Cyprus government posts €653.6 million surplus

Cyprus recorded a general government surplus of €653.6 million in the third quarter of 2025, according to preliminary fiscal results released by the state statistical service (Cystat) on Thursday.

The results cover the period July-September 2025 and show a lower surplus compared with €871.00 million recorded in the same period of 2024.

Cystat reported that total government revenue rose by €104.20 million, representing an increase of 2.6 per cent, to reach €4.10 billion in the third quarter of 2025.

This compares with €3.99 billion in revenue during July-September 2024.

Social contributions increased by €62.50 million, or 5.7 per cent, reaching €1.15 billion, up from €1.09 billion a year earlier.

Revenue from taxes on income and wealth rose by €10.90 million, an increase of 0.8 per cent, amounting to €1.30 billion, compared with €1.29 billion in the third quarter of 2024.

Taxes on production and imports increased by €7.10 million, or 0.6 per cent, to €1.26 billion, from €1.26 billion in the corresponding quarter of 2024.

Within this category, net VAT revenue rose by €40.20 million, reflecting an increase of 4.8 per cent, to €886.40 million, compared with €846.20 million a year earlier.

Property income receivable increased by €3.00 million, or 13.5 per cent, reaching €25.30 million, up from €22.30 million in the third quarter of 2024.

Capital transfers rose by €6.00 million to €10.80 million, compared with €4.80 million in the corresponding period of the previous year.

Revenue from the sale of goods and services increased by €15.10 million, or 6.1 per cent, to €260.90 million, from €245.80 million in the third quarter of 2024.

By contrast, other current transfers declined by €0.40 million, a decrease of 0.5 per cent, to €87.20 million, down from €87.60 million a year earlier.

On the expenditure side, total government spending increased by €321.50 million, representing a rise of 10.3 per cent, to €3.45 billion during July-September 2025.

This compares with €3.12 billion in total expenditure in the same period of 2024.

Social transfers rose by €97.80 million, an increase of 7.9 per cent, to €1.33 billion, compared with €1.24 billion in the third quarter of 2024.

Compensation of employees increased by €50.50 million, or 5.6 per cent, reaching €955.60 million, up from €905.10 million a year earlier.

This figure includes imputed social contributions and pensions of civil servants.

Intermediate consumption increased by €4.50 million, representing a 1.2 per cent rise, to €382.00 million, compared with €377.50 million in the third quarter of 2024.

The capital account recorded a sharp increase of €223.70 million, equivalent to an 84.2 per cent rise, reaching €489.30 million.

This consisted of €321.00 million in capital formation and €168.30 million in capital transfers.

In the corresponding quarter of 2024, the capital account stood at €265.60 million, comprising €226.50 million in capital formation and €39.10 million in capital transfers.

By contrast, property income payable fell by €26.10 million, a decline of 25.7 per cent, to €75.30 million, down from €101.40 million in the third quarter of 2024.

Other current expenditure decreased by €16.10 million, or 8.6 per cent, to €171.20 million, compared with €187.30 million a year earlier.

Subsidies declined by €12.60 million, representing a 25.3 per cent decrease, to €37.30 million, down from €49.90 million in the third quarter of 2024.