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11.09.2025
Updated
12 September 2025

Cyprus sees rise in number of bounced cheques

In August 2025, 16 unpaid cheques totalling €52,891 were registered in Cyprus. These data were published by the Central Bank of Cyprus and included in the preliminary list of the Central Information Archive, which lists individuals and companies that have issued cheques without sufficient funds.

Data for August 2025

According to the Central Information Archive, six new offenders were added to the list for August: two legal entities and four individuals. As a result, they ended up in the registry, which is used by banks and financial institutions to assess customer reliability. At the same time, 17 more entities were added to the registry: six companies, four individuals and seven individuals controlling legal entities.

Results for January–August 2025

During this period, data on 161 uncovered checks totalling €365,490 were added to the register. These violations involved 82 participants, including 46 legal entities and 36 individuals. During the same period, 80 new names were added to the register: 29 companies, 18 individuals and 33 individuals who manage legal entities.

На Кипре зафиксирован рост числа непокрытых чеков

Why the problem remains relevant

The situation with uncovered cheques in Cyprus remains an indicator of the financial discipline of businesses and households. Despite tighter banking controls and the development of digital payment systems, cases of cheques being issued without sufficient coverage continue to be recorded.

Economists note that this increase is not only associated with unscrupulous practices, but also with the financial difficulties experienced by small companies in previous years due to high inflation, declining liquidity and rising interest rates.

International context

The problem of uncovered cheques is not unique to Cyprus. In other EU countries, banks are gradually moving away from actively using cheques in favour of electronic payments, which reduces the number of such violations. However, in Cyprus, cheques remain an important tool for small and medium-sized businesses.

According to experts, expanding the use of electronic guarantees and digital transactions would increase transparency and protect the market from such abuses, thereby minimising the risk.

Source: stockwatch.com.cy
Photos: pixabay.com, DOM

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