3.2.2025

Philenews reported that the procurement and installation of equipment deemed necessary to be added to the Prometheus ship, so as to be certified in the future as a floating storage and regasification unit for liquefied natural gas (FSRU), could require 8 months.

This means the plan of transporting it to a foreign terminal, so that it can be certified or rented, has been significantly limited. Also, it seems the chances of the natural gas terminal being able to operate in a year from now are very limited.

A project manager for the project needs to be appointed who will then need to appoint a contractor.

The upcoming agreement expected to be signed between Cairo and Nicosia for the transfer of the two Cypriot deposits, ‘Kronos’ and ‘Aphrodite’, to Egypt, is a natural continuation of the excellent relations between the two countries said the Minister of Energy.

Philenews reported that the Electricity Authority took the first step towards installing an electricity storage system in Dhekelia and it has reportedly committed that it will cover the cost of installing the batteries from its cash reserves. It has already published a tender.

Energy analyst Charles Ellinas in an op-ed notes that as the development of Cyprus gasfields gets closer, so the claims about their importance in supplying Europe’s gas needs get louder, totally oblivious to whether Europe needs such gas, and, of course, how oil and gas companies make investment decisions and where the most likely markets for the gas is.

Foreigners buying properties at a rapid pace will be discussed by the House interior committee, after concerns have been lodged that the sales are proceeding unchecked to the highest bidder.

Land acquisition by non-Cypriots is approaching a third across all districts.

The long and short term social and financial impacts of the trend are to be examined and solutions sought, MPs said, after data revealed that as many as 72 per cent of sales made in Paphos (56 per cent of sales went to third-country nationals and 16 per cent to citizens of the EU) over the past ten years, were to foreigners. In Limassol, Larnaca and Famagusta, the number of foreign sales approached 50 per cent while in Nicosia it is 15%.

Among the issues raised was the fact that ongoing purchases by foreigners are driving up property prices and creating a housing crisis for the locals.

Other concerns are the lack of background checks on buyers and the lack of criteria for touristic developers.

Despite the fact that the citizenship by investment scheme has been abolished, “golden visas”, whereby property buyers automatically acquire permanent residency, still exist.

The Cyprus Architects’ Association called for stricter controls and immediate amendments to laws governing the establishment and operation of tourist facilities.

The announcement follows concerns raised by MPs over unchecked investments by foreign individuals and companies.

Its intervention was prompted by reports regarding the development of a hotel in the Paphos area – understood to be the Israeli Fattal Group’s investment in Latsi – which has been plagued by multiple legal violations.

The association referenced the “general upward trend of tourist developments without the required permits, in violation of urban planning and environmental regulations.”

Nineteen European Union countries, including Cyprus, are calling for the European Investment Bank to boost lending for the defence industry.

The EIB, owned by EU governments, is not allowed to finance the production of ammunition, weapons or military equipment. To remove the prohibition, a majority of governments have to agree and some countries have expressed misgivings.

There was a 5.4 per cent increase in average gross monthly earnings for Cyprus employees in the third quarter of 2024, reaching €2,351, compared to €2,230 in the same period of 2023.

40 per cent of employees earned under €1,500, while 39 per cent earned between €1,500 and €2,999.

12 per cent earned between €3,000 and €4,499, 6 per cent earned between €4,500 and €5,999, and 4 per cent earned more than €6,000.

Some note that the impressive & disproportionate increase in the number of non-Cypriot employees (by 79.1%) and their average earnings (by 47.8%) from 2017 to 2023 (in some economic activities) creates the distorted impression of a general welfare of employees.

In an interview the DG of the Research & Innovation Foundation (Theodoros Loukaidis) said that Cyprus is among the top startup ecosystems worldwide. It is home to 12 universities, 9 research institutes, 7 Centers of Excellence and 500 startups, with more than 3,500 researchers and 4,000 people employed in the high-tech sectors. Since 2016, it has allocated €206 million to support R&I, supporting more than 510 beneficiaries.

12 per cent earned between €3,000 and €4,499, 6 per cent earned between €4,500 and €5,999, and 4 per cent earned more than €6,000.

Desalination plants will work on a continuous basis to help relieve the pressure on the dams and provide farmers with water, Agriculture Minister Maria Panayiotou said. Until now, the plants operations have been dependent on weather conditions.

Efforts are also underway to employ mobile desalination plants.

After a record-breaking year in 2024, extending the tourist season, enriching the tourist product and developing new markets are the goals for 2025, deputy minister of tourism Costas Koumis said. New markets are those that Cyprus does not receive large numbers from and with which there are no direct air connections – the US China and other Central Asian countries.

Philenews reported that many large Greek companies, which have invested in various sectors of the economy, are showing great interest in the Cypriot market. Over 1,500 companies of Greek interests are active in Cyprus.

Bank of Cyprus announced it would cut its ECB-linked base lending rate to 2.90% from 3.15%, effective from 5 February 2025, following the European Central Bank’s recent monetary policy decision.

The 0.25% reduction is expected to benefit approximately 12,000 borrowers through lower monthly repayments. An additional 8,000 borrowers with Euribor-linked loans are already experiencing rate relief, as the Euribor has declined to 2.59%.

Superhome Centre has been sold to Vasilitsi Diy Ltd for €94 million.

Ermes Department Stores, a subsidiary of the Cyprus Trading Corporation, held 51 per cent of the store’s shares while 49 per cent was owned by Secora BV, a Dutch-registered company.