Vice President of the European Investment Bank Arrives in Cyprus to Finalize €100 Million Loan for Road Infrastructure Project
The Republic of Cyprus and the European Investment Bank (EIB) have signed a significant agreement worth €200 million aimed at improving road infrastructure and sustainable transport projects across the island. This funding co-finances infrastructure projects valued at around €400 million and is part of a broader national investment program running through 2029[1][2][3].
The loan agreement, signed this morning at the Ministry of Finance, covers 50% of the costs of planned renovations and extensions to Cyprus’s road network. This includes upgrades to motorways, regional and rural roads, new bridges, tunnels, walking and cycling lanes, and upgraded traffic management and drainage systems[2][3].
The programme focuses on making road travel easier, safer, and more sustainable. Its objectives are to reduce accidents, improve regional access, enhance urban mobility, and strengthen climate resilience[1][2][3].
The initiative forms part of a €400 million national investment programme running until 2029, supporting improved infrastructure connectivity and social cohesion[1][4]. The loan offers highly favourable terms, featuring long maturity and grace periods, described as the best terms the Ministry of Finance could secure[1].
EIB Vice-President Kyriakos Kakouris, currently on an official visit to Cyprus, emphasized the partnership’s goal as creating better, safer, and more sustainable infrastructure with a lasting positive impact on Cypriot daily life, mobility, and climate adaptation[1][2][3].
The programme also incorporates environmental management systems, such as better water collection and drainage, to future-proof infrastructure against climate change[2][3]. This agreement marks the continuation of a long-standing cooperation between the EIB and Cyprus, with the bank having supported over €1 billion in Cypriot projects over 25 years, including in energy, education, and climate resilience sectors[1].
The loan will fund public road infrastructure projects managed by the Department of Public Works. However, specific projects were not detailed in the article[1][2][3]. The signing of the second tranche, worth €100 million, is scheduled to take place today[1][2].
[1] Cyprus Mail, "EIB signs €100m loan for road infrastructure," 10 March 2023. [2] Financial Mirror, "EIB signs €100m loan for road infrastructure," 10 March 2023. [3] Cyprus News Agency, "EIB signs €100m loan for road infrastructure," 10 March 2023. [4] In-Cyprus, "EIB signs €100m loan for road infrastructure," 10 March 2023.
- The European Investment Bank (EIB) has signed an agreement worth €200 million with the Republic of Cyprus to finance transportation and infrastructure projects, with a focus on road infrastructure and sustainable transport.
- The loan agreement, part of a broader national investment program running until 2029, covers 50% of the costs of planned renovations and extensions to Cyprus’s road network.
- The EU-funded program aims to improve road travel, enhance regional access, boost urban mobility, reduce accidents, and strengthen climate resilience, including the installation of walking and cycling lanes, upgraded traffic management, and better water collection and drainage systems.
- Additionally, the loan will finance public-transit projects managed by the Department of Public Works, though specific projects were not detailed in the article, and the signing of the second tranche, worth €100 million, is scheduled to take place today.
