Cyprus-Forum.com

[Paphitis]

Turkey has already gone to the IMF, disproving all that hot air about being insulated from the crisis. Foreign investment is shrinking and its ability to carry the TRNC burden is diminishing.

45 years or predicting doom and gloom, surely you must realize how stupid you sound the world is in crisis not just Turkey. What do you think will happen when all those drunken louts do not visit the sess pit Ayia Napa?

Peace and quiet at last!

Thats true but think of the impact on your economy...

Less than 7% of our GDP is derived from tourism. So the impact would not be all that great, as we have a very diversified economy these days.

In fact, Cyprus is quite affluent and well to do. It is comparable to many other developed western economies around the world. The standard of living in Cyprus is comparable to that of Australia, which is probably the richest country in the world as far as natural resources are concerned. Not bad at all for a tiny little country.

But I am sure the "trnc" is also doing quite well.

Under the headline banner “350 million dollars are wanted”, the Turkish Cypriot daily Afrika newspaper reports that a group of Turkish Cypriot businessmen have met with the “ambassador” of Turkey in the occupied part of Nicosia, Turkekul Kurttekin, after “they were not able to make the Turkish State Minister Cemil Cicek realise the situation they are in”.

Officials from the Turkish Cypriot "Chamber of Commerce" informed Mr Kurttekin about their problems, claiming that $350million was urgently needed for Turkish Cypriots to overcome the economic crisis. They also claimed that the price they would pay would be "very high" in case this money was not secured.

The officials argued that the money is necessary for the rearrangement of the debts of the private sector and for financing businesses. They demanded $350million as credit which they insist they will pay back.

The group of Turkish Cypriot businessmen proposed that the money could be distributed through banks with an independent institution carrying out the audit work.

Mr Kurttekin promised to convey the demands to Ankara, but said time is needed before they are met.

Last week, the leader of the Turkish Cypriot administration Ferdi Sabit Soyer continued his contacts with the Turkish Minister "responsible for Cyprus", Cemil Cicek on the issue of Turkey’s financial aid to the breakaway regime.

A source in the Turkish Cypriot “government” has described the enclave's financial situation as “very desperate".

According to reports, Ankara is refusing to transfer more money to the occupied areas, after keeping it afloat for over 30 years.
- Copyright © Famagusta Gazette 2008

[Tim Drayton]

Turkey has already gone to the IMF, disproving all that hot air about being insulated from the crisis. Foreign investment is shrinking and its ability to carry the TRNC burden is diminishing.

45 years or predicting doom and gloom, surely you must realize how stupid you sound the world is in crisis not just Turkey. What do you think will happen when all those drunken louts do not visit the sess pit Ayia Napa?

Peace and quiet at last!

Thats true but think of the impact on your economy...

A few years ago, the Cyprus Tourism Organisation apparently conducted a survey into the economic benefits of "yob tourism" in Agia Napa and concluded that there were none. This kind of tourist spends relatively little, and not enough to cover extra costs that they create such as additional policing, repairing damage and emergency health care. For example, in the summer Agia Napa hospital pumps the stomachs of a vast number of drunks ever night, and the bill for this is not negligible.
Cyprus needs quality tourists not drunken louts.

[askimwos]

Paphitis is right when saying that the impact that tourism nowadays has on the economy is nowhere near to that of 10-20 years ago. However, if you couple that with the impact that the UK credit cruch has on the construction industry then you have a significant portion of the ROC economy experiencing a slowdown of GDP growth. According to Cypriot economists the annual GDP growth projected for 2009 has been recentry revised to 3.0% from a previously projected 3.7%. Ofcource a 3% growth in the middle of a serious global economic recession is like an oasis in the desert as Vgenopoulos, Marfin Group CEO, described it last week. At the same time none of the major Commesrial Banks of Cyprus is currently experiencing any cash problems as those seen abroad thanks to the Central Bank's strict regulation policies over the last 10 years.
Come down to the real economy (everyday life) and you will realise that the impact of this recession has already started to be felt by the everyday people. Inflation has been well above 4% for the last 9 months or so and prices of common goods like bread, milk etc have risen by more than 20% in 2008. At least petrol prices at the pump are now 30% compared to last August.

