An increasingly number of Cypriots are shifting their opinion about the prospect of introduction of the euro as legal tender from January 2008, according to a Central Bank study conducted by Cyprus College, with three out of four saying they are interested to learn more about the effects of replacing the pound with the euro, while the majority still fear that retailers will use the opportunity to hike prices.
In contrast to the results of a December 2005 survey that Cyprus College conducted –which found that most Cypriots believed the euro would affect them negatively and opposed the replacement of the national currency – the latest study revealed a more positive perception of the euro.
About 31% of those polled felt the change to the euro would benefit businesses and the economy a great deal, 33% felt the change would benefit them a little, and 17% that it would not benefit them. The other 20% responded that they did not know.
Compared to the December study, there has also been a reduction in the number of people who would like to see the adoption of the euro postponed until after January 1, 2008.
The study, undertaken by Cyprus College, took place in the second half of June, shortly after the official opening of an informational campaign on the adoption of the euro. The largest percentage of those who felt uninformed about the Euro was among rural residents, women, the elderly and manual labourers. Only about a third of the population knew – mostly as a result of newspaper and television coverage – that an official informational CYP 1 mln campaign on the euro was under way. Running for two years, the media campaign is designed to convince Cypriots that their concerns over the adoption of the euro are misconceived.
Central Bank Governor Christodoulos Christodoulou said that the study demonstrates the “need to intensify the [informational] campaign” on the euro.
The greatest concern voiced in the latest study was that retailers would exploit the transition from pound to euro and that prices would be hiked. Half of all those surveyed wanted increased media focus on how the public could defend itself from such cases of profiteering.
Television, printed media and radio were voted as the preferred mediums by which the government could convey euro-related information to the public, while lectures, call centres and internet sites ranked low among participants.
The study consisted of personal home interviews of 800 people aged 18 to 65 from June 15 to July 2.
