Turkish Cyprus targets 5% growth, per capita income to exceed $19,000
People wave Turkish Cypriot (R) and Turkish flags during a military parade on the anniversary of Türkiye's Peace Operation, Lefkosia (Nicosia), Turkish Cyprus, July 20, 2024. (AFP Photo)
The Turkish Republic of Northern Cyprus (TRNC) has announced an ambitious economic development plan, aiming for an annual growth rate of 5% and projecting per capita income to exceed $19,000 by 2029.
New economic roadmap announced in Nicosia
Vice President of Türkiye Cevdet Yilmaz, Turkish Cyprus President Ersin Tatar, and TRNC Prime Minister Unal Ustel attended the launch of the Fourth Five-Year Development Plan at an event in Nicosia.
Yılmaz emphasized that this marks the fourth economic development strategy undertaken by Turkish Cyprus, following previous plans from 1978 to 1982, 1982 to 1988 and 1993 to 1997. He highlighted the role of the Presidency of Strategy and Budget experts in contributing planning expertise to the process.
“This plan was prepared during a period of significant political, technological, and economic transformation worldwide,” Yilmaz noted.
Economic goals, growth projections
According to Yilmaz, the Fourth Five-Year Development Plan is designed to shape Turkish Cyprus’s economic trajectory while improving social welfare.
“For the 2025-2029 period, the economy of the Turkish Republic of Northern Cyprus is expected to grow at an average annual rate of 5%. By the end of this period, per capita income is projected to exceed $19,000,” he stated.
The plan’s vision, he added, is to build a stable and competitive Turkish Cyprus with a high value-added production capacity. The strategy aims not only for local economic advancement but also aligns with global sustainability objectives.
Five pillars of economic development
Yilmaz detailed the five main pillars underpinning the plan:
- Sustainable and stable economic growth
- Enhancing high value-added production and competitiveness
- Developing livable spaces and ensuring environmental sustainability
- Strengthening human capital and social welfare
- Promoting international cooperation for development
Each of these pillars incorporates economic, social, and environmental dimensions, forming a holistic approach to long-term prosperity.
Agriculture as key focus area
Yilmaz underscored the emphasis placed on agriculture within the plan, pointing to TRNC’s rich natural resources and fertile lands.
“Increasing efficiency in agriculture will provide significant contributions to the economy while minimizing environmental impact,” he said.
Investment, industry strategy
The plan aims to reduce external dependency by fostering high-value, export-oriented industries, increasing economic diversification, and expanding TRNC’s share in global trade. Yilmaz emphasized that both public and private investments will be strategically developed to achieve these goals.
“Strengthening the local economy will contribute to job creation while ensuring sustainable growth,” he added.
Prioritizing education, healthcare
In addition to economic policies, the development plan prioritizes improvements in education and healthcare.
“The plan focuses on creating a more qualified education system, fostering new professions, expanding job opportunities, and facilitating youth integration into the labor market,” Yilmaz noted.
