, given the elevated uncertainty.”

He described the current level of interest rates as “neutral to restrictive” and said they remain “at the right level.”

Operational Framework Review

Asked about the ECB’s operational framework, Patsalides said discussions on minimum reserve requirements should form part of the broader review scheduled to begin in the autumn.

He added that this was not the right time to announce changes because heightened market volatility could create unnecessary confusion.

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