A video circulating on the social media platform X has sparked political controversy in Cyprus

Macro/Political:

• A video circulating on the social media platform X has sparked political controversy in Cyprus, alleging that associates of President Nikos Christodoulides engaged in illicit practices to bypass limits on election campaign spending during the 2023 presidential elections and offered political favours in exchange for cash. The video features former Energy Minister George Lakkotrypis, Charalambos Charalambous, Director of the Office of the President, and Georgios Chrysochos, head of Cyprus’s largest construction group, Cyfield. A significant portion of the conversation focuses on campaign financing and statutory spending limits. In the recording, Lakkotrypis appears to state that because the election funding limit is capped at EUR 1 million, “sometimes they have to depend on cash to be able to go above that budget.” Elsewhere in the video, he is also reported to claim that, at his suggestion, a pharmaceutical company donated EUR 75,000 to the Presidential Palace, allegedly securing the President’s attention. In response, the government rejected the allegations, stating that, based on the initial assessment of the competent state authority, the video is characterized as malicious and the product of editing. According to the government, the video seeks to damage the image of the Government and the country through false and misleading claims and arbitrary conclusions. Following further investigation and evidence already collected by the competent authority, a potential case of hybrid activity against the Republic of Cyprus is being examined. The Attorney General and the Chief of Police have been informed.
  Source: Kathimerini 
• Preliminary data released by CyStat showed that the General Government fiscal balance for the period of January- November 2025 presented a surplus of EUR 1,159.4mn (3.2% of GDP) compared to a surplus of EUR 1,314.3mn (3.8% of GDP) in the same period of 2024. Primary balance recorded a surplus of EUR 1,566.1 mn versus a surplus of EUR 1,722.9 mn in the corresponding period of 2024. During Jan- Nov 2025 total expenditure increased by EUR 903.3 mn (+7.8%) to EUR 12.410,8 mn from EUR 11.507,5 mn in the corresponding period of 2024. Total revenue increased by EUR 748,3 mn (+5.8%) to EUR 13,570.2 mn compared to EUR 12,821.8mn in the same period of 2024. Particularly, in November 2025 the General government fiscal balance presented a surplus of EUR 50.3mn (Primary balance surplus of EUR 98.4mn).
  Source: CyStat

• According to Eurostat, the seasonally adjusted unemployment rate in November 2025 was 4.3% compared to 4.7% in November 2024, and 4.2% in October 2025.
  Source: Eurostat

• Italian energy company Eni said it is in the final stage of deciding whether to proceed with developing a natural gas field off the coast of Cyprus that could supply European markets within two years. The company still needs to finalize several documents before work can begin on extracting gas from the Cronos deposit, Eni COO Guido Brusco told the Associated Press. Cyprus President Nikos Christodoulides told Brusco during their yesterday’s meeting that he expects the deal to be finalized by March 30.
  Source: Kathimerini