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India And China To Reopen Direct Air Travel After Nearly Five Years

After almost five years of suspended direct flights, India and China have agreed to resume air travel between the two nations, signaling a shift in their relations following a deadly military clash in 2020 over their disputed Himalayan border.

The agreement, confirmed by India’s foreign ministry, comes after a meeting between Indian Foreign Secretary Vikram Misri and Chinese Foreign Minister Wang Yi. The two countries will soon hold further discussions to establish a framework for the resumption of flights.

The suspension of direct air travel since the 2020 border conflict had led to tensions, with India tightening restrictions on Chinese companies, banning several popular Chinese apps, and reducing passenger flight routes. Despite the travel restrictions, direct cargo flights between India and China had continued.

However, in recent months, relations between the two nations have begun to thaw. Notable meetings, including one between Chinese President Xi Jinping and Indian Prime Minister Narendra Modi in Russia this past October, have helped improve diplomatic ties.

During his meeting with Misri on Monday, Wang Yi emphasized the need for both countries to work collaboratively, move towards resolving economic and trade issues, and foster long-term political stability and transparency.

“Mutual support and achievements should guide our relationship, rather than doubt and alienation,” Wang stated, reflecting the positive tone of their discussions. This meeting follows a historic agreement in October aimed at easing tensions along their shared border.

While Indian civil aviation authorities had resisted restoring air links in the past due to ongoing border disputes, there have been signs of a shift. Sources told Reuters that India may now be open to reconsidering the opening of airspace and streamlining visa approvals for Chinese nationals.

This recent diplomatic development marks a key step in the two nations’ efforts to move beyond their historical tensions and strengthen bilateral relations.

Cyprus Services Sector Shows Robust Performance In 2025 As Tourism, Digital Innovation, And Shipping Surge

The Employers and Industrialists Federation (OEV) reported growth across Cyprus’ services sector in 2025, with increases recorded in tourism, professional services and administrative activities. Data show continued expansion across multiple sub-sectors, reinforcing the role of services in economic output and employment.

Service Sector Leadership

Accommodation and food services grew by 9.5%, while administrative and support activities increased by 7.4%. Professional, scientific and technical activities rose by 4.6%, followed by information and communication at 4.3%. Transport and storage recorded growth of 2.8%, while real estate activity increased by 0.4%. These figures indicate broad-based expansion across service industries.

A Remarkable Tourism Surge

Tourist arrivals reached 4,534,073 in 2025, marking a 12.2% increase year-on-year. December arrivals totaled 156,959, up 18% compared with the same period a year earlier. Tourism continues to support revenue generation and seasonal demand across the economy. Growth in visitor numbers contributes to activity in hospitality and related sectors.

Driving Digital Transformation

OEV is supporting digital adoption through initiatives such as the DiGiNN Cyprus Digital Innovation Hub. The program focuses on improving business processes, skills development and technology integration. Additional efforts include the establishment of a Digital Transformation and Innovation Committee and international engagement through business missions. These actions support the adoption of digital tools across sectors.

Resilient Shipping Sector

Shipping accounted for about 7% of Cyprus’s GDP in 2025, remaining a key component of the economy. The Cyprus Registry recorded its highest tonnage in 20 years, with an increase of nearly 20%. Fleet growth strengthens Cyprus’ position within European Union shipping registries and global maritime markets. The sector continues to contribute to economic stability.

Strengthening The Economic Foundation

OEV is organizing conferences, workshops and exhibitions to support business development across sectors. These initiatives focus on improving operational practices and industry collaboration. Continued investment in services and digital infrastructure is expected to support economic performance.

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