Gross domestic product reaches 7.87 billion euros

According to the Cyprus statistical office Cystat, the seasonally and working-day adjusted gross domestic product between April and June amounted to 7.87 billion euros, up 0.8 percent compared to the first quarter.

The expansion was driven by wholesale and retail, vehicle repairs, financial services, information and communication and the construction industry, among others.

Construction industry grows fastest

Among the major economic sectors, the construction sector recorded the strongest growth at 5.4 percent. Its economic output reached around 379 million euros.

The information and communication sector grew by 4.5 percent to 931 million euros. Financial and insurance services grew by 3.9 percent to around 634 million euros.

The large collection area of trade, transport, accommodation and gastronomy remained the most significant single contributor to economic output, at around 1.61 billion euros, but grew at a slower pace at 1.4 percent.

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Gross fixed capital formation increased by 17.7% to 1.75 billion euros. Excluding ships and aircraft, however, capital formation fell by 2.0% to 1.48 billion euros. The strong total number is therefore significantly influenced by particularly large and volatile purchases.

The picture is also mixed in foreign trade: exports of goods and services fell by 1.8%, while imports increased by 3.0

Consumption supports the economy

Consumer spending rose by 5.2 percent to 6.08 billion euros. Private households alone increased their spending by 5.4 percent. Government consumption increased by 4.5 percent.

The current figures thus paint a picture of a continued growth of the economy. At the same time, risks remain: higher inflation, rising energy prices and weaker exports could slow down momentum in the coming quarters.