Economic Respite as Cyprus Sees Salary Growth Amid Cost of Living Concerns
In the face of escalating living costs, the latest figures from the Statistical Service of Cyprus have brought a glimmer of hope to its citizens. The provisional data indicates that the average salary in Cyprus experienced a robust growth of 6.2% in the last quarter of 2023 when juxtaposed with the same timeframe in 2022. This rise is seen as a cushion against the surging expenses that have been a source of worry for many.
The Cystat report revealed that the average gross monthly earnings increased to €2,693 in the fourth quarter of 2023, up from €2,535 in the previous year. This substantial increment is indicative of an upward economic trend that could signal a turn in tides for the Cypriot workforce.
When adjusted for seasonal variations, the average gross monthly earnings still showed a positive trajectory at €2,402, marking a 1.6% increase from the third quarter of 2023. This steady climb further underscores the resilience of the Cypriot economy in recent times.
However, the data also shed light on persisting gender wage gaps, with male employees earning an average of €2,884 per month compared to their female counterparts who earned €2,452 during the same period. Despite this disparity, both genders have seen their average gross monthly earnings rise compared to the fourth quarter of 2022, with males at a 6.7% increase and females at a 5.5% increase.
Alongside salary growth, inflation rates have also been a focal point. February witnessed a 1.8% inflation rate increase over the same month in the previous year. The Cyprus Consumer Price Index (CPI) ascended by 1.03 points to 114.93 from 113.90 in January. This marks a 0.9% rise from January and a 1.75% increase for the January-February period compared to last year.
Notably, the inflation rate has been on a downward trajectory over the past eighteen months, following an all-time high in July 2022 when it spiked to 10.86%. This deceleration in inflation could be another sign of economic stabilization for Cyprus.
The recent Cystat report paints a picture of an economy on the mend, with positive trends in earnings and a gradual easing of inflationary pressures. As Cyprus navigates through these economic currents, the latest data offers some solace to its residents grappling with the cost of living hikes.
