Cyprus household debt falls to €20bn as corporate debt reaches €41.7bn

Cyprus household debt stood at €20 billion , equivalent to 53 per cent of gross domestic product (GDP) , at the end of June 2026, while debt among non-financial companies reached €41. 7 billion, or 111 per cent of GDP , according to figures released on Friday by the Central Bank of Cyprus (CBC). The figures show that household indebtedness has fallen by 65 per cent since December 2016, while the debt-to-GDP ratio of non-financial companies has declined by 95 per cent over the same period, pointing to a substantial reduction in borrowing across both sectors. Despite the improvements, corporate debt remained considerably higher than household debt, with non-financial companies carrying liabilities equivalent to more than the value of the country’s annual economic output. The CBC reported that household financial assets totalled €67.

1 billion at the end of June 2026, considerably exceeding their outstanding debt. Cash, deposits and loans accounted for 54 per cent of these assets, while shares represented 25 per cent, other financial assets 17 per cent and debt securities the remaining 4 per cent. The figures provide an overview of the financial position of households, businesses and institutional investors, including insurance companies, investment funds and pension funds. For non-financial companies, financial assets reached €77. 9 billion at the end of June, with shares accounting for the largest portion at 37 per cent. Other financial assets represented 33 per cent of the total, while cash and deposits accounted for 24 per cent, loans for 5 per cent and debt securities for 0. 6 per cent. Meanwhile, the sector’s outstanding debt amounted to €41. 7 billion , with its debt-to-GDP ratio standing at 111 per cent, representing a marginal decrease compared with the previous…