(NICOSIA) - The Cypriot parliament on Thursday approved a 4.41 billion pound (7.53 billion euro) 2008 state budget aimed at navigating the island through its adoption of the European single currency in January.

A 37-17 vote in the 56-seat house ensured the budget passed largely unscathed. Only right-wing Disy MPs voted against the budget, apart from provisions on defence and refugees, following a four-day debate.

Cyprus will enter the eurozone on January 1 with an estimated 1.5 percent of GDP fiscal surplus for 2007, and the government expecting a 0.5 percent surplus in 2008 and the following year.

The budget estimates projected revenues up five percent at 4.13 billion Cyprus pounds (7.05 bln euros), with proposed spending up 7.7 percent.

GDP growth for 2007 is seen at 4.2 percent and expected to stay at that level next year.

Inflation in 2008 is expected to hover around three percent, unemployment at 4.1 percent and per capita income at 90 percent of the EU average.

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