Sign in Subscribe
European Union

EIB Supports EUR100 Million Initiative to Improve Cyprus's Road Network

Strategic Insights

— 2 min read

The European Investment Bank (EIB) is funding Cyprus a further EUR100 million for a range of road improvements in the country. The EIB credit will cover 50% of the costs of planned renovations and extensions to make road travel in Cyprus easier and safer. This is the second tranche of a EUR200 million approved EIB financing package for Cypriot road infrastructure. The agreement is part of a multiyear national plan by the Cypriot Ministry of Transport, Communications and Works, which includes a wide range of works, from upgrading motorways, regional and rural roads, and building new bridges, tunnels, and walking and cycling lanes, to upgraded traffic management systems and drainage systems.

Key Takeaways:

  • The EIB is funding Cyprus a further EUR100 million for road improvements, covering 50% of the costs of planned renovations and extensions.
  • The agreement is part of a EUR200 million approved EIB financing package for Cypriot road infrastructure, the second tranche of which was signed in December 2024.
  • The works, which will cover road networks and infrastructure improvement in various areas across the country, are due to be completed by 2029.
  • The EIB supports a multiyear national plan by the Cypriot Ministry of Transport, Communications and Works, which includes upgrading motorways, regional and rural roads, and building new bridges, tunnels, and walking and cycling lanes, as well as upgraded traffic management systems and drainage systems.
  • The total EIB's investment in critical road projects in Cyprus has exceeded EUR670 million since 1998.
  • The EIB's agreement supports strategic land transport projects in urban and interurban areas, with the aim of improving accessibility in less privileged-isolated areas of Cyprus, enhancing road safety, addressing the impacts of climate change, promoting alternative-sustainable travel options, and improving the socio-economic cohesion of the island.
  • EIB Vice-President Kyriacos Kakouris stated that investing in essential infrastructure like road networks is vital for strengthening social cohesion and driving economic growth in Cyprus.
  • Cypriot Minister of Finance Makis Keravnos said that the EIB's new financing agreement reflects the strong and long-standing partnership between the two parties, which will allow the implementation of essential infrastructure projects that enhance road safety, connectivity, and sustainable mobility across Cyprus.

Statistics:

  • EUR100 million: EIB funding for road improvements in Cyprus, including EUR50 million for planned renovations and extensions.
  • EUR200 million: Approved EIB financing package for Cypriot road infrastructure, with the second tranche signed in December 2024.
  • 50%: EIB's share of the costs of planned renovations and extensions.
  • 2029: Expected completion date for the works.
  • EUR670 million: Total EIB's investment in critical road projects in Cyprus since 1998.
  • 60%: EIB Group's annual financing that supports projects directly contributing to climate change mitigation, adaptation, and a healthier environment.
  • EUR89 billion: New financing signed by the EIB Group in 2024 for over 900 high-impact projects.
  • EUR110 billion: Growth capital mobilized by the EIB Group for startups, scale-ups, and European pioneers in 2024.
  • Approximately 50%: EIB's financing within the European Union directed towards cohesion regions.
  • 1998: Year since when the EIB's investment in critical road projects in Cyprus exceeded EUR670 million.

Sources:

  • ENPublishing - http://www.enpublishing.co.uk
  • European Investment Bank (EIB) website - http://www.eib.org
  • European Investment Bank (EIB) media release - August 4, 2025
  • Cypriot Ministry of Transport, Communications and Works website - http://www.motc.gov.cy/motc
  • M2 Communications - http://www.m2.co.uk

Read more