• The European Investment Bank is financing the projects with €200 million.

• Environmental investments aligned with EU directives are also incorporated.

• The agreement between the Vice President of the European Investment Bank and the Minister of Finance is being signed today.

The upgrade of strategic road infrastructure is estimated at €400 million, with the European Investment Bank (EIB) financing €200 million of the total cost. The funding, which has already been approved, aims to improve regional connectivity and accessibility, as well as environmental management. Today, Friday, December 20, 2024, the Vice President of the European Investment Bank, Mr. Kyriakos Kakouris, and the Minister of Finance, Mr. Makis Keravnos, will sign the agreement, in the presence of the Minister of Transport, Communications, and Works, Mr. Alexis Vafeades, who will address the signing ceremony.

According to information by Brief, these investments are expected to enhance regional connectivity, sustainable urban mobility, road safety, and network and environmental management. Several road projects are expected to include the construction of new roads or highways, as well as the restoration and upgrade of existing infrastructure.

The Department of Public Works under the Ministry of Transport, Communications, and Works, responsible for developing and implementing transport plans, has included environmental investments in the project, compliant with EU obligations and directives.

Projects funded or under review for funding include:

• Construction of the Nicosia-Troodos Highway (Astromeritis-Evrychou section, Phase D), valued at €90 million and expected to complete by 2025.

• Phase C1 of the Nicosia-Troodos Highway (Akaki-Peristerona section, €70 million), with construction set for 2026–2029.

• Construction of the Nicosia-Palaichori Highway (Analiontas-Kalo Chorio section).

• Phase B3 of the Nicosia Ring Road (Makarios III Avenue, Lakatamia–Nicosia/Palaichori Road).

• Improvements to Hippocrates Avenue, Argyroupoleos Avenue, and part of Strovolos-Tseri Avenue in Strovolos and Lakatamia.

• New bridges over the Pedieos River and improvements to secondary roads in Strovolos.

• Coastal road improvements in Larnaca-Dhekelia (Phase C).

• Upgrades to the Sotira-Deryneia Road.

• A new roundabout in Emba, Paphos.

The proposal for €200 million financing from the EIB, covering 50% of the total estimated cost, was recently approved by the Council of Ministers. This loan framework supports the Ministry of Transport's multi-year infrastructure program.

The projects, some of which are already under construction, are expected to be implemented between 2024 and 2029, with potential co-financing from the Connecting Europe Facility and the Cohesion Program 2021–2027.

The EIB offers more favorable financing terms than other forms of internal or external funding, providing Cyprus with significant financial benefits through long-term loans with extended grace periods and low interest rates.