[Paphitis]

Paphitis is right when saying that the impact that tourism nowadays has on the economy is nowhere near to that of 10-20 years ago. However, if you couple that with the impact that the UK credit cruch has on the construction industry then you have a significant portion of the ROC economy experiencing a slowdown of GDP growth. According to Cypriot economists the annual GDP growth projected for 2009 has been recentry revised to 3.0% from a previously projected 3.7%. Ofcource a 3% growth in the middle of a serious global economic recession is like an oasis in the desert as Vgenopoulos, Marfin Group CEO, described it last week. At the same time none of the major Commesrial Banks of Cyprus is currently experiencing any cash problems as those seen abroad thanks to the Central Bank's strict regulation policies over the last 10 years.
Come down to the real economy (everyday life) and you will realise that the impact of this recession has already started to be felt by the everyday people. Inflation has been well above 4% for the last 9 months or so and prices of common goods like bread, milk etc have risen by more than 20% in 2008. At least petrol prices at the pump are now 30% compared to last August.

Cyprus is still expecting growth of 3.0% in this economic environment? That is absolutely amazing! Most developed western economies are expecting either a recession, or growth between 0 and 1.0%.

Cyprus sure as hell packs one hell of a punch!

[DT.]

Paphitis is right when saying that the impact that tourism nowadays has on the economy is nowhere near to that of 10-20 years ago. However, if you couple that with the impact that the UK credit cruch has on the construction industry then you have a significant portion of the ROC economy experiencing a slowdown of GDP growth. According to Cypriot economists the annual GDP growth projected for 2009 has been recentry revised to 3.0% from a previously projected 3.7%. Ofcource a 3% growth in the middle of a serious global economic recession is like an oasis in the desert as Vgenopoulos, Marfin Group CEO, described it last week. At the same time none of the major Commesrial Banks of Cyprus is currently experiencing any cash problems as those seen abroad thanks to the Central Bank's strict regulation policies over the last 10 years.
Come down to the real economy (everyday life) and you will realise that the impact of this recession has already started to be felt by the everyday people. Inflation has been well above 4% for the last 9 months or so and prices of common goods like bread, milk etc have risen by more than 20% in 2008. At least petrol prices at the pump are now 30% compared to last August.

Cyprus is still expecting growth of 3.0% in this economic environment? That is absolutely amazing! Most developed western economies are expecting either a recession, or growth between 0 and 1.0%.

Cyprus sure as hell packs one hell of a punch!

It'll be our worst performing year ever

[Nikitas]

"Inflation has been well above 4% for the last 9 months or so and prices of common goods like bread, milk etc have risen by more than 20% in 2008"

Total nonsense! Inflation is reported monthly but the figureis the calculate ANNUAL RATE! So inflation has been running at 4 per cent in the last nine months, meaning it is stable at 4 per cent annually!

[askimwos]

"Inflation has been well above 4% for the last 9 months or so and prices of common goods like bread, milk etc have risen by more than 20% in 2008"

Total nonsense! Inflation is reported monthly but the figureis the calculate ANNUAL RATE! So inflation has been running at 4 per cent in the last nine months, meaning it is stable at 4 per cent annually!

I know that inflation figures are reported on a year to year basis, I do not think that I have said something different. The EU inflation target is 2%, surely inflation figures at 4% or above (5.6% last July) are not healthy, don't you agree?

[turkkan]

But I am sure the "trnc" is also doing quite well

Yet oddly enough, every family has at least two cars, most kids are sent to uni, most people have some form of job, lavish weddings are held, and life seems to be continuing as normal for the past 30 years. How exactly are we suffering?

[Viewpoint]

The Turkish army has given you your own state and you have prospered yet you still complain and want more, how greedy you people are. Keep all your growth and wealth, we even contribute as we shop in the GC south, all we ask is that you leave us alone to get on with our lives, the TRNC is 1000 times better than living in your economic heaven that's how strongly we do not want to live in a GC state just as another minority.

[Get Real!]

The Turkish army has given you your own state and you have prospered yet you still complain and want more, how greedy you people are. Keep all your growth and wealth, we even contribute as we shop in the GC south, all we ask is that you leave us alone to get on with our lives, the TRNC is 1000 times better than living in your economic heaven that's how strongly we do not want to live in a GC state just as another minority.

We are so grateful that the National Guard would like to reciprocate by giving you your own state too somewhere in Turkey but can you swim to get there?