Cyprus banks among lowest in EU for climate risk exposure

Cypriot banks’ exposure to climate-sensitive sectors remains below the European average, ranking among the lowest in the bloc, according to the latest European Banking Authority (EBA) ESG risk dashboard published this week.

Data covering the second quarter of 2025 showed that banks in Cyprus recorded exposure of 59 per cent to non-financial corporations operating in sectors that significantly contribute to climate change, the eighth lowest rate in the EU and below the European average of around 62 per cent.