Cyprus ranks mid-table in the EU for minimum wages adjusted for the cost of living

According to Eurostat, as of 1 July 2026, Cyprus’s minimum wage, after adjusting for differences in the cost of living, falls within the middle group of European Union countries.

The comparison uses a purchasing power indicator that takes price differences between countries into account. Cyprus was placed in the group ranging from 1,000 to less than 1,500 purchasing power units. The same group includes Greece, Malta, Portugal, Romania, Croatia, Lithuania, Slovakia, Hungary and the Czech Republic. Figures within the group range from 1,015 units in the Czech Republic to 1,393 in Lithuania.

When nominal wages and purchasing power indicators are compared, Cyprus dropped by four positions. The top group consists of nine countries where the indicator exceeds 1,500 units: Germany, Luxembourg, the Netherlands, Belgium, Ireland, France, Slovenia, Spain and Poland. Bulgaria, Latvia and Estonia are below 1,000 units.

Eurostat notes that after taking the cost of living into account, the gap between minimum wages in European countries narrows significantly. In nominal terms, the highest minimum wage in Luxembourg is 4.5 times higher than the lowest one in Bulgaria, while in terms of purchasing power, the difference between Germany and Estonia is 2.3 times.

Inflation is putting additional pressure on purchasing power. From January to July 2026, it reached 5.4% in Cyprus.

Eight EU countries increased their minimum wages in national currency between January and July. They include Romania — by 6.8%, Estonia — by 6.8%, Belgium — by 5.8% and Greece — by 4.5%.