TÜRKIYE
The CBRT continues its long way to policy normalization, raising its key rate by another 250 bps to 17.5% (up 900 bps cumulatively since June)
The CBRT’s cautious approach to monetary policy tightening is dictated, inter alia, by the private sector’s high indebtedness
CYPRUS
Albeit moderating, due to strong headwinds -- especially rising interest rates -- GDP growth in Cyprus should remain resilient in FY:23, at 3.2%, continuing to outperform the euro area average
The Cypriot tourism sector continues its recovery towards pre-pandemic levels
The continuation of some big infrastructure projects, together with strong RRF-backed investment in non-construction projects, should compensate for softer private consumption in the period ahead
APPENDIX:
DETAILED MACROECONOMIC DATA
REGIONAL SNAPSHOT: MACROECONOMIC INDICATORS & FINANCIAL MARKETS