The Cypriot pound (CYP) was the official currency of Cyprus until the introduction of the euro in 2008. Originally, the Cypriot pound was known as the "pound sterling," being tied to the British pound until 1972, when the independent Cypriot pound was introduced. The currency underwent several transformations over the years, reflecting the political and economic developments of the island.
Cyprus became a member of the European Union in May 2004 and joined the European Monetary Union in January 2008. This led to the gradual phasing out of the Cypriot pound as the official currency, with the introduction of the euro as the common currency.
The Central Bank of Cyprus is the institution responsible for managing the island's monetary policy and overseeing its financial system.