Filenes 24 February 2022
Pending the content of the measures and sanctions that the European Union will decide against Russia are the economic operators of Cyprus, according to what the General Manager of OEB, Michalis Antoniou, told Insider.
Referring to how Cyprus is affected by the crisis in Ukraine that is underway, Mr. Antoniou said that, what is certain is that in a horizontal way we have an impact on the cost of energy in all activities (households and businesses) and added that the increased costs are mainly borne by energy-intensive businesses.
Tourism is vulnerable
Apart from the issue of energy, one of the most vulnerable sectors seems to be tourism, because, as he explained, depending on the content of the sanctions, the countermeasures that Russia may impose and the duration of the military operations, the psychology of the market will also be affected.
All this while this year is very promising for Cyprus and with very good indications. However, to date, nothing has changed that differentiates the above picture.
Banks
As far as finance is concerned, and following the us imposition of measures against Russian banks, the OEB is in contact with the commercial banks and the Central Bank to study the matter.
Grain
Finally, if the smooth supply of the world cereals market is affected, since Ukraine is a major exporter, pressure may also arise on the price of cereals, which is the raw material for basic necessities and widely consumed goods.
"There is widespread concern about where things are headed as military operations evolve. When the military part is cut and the efforts of the diplomats begin, we will be able to see ways to adapt to the new data", Mr. Antoniou concluded.
