Keravnos calls for more flexible EU fiscal rules to support households and businesses

Luxembourg, Luxembourg. Finance Minister Makis Keravnos on Friday called for greater flexibility in EU fiscal rules so member states can increase spending and support households and businesses struggling with inflation and the energy crisis.

Calls for changes to economic governance

Speaking ahead of the Ecofin meeting, Keravnos expressed confidence that the European Commission would respond to member states’ calls for greater flexibility in economic governance.

“There is a very serious need for action, solutions and support for our citizens and businesses,” he said.

“We cannot remain within an economic governance framework that does not take into account inflation, which is rising rapidly at this time. I expect further discussion and a solution to be found.”

Keravnos warned that escalating military conflicts and the worsening energy crisis were increasing pressure on households and businesses, with consequences extending beyond the economy.

Fuel prices weigh on households and businesses

Fuel costs continue to weigh on Cypriot motorists, with diesel reaching €2.126 per litre at the country’s most expensive pump and petrol prices maintaining an upward trend since August, according to the Consumer Protection Service.

The service’s latest price observatory puts the nationwide average price of unleaded 95 petrol at €1.757 per litre and unleaded 98 at €1.812.

Diesel averages €2.022 per litre, while heating fuel stands at €1.678, adding to pressure on households and businesses as transport and energy costs remain elevated.

The latest figures follow Wednesday’s report that diesel had reached an all-time high of €2.126 per litre at a petrol station in Limassol, near the city’s seafront road, the Kean factory and The Oval.

Overnight trips by Cyprus residents increase

Separately, trips lasting at least one night by Cyprus residents rose by 13.3 per cent in 2025 to a total of 3.82 million, according to figures published by Eurostat. The increase came as travel continued to grow across the European Union.