Construction Materials Becoming More Expensive in Cyprus

According to official data from the Cyprus Statistical Service, the Construction Materials Price Index reached 119.03 points in October 2025. Compared to the previous month, the increase was minimal — just 0.06%, but on an annual basis the index rose 1.58%. From January to October 2025, the overall trend also remained positive: prices increased 1.29% compared to the same period in 2024.

These figures highlight continued pressure on the construction sector, where materials remain a major cost component. With active development in construction, infrastructure modernisation, and strong demand for residential property, prices for key material categories continue to influence the market value of new projects.

Annual changes by main categories

In October, different groups of construction materials showed varied dynamics:

1. Mineral raw materials: +4.03% (highest growth)
2. Products based on mineral materials: +3.3%
3. Electromechanical equipment: +1.57%
4. Wood-based materials, insulation, chemicals and plastics: +1.04%

The only major group showing a decline was:

1. Metal products: –0.86%
2. This was driven by global metal price corrections and lower demand for certain types of steel products.

Monthly fluctuations

Monthly price changes were moderate:

1. Mineral materials: +0.12%
2. Metal products: –0.49%
3. Electromechanical goods: +1.71% (most significant monthly increase)
4. Wood, chemicals, plastics: –0.04% (virtually stable)

Detailed subgroup dynamics and impact on the sector

Notable annual changes in subcategories included:

1. Inert mineral materials: +9.68%
2. Stone materials: +6.36%
3. Cement mixes: –0.51%

Within metal products:

1. Steel and iron products: –1.71%
2. Aluminium and other metal goods: +0.82%

Heating and cooling equipment rose 5.9% in October alone, though year-on-year increased by only 0.02%.

Market trends and what to expect

Analysts note that price increases are influenced both by global factors (raw material price fluctuations) and local conditions in Cyprus. Strong housing demand, high levels of investment construction, and large-scale infrastructure projects continue to place upward pressure on building costs. By the end of 2025, the rising trend is expected to continue, with some categories likely to accelerate further due to higher import costs and elevated logistics expenses.