FAMAGUSTA GAZETTE – The International Monetary Fund (IMF) has revised its forecast for Cyprus’ economic growth in 2025, projecting a rate of 2.5% of GDP, down from its previous estimate of 3.1%.
The downgrade reflects a global slowdown caused by sharp tariff increases and the uncertainty they bring, according to the IMF’s April World Economic Outlook.
Inflation in Cyprus is now expected to remain at 2.3% in 2025, slightly higher than the initial estimate of 2%.
Meanwhile, unemployment is forecast to drop further to 4.8%, an improvement from the 5.1% projection made last October.