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Study shows 5% of Cypriot households barely scraping by

04 June, 2014

About one in ten households in the government-controlled areas of the Republic of Cyprus has had an income reduction of up to 50%, while 5% say they are barely scraping by, according to a study carried out by the Cyprus Consumers` Union and Quality of Life.

The Union notes that 8% of households had a reduction of 30% to 41%, 10% a reduction of 41% to 50%, and 10% a reduction of over 50% of their income.
At a press conference in Nicosia, President of the Union Lucas Aristodemou said that it appears that low income and unemployed persons were mostly affected by the crisis, and noted that the Union was discussing the issue with the government in an effort to protect those in need.

The study was carried out between February 17 and March 7, 2014, by Cypronetwork Marketing Research Ltd (CMR), covering urban and rural areas across the island, with a sample of 1,000 men and women over 18 years old.
Koulia Alexandrou, representing CMR, said the total income of 73% of Cypriots had dropped during the past year, for 26% it had remained the same, and for just 1% it had increased.
Presenting the results of the study, Alexandrou said persons in lower social classes and those aged 45 years and over had suffered the biggest blow.

Furthermore, four out of ten households had an unemployed person at home. Specifically, 26% had one unemployed person, 9% had two, and 3% had three or more.
`The drop in the income of the Cypriot households reflects their current situation, with 32% saying that they are barely making ends meet with their income, 26% are facing difficulties with their income, 20% are facing many difficulties, and 5% are facing survival issues. Those who say they are managing quite well with the income of their household are 16%`, Alexandrou said.
The study furthermore indicated that spending of household equipment had dropped by 58% and on fun and entertainment by 57%.

Households were also cutting back on purchases of electronics by 52%, clothing by 52%, and travelling by 50%, and were also economising on electricity by 27%, telephony and television 16%, water 14%, medicines 8%, essential goods 7%, and education 4%. Only 29% of consumers had not cut back on spending.
Regarding the prices of goods, 52% said prices had gone up, 35% said they had remained the same, and 11% said they had gone down.