Cyprus Turkish business chambers report economic challenges

The Cyprus Turkish Chamber of Industry (KTSO) held its 40th Ordinary General Assembly, where members approved the organization’s activity and financial reports. During the assembly, leadership emphasized future priorities including managing energy costs, establishing special industrial zones, improving access to finance, and strengthening local production and exports. General Secretary Erçin Tekakpınar noted that industrialists are currently struggling under difficult economic conditions.

Simultaneously, the Cyprus Turkish Chamber of Tradesmen and Craftsmen (KTEZO) issued a warning regarding the state of the economy, stating that indicators suggest the country is in an ‘alarm’ phase. KTEZO contested official government claims regarding the number of new businesses opened over the last three years. While government figures suggested approximately 10,000 new workplaces, KTEZO data indicates only about 3,035 new tradesmen and craftsmen businesses were opened, a figure that might reach 3,500 when including informal businesses.

KTEZO reported that the number of business closures has exceeded the number of new openings. The organization highlighted that production-based businesses are declining, noting minimal new entries in sectors such as metalwork and furniture. The chamber cited inflation, the high cost of living, and contractions in the construction and tourism sectors as primary drivers of the current economic instability.