Trade unions and social organisations in Cyprus have called on President Nicos Christodoulides to implement a comprehensive package of measures to address the rising cost of living.
In a memorandum sent to the president on Wednesday, 13 organisations outlined proposals to support workers and vulnerable groups.
The unions acknowledged a reduction in inflation for 2024 compared to 2023 but emphasised ongoing economic pressures. “Even though inflation in 2024 compared to 2023 is reduced, and without overlooking the measures that you have announced from time to time, it remains a fact that the high cost of living, the increased cost of living, the high interest rates, and the increased cost of rent and home ownership have created a particularly stressful environment for households”, the memorandum stated.
The organisations highlighted that the general price level has risen by 14.9% over the past three years, with housing-related costs increasing by 28.3% and electricity prices surging by 48.9%. They also noted that Cyprus continues to have some of the highest lending interest rates in Europe.
Proposed measures include reintroducing graduated electricity subsidies, reducing fuel prices through subsidies or tax cuts, and implementing a zero VAT rate on essential goods. The unions also called for taxation of unexpected bank profits and the creation of a fund to subsidise residential and student loans.
The memorandum emphasised the need to protect workers’ purchasing power and reduce economic inequalities.
The organisations requested a meeting with President Christodoulides to discuss their suggestions for “comprehensive and effective support of society”.
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