Dialogos

Drought Poses the Greatest Risk to Cypriot Economy, Estimates SOAC

Published February 9, 2026, 12:02
Drought Poses the Greatest Risk to Cypriot Economy, Estimates SOAC

Prolonged drought and water scarcity have been identified as the most significant risk to the Cypriot economy, according to research by the Council for Economic Competitiveness of Cyprus (SOAC). The research, conducted for the fourth consecutive year, showed that the main risks are drought, cyberattacks, worsening climate conditions, a shortage of skilled personnel and the failure of digital transformation. The risks were grouped into four categories: geopolitical security, institutional resilience, social and environmental resilience and macroeconomic stability. The research highlights the need to take preventive measures and implement actions to address the risks, while emphasizing the role of dialogue and cooperation between relevant stakeholders.