Cypriot Pound (CYP)

What Was the Cypriot Pound (CYP)?

CYP was the currency truncation for the Cypriot pound, which was the national currency of the Republic of Cyprus, prior to its adoption of the common euro currency.

Grasping the Cypriot Pound

The Cypriot pound was the official currency for Cyprus prior to its enrollment in the European Union (EU) and adoption of the euro (EUR) as legal tender in 2008. The Central Bank of Cyprus issued and administered the currency following its foundation in 1963. The British previously involved the pound in Cyprus in 1879, even however the country at the time actually had a place with the Ottoman Empire. The Cypriot pound remained pegged to the British pound (GBP) until 1972, at which point the central bank changed the peg to the U.S. dollar.

Starting in 1973, the Cyprus dropped its dollar peg for a peg to a currency basket in view of the country's imports, then changed to a currency basket in light of the country's trading activities in 1984.

The decision to move to the euro eventually set off foundation of a permanent exchange rate of 0.585274 Cypriot pounds per euro. The euro became legal tender effective Jan. 1, 2008. The agreement with the European Central Bank permitted exchange of more seasoned pound coins for a long time following the changeover and CYP banknotes for the 10 years following.

Cyprus had annual GDP growth of 3.23% in 2019 with an inflation rate of 0.56%.

A Divided Cyprus

England attached Cyprus as a state following the breakup of the Ottoman Empire in 1925. The nation's occupants, notwithstanding, generally have seen themselves as either ethnically Greek or Turkish, leading to periods of civil turmoil. Greek Cypriots have periodically called for the country to join with Greece, while Turkish Cypriots have customarily demanded that the country either join with Turkey or that the northern part of the country withdraw. The republic received independence from England in 1960 and very quickly dove into periodic viciousness among Greek and Turkish components. An upset backed by the U.S. also, Greece endeavored to kill the Cypriot president in 1974 and the resultant fight prompted the country's division as Turkish powers entered the northern part of the island.

Turkish Cypriots endeavored to formalize the division in 1983, when they pronounced themselves the Turkish Republic of Northern Cyprus. Other than Turkey, be that as it may, no other nation has recognized the republic. Northern and southern groups have taken a stab at various events to produce a peace plan between the different sides, without result. The north remaining parts occupied and the United Nations supervises and watches a disarmed buffer zone between the two domains.

Regardless of the north's technical presence as part of the island of Cyprus, it has kept up with the Turkish lira (TRY) as its official currency, however organizations serving sightseers frequently acknowledge payments in euros (EUR), British pounds (GBP) or U.S. dollars (USD).

Features

• During this period, the pound was pegged at par to the British pound until 1972, when it became pegged to the dollar.
• The Cypriot pound (CYP) was the official currency of the Republic of Cyprus from 1963 until 2008, when it changed over to the euro.
• While the pound and consequently the euro have been legal tender in the southern, Greek-talking side of this challenged island, the Turkish lira is commonly utilized in the north.