President Nikos Christodoulides has said that Cyprus recorded the third-largest reduction in public debt across the European Union, saying the trend reflects responsible economic management and delivers broad benefits to the economy.
In a post on social media platform X, formerly known as Twitter, Mr Christodoulides noted that the annual fall in Cyprus’ public debt ratio remains significant, even though debt levels are already comparatively low.
Η Κύπρος καταγράφει την τρίτη μεγαλύτερη μείωση δημόσιου χρέους στην ΕΕ, με επίπεδο αισθητά χαμηλότερο από τον μέσο όρο τόσο της ΕΕ όσο και της Ευρωζώνης. Λαμβάνοντας υπόψη το γεγονός ότι το χρέος βρίσκεται ήδη σε χαμηλά επίπεδα, είναι ίδιαιτερα σημαντικό ότι η πτωτική του πορεία… pic.twitter.com/KAD1EPmutU
— NikosChristodoulides (@Christodulides) February 3, 2026
Stats
European statistics office Eurostat data show Cyprus’ public debt decreased by 6.1 percentage points in the year to the third quarter of 2025, marking one of the biggest annual reductions among EU member states. The debt-to-GDP ratio stood at about 60.6 per cent at the end of the quarter, down from higher levels in the same period the previous year.
Only Greece and Ireland recorded larger decreases over the same period, according to Eurostat figures.
Government sees broader economic gains
In his statement, Mr Christodoulides said the continued downward trajectory of public debt was a clear indication of economic resilience and careful fiscal planning.
He wrote that achieving a debt ratio below 60 per cent of GDP a year ahead of target “translates into shielding the economy, greater credibility internationally, lower borrowing costs, more fiscal space to support the middle class, investment in health, education, housing and the welfare state.”
The president described the trend as reinforcing Cyprus’ position within the EU and enhancing the country’s fiscal credibility.