Cypriot bond yields fell sharply after Standard and Poor’s rating agency upgraded the island’s sovereign bond to investment grade, more than six years after it had been downgraded into ‘junk’ territory.

Cyprus and Egypt are reportedly poised – perhaps even this week – to conclude an interstate gas export-import agreement.

The Central Bank of Cyprus said that following the upgrade of Cyprus’ sovereign credit rating to BBB- by Standard and Poor’s, Cypriot government securities have become again admissible for financial transactions in the Eurosystem.

Tourist arrivals reached a record high this August and in the first eight months of 2018, data released by the Cyprus Statistical Service recently show.

The upgrade of Cyprus’ sovereign rating back to investment grade by Standard & Poor’s after rating it junk for more than six years justifies the efforts of the past five years, the government said recently.

Non-performing loans in the Cypriot banking system rose by €13.9m in May 2018, to €19.9m, compared with April, mainly on households failing payments, the Central Bank said recently.

Hellenic Bank said it has agreed with the Finance Ministry to transfer another 4,559 overdraft accounts from the Co-op with a €21m balance and a limit of up to approximately €25m in an amendment of the agreement to acquire its operations signed on June 25, 2018.

There are 28 foreign banks operating in Cyprus.

Cyprus’ trade deficit shrank by 6.5% in the first seven months, to €2.4bn, mainly on a strong increase in exports which outstripped imports, the statistical service said.

A bill which will regulate the uncontrolled online rental of short-term accommodation moved a step closer to a vote in the plenary after recent discussion in the House Commerce Committee.