Growth forecast to be revised slightly downwards, Keravnos says

07:34 - 24 April 2025

Economy Reporter

Minister of Finance Makis Keravnos has said that in the coming period, the Ministry of Finance is expected to revise slightly downwards the forecast for growth rate for the Medium-Term Fiscal Plan of Cyprus.

Invited to comment on the IMF's new estimates for a lower growth rate in Cyprus in 2025, projecting a rate of 2.5% in 2025 instead of 3.1% as were the October estimates and the Ministry's forecast in this year's budget, the Minister told CNA that "we are living in a period of great uncertainties and a volatile economic environment."

"Everyone is evaluating the data and, due to the uncertainty that exists regarding developments, it is logical to have a downward estimate for various economic data both at the global level and at the European level and in the international financial markets."

In this context he included the IMF’s estimate of a lower growth rate for the Cypriot economy in the April forecasts, noting, however, that “the IMF always has more conservative calculations.”

Keravnos added, however, that “for the next period of the Medium-Term Fiscal Plan, our forecasts will have a marginally lower growth rate.”

Asked whether the lower growth rate is expected to affect this year’s budget and fiscal data, he said that, with the data so far, “our budget is being implemented normally” and the developments regarding the growth rate of the economy and inflation “satisfy us.

That is why, he pointed out, we have the fiscal surpluses to face any crises, in addition to the social policy we are implementing.”

(Source: CNA)

Growth forecast to be revised slightly downwards, Keravnos says

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