Household debt in Cyprus was 81% of GDP in June

Household debt stood at EUR 20.1 billion at the end of June 2022, with the relevant debt ratio standing at 81% of GDP, a slight decrease compared to the previous quarter due to GDP growth. In comparison to December 2016, the household debt ratio has decreased significantly, reaching 35%.

According to the Central Bank of Cyprus's (CBC) publication "Quarterly Financial Accounts" for the reference quarter ending June 2022, household financial assets totaled EUR 58.5 billion at the end of June 2022, with 62% being cash, deposits, and loans, 2% being debt securities, 19% being shares, and 17% being other financial assets.

Non-financial companies' corresponding assets totaled EUR 66 billion, with 17% in cash and deposits, 4% in loans, 1% in debt securities, 47% in shares, and 31% in other financial assets.

The sector's debt at the end of June 2022 was EUR 40.1 billion, with a debt ratio of 161% of GDP, a slight decrease from the previous quarter due to GDP growth. In comparison to December 2016, the debt ratio of non-financial companies has decreased by 51%.

Insurance firms, investment firms, and pension funds

The assets of insurance companies in terms of purely financial instruments totaled EUR 4.1 billion and were distributed as follows: 12% in cash and deposits, 3% in loans, 24% in debt securities, 48% in shares, and 13% in other financial assets.

Investment funds, on the other hand, have EUR 8.1 billion in financial instruments assets invested, with 5% in cash and deposits, 13% in loans and securities, 80% in shares, and 2% in other financial assets.

The pension funds' investments in financial instruments totaled EUR 3.9 billion, with cash and deposits accounting for 25%, loans accounting for 16%, debt securities accounting for 2%, shares accounting for 44%, and other financial assets accounting for 13%.