Cyprus sees modest improvement in unemployment in January

Registered unemployment in Cyprus eased slightly in January, according to official data, pointing to a gradual improvement in labour-market conditions despite the seasonal pressures typically seen at the start of the year.

According to a report released on Wednesday by the Statistical Service (Cystat), the number of unemployed persons registered at district labour offices stood at 12,650 at the end of January 2026.

However, on a seasonally adjusted basis, which smooths out short-term fluctuations, unemployment fell to 9,848, from 9,863 in December.

At the same time, compared with January’s last year, registered unemployment declined by 497 persons, or 3.8 per cent, the data show.

This reduction was driven mainly by fewer unemployed in construction, accommodation and food service activities, trade and manufacturing, while a decline was also recorded among new entrants to the labour market.

Looking across sectors, accommodation and food services continued to account for the largest share of registered unemployed, with 4,607 persons recorded in January.

This was followed by wholesale and retail trade with 1,781, transportation and storage with 680, and professional, scientific and technical activities with 842.

In construction, registered unemployment stood at 395, slightly higher than in December but still well below year-earlier levels, reflecting sustained activity in the sector.

Manufacturing unemployment, meanwhile, rose month-on-month to 510, while information and communication reached 413.

Finally, the number of newcomers registering as unemployed fell to 268, down from 385 a year earlier.