IMF: High Public Sector Salaries in Cyprus, Low Quality of Services
April 14, 2025
The IMF points out that public sector salaries in Cyprus are 27% higher than those in the private sector. Despite the high salaries, the quality of services does not seem to match. Expenditures for public sector salaries account for 12% of GDP, which is considered high compared to other countries. The government aims to slow down the increase in salaries in order to create fiscal space.