University of Cyprus projects lower growth and higher inflation amid Middle East conflict.

Macro/Political:

Tomorrow, Greece will auction 13 Weeks T-Bills with maturity July 31, 2026. The amount to be auctioned is EUR 400mn.
Source: PDMA

National Economy and Finance Ministry said on Monday, that the European Investment Bank, with support from the Invest EU Advisory Hub, will work with the Consignment Deposits and Loans Fund, to strengthen sustainable urban development across Greece. The initiative aims to help municipalities address investment needs related to aging infrastructure, energy efficiency, sustainable mobility, water management and social housing, contributing to more resilient and inclusive cities.
Source: Kathimerini

Macro/Political:

According to the Economic Research Centre of the University of Cyprus, Cyprus’ economic growth is projected to moderate from 3.8% in 2025 to 2.9% in 2026, and 3.1% in 2027. Compared to the January forecast, the growth projection has been revised down by 0.6 and 0.3 percentage points. The weaker growth outlook is primarily reflecting economic headwinds arising from the escalation in the Middle East as captured by the leading indicators. As monthly data most notably for March point weakening demand, particularly external demand for services, heightened business and consumer uncertainty, and rising price pressures, all of which are weighing considerably on the outlook. Inflation is forecast to accelerate markedly, rising from 0.1% in 2025 to 2.7% in 2026, before easing to 1.8% in 2027. Compared with the January issue inflation forecasts for 2026 and 2027 have been revised up 1.9 and 0.4 percentage points, respectively. The upward revision on the inflation outlook resulted mainly from higher international oil prices due to the Middle East conflict, as well as from rapid increases in domestic food prices during the first quarter of 2026.
Source: UCY

Markets:

Bank of Cyprus will announce 1Q26 Financial Results on Monday 11/05/2026.
Source: Euronext Athens

Bank of Cyprus announced that it has proceeded with certain amendments to the final terms of its EUR 650 million Series 2 Floating Rate Covered Bonds (ISIN: XS0718673311), which are secured by residential mortgages. It is important to note that all of the covered bonds are held by the bank.
Source: Euronext Athens