The Cypriot state is moving forward with the signing of three new interstate agreements with a European, an Arab, and an Asian country. The aim is to enhance foreign investments and further upgrade the business environment. The announcement was made by the President of the Republic, Nikos Christodoulides, during his speech at the General Assembly of the Real Estate Development Association. He presented the reforms and new policies being implemented to simplify licensing, promote affordable housing, and boost competitiveness.
The President emphasized that the government is implementing modernizing reforms aimed at simplifying procedures, establishing development incentives, and addressing contemporary challenges. A central role in this effort is played by the acceleration of licensing. The new mechanism reduces application review time to 40 days for low risk and 80 days for medium risk, already resulting in 1,400 single-family home approvals and 260 apartment building approvals within deadlines. The President stressed that the new process offers speed, predictability, and transparency, allowing the sector to remain resilient and competitive.
In terms of housing, the President described affordable housing as a supreme national priority. He announced the implementation of two new policies:
- Construction of 500 affordable homes on state land in Nicosia, Limassol, Larnaca, and Paphos, with a total cost of 70 million euros, to be made available to families and individuals at affordable rent.
- Creation of Collective Housing Units for accommodating workers in sectors with increased demand, a measure expected to contribute to the stabilization of rents.
The government, he added, will fully utilize the new European affordable housing plan, which will be officially presented on December 16th by the President of the European Commission. This issue will be high on the agenda of the Cypriot Presidency of the EU Council.
President Christodoulides noted that the Cypriot economy remains on a growth path, despite international challenges, with increased investment interest. In this context, he announced the upcoming signing of the three interstate agreements, which will further strengthen Cyprus’s position as an investment destination.
He also presented the launch of the upgraded Business Service Center, which consolidates relevant services into a single entity, providing targeted guidance, less bureaucracy, and faster service for strategic investments. At the same time, the government is proceeding with a tax reform, expected to be passed before year-end, creating a more equitable and flexible tax framework.
Significant changes are also being promoted in public procurement legislation, aiming for transparency, competition, faster project implementation, and ensuring quality.
