Cyprus economic sentiment drops in July

Economic sentiment dropped in July, a publicly funded survey showed, without however factoring in the effect of a massive munitions blast which triggered an energy crisis this month, disrupting business.
The economic sentiment indicator prepared by the University of Cyprus fell 0.9 points month-on-month to 83 points in July. Most of the survey had been concluded by July 8, the University's Economic Research unit said.
The island's exposure to debt-laden Greece and the financial impact of the munitions blast have raised concerns in financial markets that Cyprus might need to follow Greece and other peripheral euro zone countries and seek a bailout.
The decline in economic sentiment in July reflected a deterioration in the outlook among consumers on domestic and national finances and concerns about unemployment over the next 12 months, the university said.
Unemployment rose to 7.4% in May, from 7.2% in April and 6.4% in May 2010, according to Eurostat.