Nearly two-thirds of Cypriot households are struggling financially as income stagnation collides with rising prices, according to a nationwide consumer behaviour survey released on Wednesday.
The research, conducted by the Cyprus Consumers’ Association and Quality of Life in partnership with CMRC – Cypronetwork Ltd, revealed that 64% of respondents face difficulty managing household expenses, with 2% reporting survival concerns.
When describing their household financial situation, 34% reported “barely managing with our household income,” 21% stated they struggle somewhat, and 7% face significant difficulties. The remaining 34% indicated they live comfortably within their means.
The survey found that 75% of Cypriot households reported unchanged income levels over the past six months, while 15% experienced decreases and 16% saw increases. Simultaneously, 90% of participants observed rising product prices, with only 2% noting price decreases.
The report highlighted the emergence of a three-tiered society emerging, with approximately one-third of households reporting comfortable finances, one-third barely managing, and one-third facing varying degrees of survival challenges.
Consumer spending patterns have shifted in response to economic pressures. Six in ten respondents estimated their household purchases remained stable, while one in five reported increased spending and one in four reduced expenditures for the third consecutive year.
Price increases were most frequently observed in food and essential goods (86%), electricity (73%), clothing and footwear (66%), household equipment (55%), and entertainment (53%). The smallest increases were reported in telephone and television services (31%), education (38%), water (40%), and pharmaceuticals (41%).
Regarding debt, four in ten respondents reported having bank loans, with 60% of these households considering their loan burden substantial. Overall, 30% of surveyed individuals described their families as over-indebted, with 5% believing they cannot repay their loans and 7% doubtful about repayment capacity.
Looking ahead, 60% of respondents expect their financial situation to remain unchanged over the next twelve months, 25% anticipate deterioration, and 20% forecast improvement. Regarding the country’s economic trajectory, 43% expect stability, 35% predict decline, and 16% foresee growth—showing slightly improved optimism compared to previous years.
The survey identified rising prices of goods and services (63%), corruption (56%), and poverty and social inequality (48%) as the most concerning issues facing Cyprus today.
The research also revealed limited consumer rights awareness, with only 7% claiming comprehensive knowledge of their rights. Additionally, more than half of respondents found it difficult to assert their rights as Cypriot citizens.
The survey was based on 1,000 personal and telephone interviews conducted in February 2025, targeting men and women aged 18 and over with representative distribution across districts and residential areas.
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