Risks remain but projections over Cypriot economy are improved

Risks remain but projections over Cypriot economy are improved

During a panel discussion, titled “Medium term outlook, growth sustainability and financial Stability”, on Wednesday, speakers said that Cyprus’ economic growth is everything but a bubble. However, although it will continue with improved projections up to 2019, as CNA reports, risks have not vanished from the broader picture.

Experts explained that “positive growth rates alone cannot solve structural problems of the economy such as Non-Performing Loans (NPLs), high private and public debt, and unemployment in certain categories”.

Existing risks could, according to specialists, endanger the economy’s positive outlook by “undermining” it; namely, risks can be “the large volume of NPLs, incomplete reforms and return to bad economic practices that have created problems”, CNA reads, that have badly affected the country’s financial status in recent years…/IBNA

Photo: Yorgos Karahalis / REUTERS