IMF updates growth and debt projections for Cyprus

The International Monetary Fund (IMF) released its latest Fiscal Monitor and World Economic Outlook reports. Regarding public debt, the IMF projects a reduction to 50.9% of GDP in 2024, down from its previous October estimate of 53.7%. Forecasts indicate further declines to 46.6% by 2027, compared to the earlier estimate of 48.7%, eventually reaching 32.1% by 2031. Concurrently, the IMF anticipates lower fiscal surpluses for the country. In terms of economic growth, the IMF projects a 3% growth rate for the Cypriot economy in 2026. This figure follows an expected growth of 3.8% in 2025. These updated 2026 projections represent an upward revision from the previous October 2025 forecast of 2.8%.