The average salary in Cyprus continues to rise, although this figure still does not fully reflect the reality of the labour market. According to preliminary data from the Cyprus Statistical Service (Cystat), the average gross monthly salary reached €2,601 in the first quarter of 2026, representing a 3.7% increase compared with the same period last year. However, the majority of employees still earn considerably less than this amount.
The increase in wages comes amid a resilient economy, higher minimum wages and continued strong demand for skilled professionals across several industries. Nevertheless, significant income disparities remain between occupations, genders and nationalities.
Comparison with Last Year
According to Cystat, the average gross monthly salary stood at €2,601 in the first quarter of 2026, compared with €2,508 during the same period in 2025. After seasonal adjustment, the figure reached €2,652, an increase of 0.8% compared with the fourth quarter of 2025. The decline in the unadjusted figure compared with the end of last year (from €2,932) is explained by annual bonuses and Christmas payments, which are traditionally paid during the fourth quarter.
Economists point out that the average salary does not accurately represent the earnings of a typical employee, as it is significantly influenced by the high incomes of a relatively small group of top earners. The median salary provides a more realistic picture of earnings, and in Cyprus it remains noticeably lower than the average wage.
Most Employees Earn Less Than €3,000
The statistics show that most employees fall within the middle-income brackets. The distribution of salaries is as follows:
- 33.9% of employees earn less than €1,500 per month;
- 40.9% earn between €1,500 and €2,999, making this the largest group of workers;
- 13.1% earn between €3,000 and €4,499;
- 6.4% earn between €4,500 and €5,999;
- only 5.7% of employees earn €6,000 or more.
This is why the average salary of €2,601 remains higher than the actual earnings of a large proportion of the population.
The Wage Gap Between Men, Women and Foreign Workers
In the first quarter of 2026, men earned an average of €2,776 per month, while women earned €2,378. Compared with the previous year, men's earnings increased by 3.3%, while women's salaries rose by 4.2%. After seasonal adjustment, the average salary reached €2,823 for men and €2,434 for women. The income distribution among Cypriot nationals and foreign workers also reveals notable differences. Among Cypriot citizens:
- 45.2% earn between €1,500 and €2,999;
- 27.4% earn less than €1,500.
Among foreign workers:
- 46.7% earn less than €1,500;
- 32.6% earn between €1,500 and €2,999.
At the same time, foreign workers are represented at both extremes of the labour market. Some 8.5% of foreign employees earn €6,000 or more, compared with 4.3% of Cypriot workers. This is largely due to Cyprus employing both a significant number of low-paid foreign workers and highly qualified professionals working for international companies in the IT, finance, shipping and professional services sectors.
Among men, 31.1% earn less than €1,500, while 7.2% receive at least €6,000 per month. Among women, 37.4% earn less than €1,500, whereas only 3.8% earn €6,000 or more.
The differences are even more pronounced when broken down by nationality. Among foreign workers, 44.5% of men and 50.3% of women earn less than €1,500. Among Cypriot nationals, the corresponding figures are 22.9% for men and 32.3% for women. In the highest income bracket (€6,000 or more), 10.3% of foreign men earn this amount compared with 5.3% of Cypriot men, while among women the figures are 5.5% for foreign employees and 3.1% for Cypriot women.
What the New Data Means for the Labour Market
The latest statistics confirm that Cyprus' labour market remains stable. Salaries continue to rise gradually, supported by economic growth, the expansion of international business and sustained demand for skilled professionals.
However, the data also show that more than one-third of employees still earn less than €1,500 per month, while the majority receive considerably less than the official average salary. This highlights the continuing imbalance in income distribution and the substantial gap between highly paid specialists working in the international sector and employees in more traditional areas of the economy.
In the coming quarters, wage growth will largely depend on inflation, labour market conditions, the activity of foreign companies and the continued growth of the Cypriot economy.