Cyprus
About Cyprus
Background:
A former British colony, Cyprus became independent in 1960 following years of resistance to British rule. Tensions between the Greek Cypriot majority and Turkish Cypriot minority came to a head in December 1963, when violence broke out in the capital of Nicosia. Despite the deployment of UN peacekeepers in 1964, sporadic intercommunal violence continued forcing most Turkish Cypriots into enclaves throughout the island. In 1974, a Greek Government-sponsored attempt to seize control of Cyprus was met by military intervention from Turkey, which soon controlled more than a third of the island. In 1983, the Turkish Cypriot-occupied area declared itself the "Turkish Republic of Northern Cyprus" ("TRNC"), but it is recognized only by Turkey. The election of a new Cypriot president in 2008 served as the impetus for the UN to encourage both the Turkish and Cypriot Governments to reopen unification negotiations. In September 2008, the leaders of the Greek Cypriot and Turkish Cypriot communities started negotiations under UN auspices aimed at reuniting the divided island. The entire island entered the EU on 1 May 2004, although the EU acquis - the body of common rights and obligations - applies only to the areas under the internationally recognized Greek Cypriot Government, and is suspended in the areas administered by Turkish Cypriots. However, individual Turkish Cypriots able to document their eligibility for Republic of Cyprus citizenship legally enjoy the same rights accorded to other citizens of European Union states.
PEOPLE
Population:
1,084,748 (July 2009 est.)
country comparison to the world: 157
Nationality:
noun: Cypriot(s)
adjective: Cypriot
Ethnic groups:
Greek 77%, Turkish 18%, other 5% (2001)
Religions:
Greek Orthodox 78%, Muslim 18%, other (includes Maronite and Armenian Apostolic) 4%
Languages:
Greek, Turkish, English
GOVERNMENT
Country name:
conventional long form: Republic of Cyprus
conventional short form: Cyprus
local long form: Kypriaki Dimokratia/Kibris Cumhuriyeti
local short form: Kypros/Kibris
note: the Turkish Cypriot community, which administers the northern part of the island, refers to itself as the "Turkish Republic of Northern Cyprus" ("TRNC")
Government type:
republic
note: a separation of the two ethnic communities inhabiting the island began following the outbreak of communal strife in 1963; this separation was further solidified after the Turkish intervention in July 1974 that followed a Greek military-junta-supported coup attempt gave the Turkish Cypriots de facto control in the north; Greek Cypriots control the only internationally recognized government; on 15 November 1983 Turkish Cypriot "President" Rauf DENKTASH declared independence and the formation of a "Turkish Republic of Northern Cyprus" ("TRNC"), which is recognized only by Turkey
Capital:
name: Nicosia (Lefkosia)
geographic coordinates: 35 10 N, 33 22 E
time difference: UTC+2 (7 hours ahead of Washington, DC during Standard Time)
daylight saving time: +1hr, begins last Sunday in March; ends last Sunday in October
Independence:
25 June 1991 (from Yugoslavia)
Flag description:
white with a copper-colored silhouette of the island (the name Cyprus is derived from the Greek word for copper) above two green crossed olive branches in the center of the flag; the branches symbolize the hope for peace and reconciliation between the Greek and Turkish communities
note: the "Turkish Republic of Northern Cyprus" flag has a white field with narrow horizontal red stripes positioned a small distance from the top and bottom edges between which is centered a red crescent and a red five-pointed star
ECONOMY
Economy - overview:
The area of the Republic of Cyprus under government control has a market economy dominated by the service sector, which accounts for nearly four-fifths of GDP. Tourism, financial services, and real estate are the most important sectors. Erratic growth rates over the past decade reflect the economy's reliance on tourism, which often fluctuates with political instability in the region and economic conditions in Western Europe. Nevertheless, the economy in the area under government control has grown at a rate well above the EU average since 2000. Cyprus joined the European Exchange Rate Mechanism (ERM2) in May 2005 and adopted the euro as its national currency on 1 January 2008. An aggressive austerity program in the preceding years, aimed at paving the way for the euro, helped turn a soaring fiscal deficit (6.3% in 2003) into a surplus of 1.2% in 2008, and reduced inflation to 4.7%. This prosperity came under pressure in 2009, as construction and tourism slowed in the face of reduced foreign demand triggered by the ongoing global financial crisis. Although Cyprus lagged its EU peers in showing signs of stress from the global crisis, the economy tipped into recession in mid 2009 and GDP contracted by 0.8% in 2009. In addition, the budget deficit is on the rise and reached 3.5% of GDP, a violation of the EU's budget deficit criteria of no more than 3% of GDP. In response to the country's deteriorating finances, Nicosia is promising to implement measures to cut the cost of the state payroll, curb tax evasion, and revamp social benefits. As in the area administered by Turkish Cypriots, water shortages are a perennial problem; a few desalination plants have been added to existing plants over the last year and are now on line. After 10 years of drought, the country received substantial rainfall from 2001-04. Since then, rainfall has been well below average, making water rationing a necessity.
GDP (purchasing power parity):
$22.85 billion (2009 est.)
country comparison to the world: 117
$23.03 billion (2008 est.)
$22.21 billion (2007 est.)
note: data are in 2009 US dollars
GDP - per capita (PPP):
$21,200 (2009 est.)
country comparison to the world: 57
$21,600 (2008 est.)
$21,200 (2007 est.)
note: data are in 2009 US dollars
Budget:
revenues:: $9.689 billion
expenditures:: $10.72 billion (2009 est.)
Inflation rate (consumer prices):
0.9% (2009 est.)
country comparison to the world: 39
4.7% (2008 est.)
Industries:
tourism, food and beverage processing, cement and gypsum production, ship repair and refurbishment, textiles, light chemicals, metal products, wood, paper, stone, and clay products
Exports:
$1.135 billion (2009 est.)
country comparison to the world: 144
$1.906 billion (2008 est.)
Imports:
$6.676 billion (2009 est.)
country comparison to the world: 100
$10.54 billion (2008 est.)
Exchange rates:
euros (EUR) per US dollar - 0.734 (2009), 0.6827 (2008), Cypriot pounds (CYP) per US dollar - 0.4286 (2007), 0.4586 (2006), 0.4641 (2005)
