Economic sentiment in Cyprus improved in July after three consecutive months of decline

Markets:

Eurobank’s net income in 2Q25 stood at EUR 376,4mn compared to EUR 314,1mn in 1Q25. 1H25 net profit stood at EUR 690,5mn versus EUR 721,3mn in 1H24. The Bank’s NPE ratio was 2.8% and NPE coverage ratio at 92.8%. Total Capital ratio and CET1 ratio stood at 19.8% and 15.5% respectively.
Source: athexgroup.gr

Alpha Bank reported 2Q25 profit of EUR 294mn compared to EUR 223mn in 1Q25. 1H25 net profit stood at EUR 517mn versus EUR 322mn in 1H24. The Bank’s NPE ratio was 3.5%. Total Capital ratio and CET1 ratio (fully loaded) stood at 21.2% and 15.7% respectively.
Source: athexgroup.gr
Optima Bank’s profit after tax 1H25 stood at EUR 81,1mn compared to EUR 69mn in 1H24. The Bank’s NPE ratio was 1.5%. Total Capital ratio and CET1 ratio stood at 16.40% and 13.25% respectively.
Source: athexgroup.gr

Macro/Political

In July 2025, economic sentiment in Cyprus improved, as the Economic Sentiment Indicator (ESI) rose by 1.3 points (m-o-m) to 105.5, after three consecutive monthly declines. This increase was driven by stronger business confidence across all sectors, particularly in construction.
Source: ucy.ca.cy