FAMAGUSTA GAZETTE – Public sector wages in Cyprus have increased significantly this year, while debt levels continue to climb and youth unemployment remains a pressing concern, according to local media reports.
The daily Alithia reported that the government spent €1.91 billion on public sector salaries by the end of July, up from €1.78 billion during the same period in 2024—a 7% increase.
The rise reflects higher wages for both active public employees and retirees.
In a separate report, Alithia cited data from the Central Bank of Cyprus showing that total bank debt rose by €74.9 million in July, reaching €26.5 billion. Deposits, meanwhile, declined to €56.6 billion.
The newspaper also highlighted growing economic disparity, noting that thousands of workers earn wages near the poverty line.
Meanwhile, Haravgi reported that 22,663 people are currently registered as unemployed in Cyprus. Among them, 14,015 young people aged 15 to 29 are classified as NEETs—neither in employment nor education.
The figures underscore mounting socioeconomic pressures as the country grapples with inflation, stagnant wages in the private sector, and limited job opportunities for young adults.