Nicosia, Cyprus. Cyprus maintained one of the strongest fiscal positions in the European Union in 2025, recording a government budget surplus while most member states posted deficits.
Government surplus and debt levels
Eurostat figures showed Cyprus was among a small group of EU countries to achieve a government surplus in 2025, at 3.4 per cent of GDP. Other countries with surpluses were Denmark (2.9 per cent), Ireland (1.8 per cent), Greece (1.7 per cent) and Portugal (0.7 per cent).
Preliminary fiscal results released by the Cyprus Statistical Service indicated Cyprus recorded a budget surplus of €1.24 billion. The same data showed public debt at €20.08 billion, corresponding to 55 per cent of GDP, below the EU’s 60 per cent reference threshold.
EU and euro area trends
Across the euro area, the government deficit-to-GDP ratio edged down from 3.0 per cent in 2024 to 2.9 per cent in 2025, while in the EU it remained unchanged at 3.1 per cent.
Government debt levels increased over the same period, with the euro area ratio rising from 87.0 per cent to 87.8 per cent and the EU ratio climbing from 80.7 per cent to 81.7 per cent.
Eurostat said the figures form part of its Excessive Deficit Procedure notification, based on data reported by member states under the ESA 2010 system of national accounts.
Quarterly results in Cyprus
Quarterly data showed Cyprus recorded a surplus of 4 per cent of GDP in the fourth quarter of 2025, following surpluses of 2.8 per cent in the third quarter, 1.8 per cent in the second quarter and 5 per cent in the first quarter.
How do Cyprus’ 2025 fiscal results compare with those of other European Union member states?
