The Central Bank of Cyprus has published its first 2025 statistical report on pension funds, providing an overview of developments in the assets and liabilities of Cyprus-resident pension funds, along with data on the number of funds and their members. The report shows that the sector remains fragmented despite consolidation, with the number of pension funds falling by more than 30% after the Occupational Retirement Benefit Law took effect. Cyprus still ranks third in the euro area by number of pension funds, while sitting among the lowest in average assets per fund. Defined contribution arrangements account for more than 80% of pension funds, outweighing defined benefit schemes. Investment allocations remain concentrated in traditional asset classes, although the report notes signs of gradual diversification. It also estimates that about 20% of the total value of defined benefit schemes remains underfunded. The Central Bank of Cyprus said the report will be published annually.
Central Bank of Cyprus2026-06-12
Central Bank of Cyprus publishes first 2025 pension funds statistical report highlighting sector fragmentation and 20% underfunding in defined benefit schemes
The Central Bank of Cyprus has issued its first 2025 statistical report on pension funds, showing that the sector remains fragmented even after the number of funds fell by more than 30% following the Occupational Retirement Benefit Law. Defined contribution schemes make up more than 80% of funds, and about 20% of the total value of defined benefit schemes is still estimated to be underfunded. The report will be published annually.