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Micro-Wineries In Cyprus Aim To Revive The World’s Oldest Named Wine

Commandaria, praised by ancient Greek poets nearly 3,000 years ago, holds the title of the world’s oldest recorded and named wine. Once celebrated by royalty and historical figures, this Cypriot sweet wine has struggled to maintain its global presence despite its deep-rooted heritage.

A Rich History Of Recognition

The wine’s legendary status is deeply intertwined with European history. It is believed to have won the world’s first recorded wine competition in the 13th century under French King Philippe Augustus and was famously served at the wedding of English King Richard the Lionheart in Cyprus in 1191. The medieval Knights Hospitaller, who established their headquarters on the island during the Third Crusade, played a key role in its production and named it after their estate, the Grande Commanderie. Later, the Orthodox Church adopted the wine for religious ceremonies, further cementing its cultural significance.

Commandaria reached its production peak under Venetian rule in the 15th and 16th centuries, valued for its distinctive sweetness and complex bouquet. 

Challenges In The Modern Market

Despite its historical significance, Commandaria has faced difficulties in securing a place in the international market. Production reached around 200,000 bottles in recent years but saw a decline, partly due to the loss of Russian tourism, a key consumer base. Additionally, an attempt to enter the vast Chinese market faltered due to supply limitations.

Unique Characteristics And Production

Commandaria owes its distinctive taste to Cyprus’ volcanic soil, which enriches the grapes with notes of honey, raisin, walnut, fig, carob, cinnamon, coffee, and caramel. It is made from indigenous Mavro and Xynisteri grapes, which are sun-dried for up to 12 days to concentrate their sweetness. Strict European regulations mandate a minimum aging period of two years in oak barrels, and authentic Commandaria can only be produced in 14 designated villages on the southern slopes of the Troodos mountains.

The Role Of Micro-Wineries

Small, quality-focused wineries have begun to breathe new life into Commandaria. Unlike large-scale producers, these boutique operations prioritise craftsmanship over volume. Some wineries are experimenting with bespoke varieties, catering to evolving consumer preferences, and have gained a loyal domestic and international following.

A Slow But Steady Comeback

While global sales remain modest, domestic interest in Commandaria is growing. Some wineries have reported an increase in demand, with visitors returning to Cyprus specifically to replenish their stock. Experts believe that a sustained focus on quality and a well-coordinated marketing effort could position Commandaria for a stronger global presence.

To ensure long-term success, producers are focusing on refining quality and strengthening their foothold in the domestic market before making a collective push internationally. With its unparalleled history, unique production methods, and renewed dedication from small-scale winemakers, Commandaria may yet reclaim its place among the world’s most distinguished wines.

Central Bank Of Cyprus Balance Sheet Reflects Strong Eurosystem Position

Overview Of Financial Stability

The Central Bank of Cyprus (CBC) has released its latest balance sheet, reaffirming its steadfast role within the Eurosystem. The balance sheet, featuring total assets and liabilities of €29.545 billion, underscores the institution’s stable financial posture at the close of January 2026.

Asset Allocation And Strategic Holdings

Governor Christodoulos Patsalides issued the balance sheet, which details the CBC’s asset composition under the Eurosystem framework. Notably, the bank’s gold and gold receivables amounted to €1.635 billion, providing a significant hedge and stability to its balance sheet. Additional asset categories include claims on non-euro area residents denominated in foreign currency at €1.099 billion, while claims on euro area residents in both foreign and domestic currency add further depth to its portfolio.

The most substantial asset category, intra-Eurosystem claims, reached €19.438 billion, an indication of the CBC’s deep integration with its European counterparts. Furthermore, euro-denominated securities held by euro area residents contributed €6.587 billion. Despite a marked emphasis on these areas, lending to euro area credit institutions in monetary policy operations recorded no activity during the period.

Liability Structure And Monetary Policy Implications

On the liabilities side, banknotes in circulation contributed €3.218 billion. Liabilities to euro area credit institutions associated with monetary policy operations were notably the largest single category, totaling €17.636 billion. Supplementary liabilities included those to other euro area residents, which aggregated to €4.989 billion, with government liabilities playing a predominant role at €4.754 billion.

Other liability items, such as claims related to special drawing rights allocated by the International Monetary Fund at €494.193 million, and provisions of €596.571 million, further articulate the CBC’s exposure. Revaluation accounts stood at €1.643 billion, and overall capital and reserves were confirmed at €333.822 million, completing the picture of a well-capitalized institution.

Conclusive Insights And Strategic Alignment

The detailed breakdown illustrates the CBC’s sizeable intra-Eurosystem exposures, reinforcing its central role within Europe’s monetary landscape. With an asset-liability balance maintained at €29.545 billion, the CBC’s financial position remains robust, indicating a commitment to structural stability and strategic risk management.

This fiscal disclosure not only provides transparency into the CBC’s operations but also serves as a benchmark for comparative analysis among other central banks within the Eurosystem, highlighting the intricate balance between asset liquidity, regulatory oversight, and monetary policy imperatives.

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