Cost of living dominates campaign debate
The rising cost of living remains one of the main concerns for voters in Cyprus, with the economy emerging as a key battleground ahead of the 24 May parliamentary elections.
As the countdown to the vote continues, political parties have outlined the economic priorities they plan to push forward on the day after the elections.
DISY focuses on stability
The Democratic Rally party (DISY) says stability and a functional parliament are central priorities.
DISY spokesperson Onoufrios Koullas said the party has already presented 31 priorities for the coming years, stressing that a functioning House of Representatives is necessary to achieve broader economic goals.
AKEL pushes social measures
AKEL is placing emphasis on social policy, housing regulation and reducing indirect taxes on electricity and fuel.
Head of AKEL’s economy sector Charis Polykarpou said the party is also pursuing taxation of excess profits from banks and renewable energy producers in order to strengthen housing policy and support vulnerable groups affected by energy poverty.
He added that AKEL intends to continue discussions on expanding collective labour agreements.
DIKO highlights strong fiscal performance
Democratic Party highlighted the country’s strong fiscal performance, adding that a robust economy enables the implementation of policies that can benefit society.
“The economy is the tool that allows states to implement their policies. Therefore, with a strong economy, we can turn our proposals into tangible policies – whether this means pension reform, housing measures, or reducing electricity prices. Our goal is not only for the numbers to prosper, but for every citizen to feel that prosperity in their home,” said Theodoros Manitaras, spokesperson for Democratic Party.
ELAM targets investment and support measures
ELAM said its goal is to increase the country’s wealth through the attraction of healthy investments, while also ensuring fairer distribution.
“We have already submitted specific proposals addressing the housing problem and energy costs. At the same time, our proposals work in combination with other priority goals, such as tackling low birth rates and placing emphasis on vulnerable groups, single-parent families, large families and low-income pensioners,” said Marios Pelekanos, Head of the Communications Office of ELAM.
At the same time, he noted that ELAM would also place particular emphasis on non-performing loans.
EDEK proposes housing and pension reforms
EDEK has drawn up a plan to tackle the housing crisis, specifically the “General Housing Scheme”.
“The plan is based on cooperation between the state, local authorities and the private sector, through the utilisation of state land, with the aim of quickly supplying the market with affordable homes for purchase and housing with low long-term rent,” explained Giorgos Georgiou, spokesperson for EDEK.
Regarding pension reform, EDEK proposes abolishing the basic pension and introducing a universal social and statutory pension amounting to €1,235.
“This is genuinely an actuarial proposal that is feasible. The social pension would be set at 60% of the average median salary, around €800, and would be paid from the state’s consolidated fund, with an additional minimum statutory pension of €435 from the Social Insurance Fund. A total of €1,235,” he said.
DIPA prioritises affordability
DIPA stresses that economic growth must reach all levels of society, with its proposals focusing on tackling the high cost of living and advancing the state’s digital transformation.
“We must reduce energy costs so businesses can produce their goods more cheaply. We will achieve this through a series of measures, while also reducing VAT on a range of basic essential goods. The second major issue is housing – we must address it at its root so families can more easily secure a home,” said Marinos Kleanthous, vice president of DIPA.
He added that DIPA aims to support the middle class.
“We want to support small and medium-sized businesses, combat favouritism and create a stable economic environment,” Mr Kleanthous concluded.
Greens focus on corruption and electricity costs
Cyprus Green Party supports a mixed economic model, strengthening entrepreneurship with state oversight on competition issues, combined with stronger social policies.
Its key priorities include reducing electricity costs through investments in energy storage, as well as combating corruption.
“Over the past five years, we have lost extremely significant funds amounting to several billion euros. If we manage to stop corruption and vested interests, this will give the state room to implement social policy. At the same time, various tax relief measures or incentives could be introduced to support technology and start-up businesses. In this way, entrepreneurship would be strengthened and the minimum wage could rise to higher levels,” said Stavros Papadouris, president of Green Party.
Mr Papadouris also expressed concern about the expansion of the public sector wage bill, noting that it should be linked to productivity.
On the issue of foreclosures, he said he is awaiting the decision of the Supreme Court of Cyprus regarding the joint proposal submitted by AKEL and Cyprus Green Party on effective access to justice, expressing the view that no constitutional issues arise.
ALMA backs digital reforms
ALMA said the next phase of the economy requires meaningful reforms that citizens can feel in their daily lives.
According to Katerina Paparadamanthous, spokesperson for ALMA, a priority is a state that works faster, with less bureaucracy, digitalisation and the eradication of corruption.
“Also, a priority for ALMA is supporting the real economy by ensuring that small and medium-sized enterprises and young entrepreneurs have access to financing, investment and innovation. Finally, the goal is an economy that reduces the cost of living, with targeted interventions for housing and decent wages,” she concluded.
Direct Democracy proposes family support
Among the initial proposals of Direct Democracy are the following:
- Financial support at birth for each child: specifically €5,000 for the first child, €10,000 for the second, €15,000 for the third and each additional child.
- Increase of the minimum pension to €1,088.
- Opening up the natural gas market and ending monopoly practices in imports.
- Development of 10,000 new affordable housing units.
For the purposes of the report, Sigma TV contacted the seven parliamentary parties, as well as two additional parties that record high percentages in opinion polls.
Constitutional limits on party proposals
Under the Constitution of the Republic of Cyprus, parliament cannot approve party proposals that increase state expenditure, as control of public finances remains with the government.
However, parliament can exert pressure on the executive branch, while also reviewing and approving the state budget, which reflects the priorities of the government in power.
Also read: What parties suggest for tackling corruption
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