Cyprus’ economy expanded 3.3% year-on-year in the second quarter of 2026, matching the preliminary estimate and accelerating from an upwardly revised 3.1% in the previous three-month period, which marked a five-year low. Domestic consumption growth edged up to 5.2% from 5%, supported by household consumption that rose 5.4% from 5%. Government spending growth slowed to 4.5% from 5.2%. Gross fixed capital formation surged to 9.5% from 1.2%, providing an additional boost to economic activity. Imports of goods and services accelerated to 12.9% from 11%, while export growth eased to 9.6% from 13.4%. On a quarterly basis, GDP grew 0.8%, compared with a 0.2% increase in the previous period.