Cyprus GDP grows 0.8 per cent in second quarter of 2026

Nicosia, Cyprus. Cyprus recorded quarterly GDP growth of 0.8 per cent in the second quarter of 2026, accelerating from 0.5 per cent in the first quarter, according to Eurostat figures. Annual GDP growth reached 3.3 per cent, up from 3.0 per cent in the previous quarter.

GDP growth outpaces EU averages

Cyprus’ quarterly and annual growth rates were above the averages for both the euro area and the European Union.

Seasonally adjusted GDP in the euro area increased by 0.6 per cent between the first and second quarters, while EU GDP rose by 0.7 per cent.

On an annual basis, GDP grew by 1.2 per cent in the euro area and by 1.4 per cent in the EU during the second quarter, compared with annual growth of 0.6 per cent and 0.9 per cent respectively in the first quarter.

Member state performance

Ireland recorded the strongest quarterly GDP expansion among EU member states, at 10.2 per cent. Slovenia followed with growth of 1.8 per cent, while Lithuania recorded growth of 1.7 per cent.

Austria was the only member state to report a quarterly contraction, with GDP declining by 0.1 per cent.

Employment increases

Employment in Cyprus increased by 0.5 per cent in the second quarter, following no growth in the first quarter.

On an annual basis, employment was 1.6 per cent higher than in the second quarter of 2025. The rate was lower than the 2.0 per cent annual employment increase recorded in the first quarter.