Cyprus-Forum.com

[cyprusgeoff]

Paphos municipality feels the pinch

THE PAPHOS municipality has said that a reduction by 50 per cent in building permit applications will result in a huge drop in annual income.

The fall in demand in the construction industry translates to more than €200,000 in losses for the municipality, it said yesterday.

Local councillor, Panicos Charalambous said these losses were extensive and would be hard to replace.

However, he said that the municipality should cover the deficit by reducing their expenses. Charalambous said that the three other municipalities of the district of Paphos were experiencing similar problems.

In addition, the councillor said that civil wedding ceremonies in Paphos, a main source of income for the municipality, had also seen a decrease by as much as 20 per cent. According to Charalambous, this was equivalent to about €100,000 in revenue.

He also said that losses in income from the overnight stay tax, which used to be collected from hotels would amount to €153,000, but that this would be reimbursed by the government in accordance with the measures taken to help support the tourism industry in Cyprus this year.

Meanwhile, developers in the area have expressed concern because they were suffering huge losses due to a lack of interest currently being shown in the market by foreign investors.

George Mais, the president of the developers association, confirmed that there are a number of completed projects in Paphos, which remain unsold.

Mais added that various projects have also been postponed and work has slowed down on others. Local developers are forecasting that the recovery in this sector won’t be seen before the end of next year.

Mais added that further to the economic crisis, Cyprus has also had to deal with the poor exchange rate between sterling and the euro.

Copyright © Cyprus Mail 2009

What about the boom time years? Didn't they put some money aside for a rainy day?

Or is that too difficult to work out?

Do I feel sad about the current situation of build, build and build until there are hundreds of finished and partly finished properties around the Pafos area? No I do not.

[CBBB]

Paphos municipality feels the pinch

THE PAPHOS municipality has said that a reduction by 50 per cent in building permit applications will result in a huge drop in annual income.

The fall in demand in the construction industry translates to more than €200,000 in losses for the municipality, it said yesterday.

Local councillor, Panicos Charalambous said these losses were extensive and would be hard to replace.

However, he said that the municipality should cover the deficit by reducing their expenses. Charalambous said that the three other municipalities of the district of Paphos were experiencing similar problems.

In addition, the councillor said that civil wedding ceremonies in Paphos, a main source of income for the municipality, had also seen a decrease by as much as 20 per cent. According to Charalambous, this was equivalent to about €100,000 in revenue.

He also said that losses in income from the overnight stay tax, which used to be collected from hotels would amount to €153,000, but that this would be reimbursed by the government in accordance with the measures taken to help support the tourism industry in Cyprus this year.

Meanwhile, developers in the area have expressed concern because they were suffering huge losses due to a lack of interest currently being shown in the market by foreign investors.

George Mais, the president of the developers association, confirmed that there are a number of completed projects in Paphos, which remain unsold.

Mais added that various projects have also been postponed and work has slowed down on others. Local developers are forecasting that the recovery in this sector won’t be seen before the end of next year.

Mais added that further to the economic crisis, Cyprus has also had to deal with the poor exchange rate between sterling and the euro.

Copyright © Cyprus Mail 2009

What about the boom time years? Didn't they put some money aside for a rainy day?

Or is that too difficult to work out?

Do I feel sad about the current situation of build, build and build until there are hundreds of finished and partly finished properties around the Pafos area? No I do not.

It could be worse, instead of being empty, they could be full of whinging Brits!