Cyprus Business Developments: Improved Inflation Expectations, AI Ambitions

Cyprus' business developments included several notable trends and announcements over the past week. The European Central Bank (ECB) released consumer survey data showing that euro area consumers reported slightly improved expectations for inflation and economic growth in July.

The ECB's data revealed that median consumer expectations for inflation over the next 12 months fell to 2.9% from 3% in June, while expectations for inflation over the following three years eased to 2.7% from 2.8%. Consumers' perception of inflation over the previous 12 months also declined slightly, to 3.5% from 3.6%.

Cyprus' artificial intelligence (AI) ambitions were also in focus this week. National AI Taskforce member Orfhlaith Ni Chorcora emphasized that Cyprus should aim to be 'the most agile' rather than the biggest in AI, with citizens and trust at the centre of its ambitions.

Ni Chorcora highlighted the importance of a diverse ecosystem for innovation, including researchers, funders, founders, technology providers, innovation hubs, and exceptional talent, alongside friendly regulation, ease of doing business, and a culture of trust. The Cyprus Treasury's Power BI platform usage data was also released, showing that 537 unique users accessed the platform in nearly five months since its launch.