CYPRUS Green Line spending shrinks in 2012

**Both Greek and Turkish Cypriots spending less**

Card spending over the Green Line has shrunk in both directions so far this year, according to analysis of data provided by JCC Payment Systems.
Cumulative card spending by Turkish Cypriots (defined as Turkish credit cards) dropped by 1.6% in January-August to EUR 11.34 mln, from EUR 11.53 mln in January-August 2011.
The main drop was in spending on clothing (down 8.7% year on year) and department stores (down 8.3%).
However, spending on DIY increase by 9.2% in the same period.
Card spending by Greek Cypriots (defined as use of local credit cards in occupied areas) dropped even further, by 6% in January-August to EUR 3.36 mln, from EUR 3.58 mln in the same period of 2011.
The biggest drop here was recorded in spending on casinos (down 39%).
Spending in Turkey also fell slightly in the first eight months of the year, by 0.9% to EUR 3.30 mln.
Despite lack of diplomatic relations with Turkey, Greek Cypriots have spent almost as much money in Turkey this year as they have in northern Cyprus.
Fiona Mullen
www.sapientaeconomics.com