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President Nikos Christodoulides is expected to announce a new package of economic support measures Thursday aimed at helping businesses and households feeling the financial ripple effects of the war in the Middle East, as rising energy costs and prices continue to weigh on the island’s economy.
Speaking Wednesday after the student parade in Nicosia marking Greece’s March 25 independence anniversary, the president said he would address the public with what he described as “specific and highly targeted measures” designed to support multiple sectors affected by the ongoing regional instability.
The announcements come as Cyprus, heavily dependent on imported energy and tourism, faces growing concerns over higher fuel prices, increased operating costs for businesses and broader inflation pressures linked to geopolitical tensions.
Christodoulides said the government is able to introduce new support because of what he called responsible fiscal management in recent years.
“We already have measures worth more than €100 million in place,” he said, adding that Cyprus’ current financial stability allows the government to act quickly. He suggested the country would be in a far weaker position today had public finances resembled the conditions during the economic crisis of 2012–2013.
According to the president, the upcoming package will cover all sectors impacted by the situation, though details are expected during Thursday’s official announcement.
He also signaled that the government is preparing backup plans, leaving the door open for additional measures depending on how the conflict and its economic consequences evolve.
“We have worked out further scenarios and additional measures,” he said, noting that more announcements could follow if conditions worsen.
Asked whether the tourism industry, a cornerstone of Cyprus’ economy, would be included, Christodoulides confirmed that support would extend to every affected sector.
The move reflects growing concern across Europe that instability in the Middle East could prolong energy volatility and slow economic activity, particularly in smaller economies like Cyprus that are sensitive to external shocks.
More details, including the scale and duration of the measures, are expected once the president formally addresses the nation later Thursday.
