Cyprus recession moderates in Q3

Cyprus remained stuck in recession in the third quarter but recorded its mildest slump this year according to the Statistical Service’s flash estimate based on partial data.
In July-September real GDP contracted in seasonally adjusted terms by 0.5% compared with the previous quarter, having dropped by 0.9% in the second quarter and 0.6% in the first.
Cyprus has now recorded five straight quarters of quarter on quarter decline.
The milder slump is thanks to tourism and legal and accounting services, which according to the Statistical Service recorded growth in this period.
Tourism arrivals rose over the year earlier by 4.1% in January-October while the legal and accounting professions appear to have benefited from a shift of business from Greece to Cyprus.
By contrast, a whole range of sectors recorded a decline: construction, manufacturing, retail and wholesale trade, transport, public administration and recreational and cultural activities.
Compared with the same period of the previous year real GDP declined in seasonally adjusted terms by 2.3%, after a fall of 2.5% in the second quarter and 1.7% in the third quarter.
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