Cypriot broadcasters are calling on their country to take measures to boost the economy ahead of another recession, and are warning that another bout of contagion could leave the island unable to recover from its worst recession in living memory.
The country has already suffered two recessions in the last decade and its economy is projected to shrink by 5.3% this year and 5.7% in 2018.
“We need to get our heads around this.
It’s not the case that we are completely unprepared,” Cyprus TV host Orestis Tymos was quoted as saying by Reuters news agency.”
I’m talking about measures that we need to take now, because the risk is so great that there will be another crisis.
It’s not just that there are a lot of people out there who are not prepared for it, it’s that they are not doing anything,” he added.
The comments from the former chairman of the Cypriots broadcasting regulator, Orestes Tymios, came after the head of the broadcasting authority warned the government not to panic about the economic risks.
Cyprus’s government on Wednesday released a long-awaited economic forecast, which included a forecast of a sharp fall in inflation, but also a boost in GDP growth, amid fears that the island will suffer another downturn.
“It is the first time in our history that we have experienced such a rapid economic recovery,” Prime Minister Nicos Anastasiades said.
The Cypriotes government said that it would take a further $4 billion of cuts from public services, but warned that those cuts could come as a result of the government’s austerity measures and the introduction of a new labour law, which the Cyprinics government said would boost job creation.
“If you don’t have a solution to these problems, the country is going to face another recession,” Anastasis said.
Anastasiads said he was committed to the economy, and promised to continue to work to get Cyprus back on track.
The island has been in recession for the past decade, as the country’s economy has shrunk by nearly 20% since 2008, and many businesses have closed down.