IMF warns Cyprus over ‘inflated’ public sector wage bill

The International Monetary Fund warned Cyprus over its “inflated” public sector wage bill in its annual Article IV consultation – an economical health check – on the island.

The report wrote that in recent years, “consolidation” of Cyprus’ public sector wage bill, the word used for efforts to reduce or stabilise it, “has stalled”, and that “the wage bill remains large by European standards”.

It described a “sizeable public-private wage