ECONOMY OF CYPRUS
The Cyprian economy is small, diversified, and prosperous.
contributes 16.5% to GDP and employs 29% of the labor force, while the
service sector contributes 62% to GDP and employs 57% of the labor force.
Rapid growth in exports of agricultural and manufactured products and in
tourism have played important roles in the average 6.8% rise in GDP between
1986 and 1990. This progress was temporarily checked in 1991, because of the
adverse effects of the Gulf War on tourism. Nevertheless in mid-1991, the
World Bank "graduated" Cyprus off its list of developing countries.
In the '70s, the economy was basically agricultural, with fruits and
vegetables, the chief exports. Farming is highly mechanized, and
irrigation is widely used. Although Cyprus has been known since
prehistoric times for its minerals - copper(which was named after the
island's name-cuprum is the latinic word for copper), iron,
pyrites, chrome and asbestos once made up more than a third of all exports -
mining is no
longer economically important.
After the Turkish invasion of 1974, the growth of the construction
industry is observed. Textile manufacturing and other light industries
have expanded rapidly in recent times in the free part of the island and
world wide recognized as Republic of Cyprus. Cyprus has become also a
banking, telecommunications and trade center for international
corporations dealing with Middle East. Tourism, a major source of foreign
exchange throughout the island, has returned to normal and increases rapidly.
GDP - US$7.2 billion (1993)
GNP - US$7.4 billion (1993)
National Product Real Growth Rate - 6.5% (1992)
National Product per capita - US$12,233 (1993)
INFLATION RATE (CPI- Consumer Price Index)
Labor Force - 300,000 (1993)
Organized Labor - 80% of the total
Expenditures - US$2.4 billion (1993)
Imports - US$2.9 billion (1993)
Exports - US$979.5 million (1993)
External Debt - US$1.4 billion (1993)
citrus, potatoes, grapes, wine, cement, clothing and shoes
UK 23%, Greece 13%, Libanon 10%, Germany 5%
Consumer goods, petroleum and lubricants, food and feed grains, machinery
UK 13%, Japan 12%, Italy 10%, Germany 9.1%
Growth rate - 0.4% (1991); accounts for 16.5% of GDP
Actual - US$924 million (1993)
620,000 kW capacity; 1,770 million kWh produced, 2,530 kWh per capita (1991)
food, beverages, textiles, chemicals, metal products, tourism, wood products
Contributes 6% to GDP and employs 14% of labor force in the south; major
crops - potatoes, vegetables, barley, grapes, olives, citrus fruits;
vegetables and fruit provide 25% of export revenues
Actual - US$15 million (1993)
Exchange Rate [US dollars to Cyprus pounds] - US$2.27 (April, 1995)
1 Cypriot pound = 100 cents;aprox. equals to 2.2 U.S dollars.
FOREIGN ECONOMIC AID
1993 - US$15 from US
1994 - US$15 from US
1995 - US$15 from US
Well noted in the Cyprus Economy are the high educational standard of the
labor force, the labor shortages filled up by foreign workers (5% in 1993
of the gainfully employed), adn Europe absorbs about 57% of exports.
RETURN TO THE CYPRUS ACCESS PANEL