Despite the disruption caused by the Covid-19 pandemic the Real Estate and Construction sector in Cyprus contributed 17% to the country’s Gross Value Added during 2020.
And this despite the additional disruption later in the year by the Cyprus Investment Programme (CIP) termination as of November 2020.
This is what PwC’s Cyprus Real Estate Market – Year in Review 2020 which was released over the weekend shows.
“The construction sector’s contribution to GVA output dropped marginally (1%) during 2020, highlighting the resilience of the sector and its importance to the overall economy,” the report also said.
The publication provides insights about the behaviour of the Cyprus economy in general and presents key real estate market developments, focusing on the performance of the sector during 2020.
Cyprus exhibited strong economic growth for the fifth year in a row in 2019 (+3,2%), the report noted.
However, following the global outbreak of Covid-19, real GDP has contracted in 2020 but an anticipated partial recovery in 2021 will be largely dependent on the course of the country’s vaccination plan, it added.
The introduction of temporary Government measures to protect employment, decelerated the country’s increasing unemployment rate, it also said.
According to IMF, unemployment rate is forecasted to reach 8% during the whole year of 2020, compared to 8,9% being the Euro Area average.