Eurobank backs launch of competitive energy market in Cyprus
Cyprus has entered a new era in its electricity sector with the launch of the competitive electricity market, a development in which Eurobank played a decisive role as the general clearing member.
The market was officially activated on September 15, 2025, with its first trading day held on October 1, 2025.
According to Eurobank, the new market operates as an energy exchange, where producers and suppliers negotiate prices on a half-hourly basis.
The design of the market assigns the Cyprus Stock Exchange (CSE) the role of clearing authority, the market operator as the supervising body, and Eurobank Greece as intermediary between the CSE and market participants, both producers and suppliers.
Eurobank explained that its responsibilities as general clearing member cover the day-ahead market, the balancing market, and ancillary services, in accordance with the electricity market rules and the technical decisions of the CSE.
The bank takes on essential functions for contracted participants, ensuring the safety and integrity of transactions, it explained.
These responsibilities include receiving clearing and settlement results from executed trades, as well as monitoring and fulfilling financial obligations such as daily cash settlements and tax duties.
They also cover managing collateral and covering obligations arising from calculated risk, together with managing credit limits to ensure the smooth execution of orders and trades.
Eurobank said that its “contribution was decisive for the successful activation of the market, demonstrating flexibility, expertise and immediate response in a complex and demanding project.”
The bank further stated that it is the only financial institution or investment services company to have acquired the status of general clearing member in the Cypriot energy market, “thereby strengthening the operational readiness and integrity of the new framework“.
“Cyprus’ competitive electricity market aims to deliver a fully liberalised and competitive system where producers, suppliers, and end consumers freely define the terms of management and compensation for the energy injected into the grid,” the bank said.
Eurobank added that “the successful implementation of the project was based on close and constructive cooperation with all stakeholders in the Cypriot market, and in particular with the Ministry of Energy, Commerce and Industry, the Transmission System Operator of Cyprus, and the Cyprus Stock Exchange”.
The bank highlighted that it has long-standing experience as a general clearing member in stock, derivatives, and energy exchanges in Greece, “consistently holding leading positions in the market”.
Eurobank also pointed out that it has “certified executives with high-level expertise, advanced technological systems, and flexible business models tailored to the needs of its clients”.
It mentioned that its participation in Cyprus’ competitive electricity market “does not involve the formation of energy prices but rather the provision of institutional clearing and settlement services, enhancing transparency, safety, and operational soundness”.
Eurobank stated that it “supports the evolution of the energy market towards a more competitive and sustainable model, with respect for the needs of consumers and businesses”.
“The initiative forms part of the wider strategy of the Eurobank Group in Cyprus,” it added.
“Following the merger of Hellenic Bank and Eurobank Cyprus, the new entity under the Eurobank name has become one of the largest financial organisations in the country, with a strong capital base, an extensive network, and a clear commitment to supporting the Cypriot economy and its energy transition,” the bank concluded.