Cyprus Mail 30 January 2025 - by Rebekah Gregoriades
A modern, digital Cyprus, which will be a model of transparency and accountability, socially sensitive and proud of its role in the region, is President Nikos Christodoulides’ vision for the year ahead presented on Wednesday.
With “a vision and aim to improve the daily lives of people” in a continuously changing Cyprus, President Nikos Christodoulides outlined his main goals, saying the year 2025 was dedicated to digital transformation, with an aim to slash red tape and enhance the competitiveness of the economy, whilst promoting transparency.
He announced the introduction of over 80 reforms and 60 online services, along with the national strategy and an action plan to extend their advantages to all policy sectors.
Speaking at a special event at the presidential palace, attended by officials, social partners, organisations and personalities from civil society, Christodoulides outlined the main points of his government’s annual programme for 2025 and referred to five main goals: economic growth, digital transformation, reforms, security and solving the Cyprus problem.
Referring to the Cyprus problem, Christodoulides reiterated his political will to resume talks for a settlement, within the framework agreed with the UN.
“I will do everything possible to fully utilise the upcoming extended meeting under the secretary-general’s auspices, which is expected to take place in March. In this framework, I look forward to my meeting on February 10 with the UN deputy secretary-general, Mrs Di Carlo,” he added.
Presenting his programme, the president said: “the Cyprus economy will continue to grow at one of the highest rates in Europe, despite the instability in the region and the fact that powerful European countries are being placed under observation.”
Referring to tax reforms, he said “we are strengthening the available income of households and supporting the growth of Cypriot businesses.”
He also said that during the first half of 2025, the state would start paying back the depositors who suffered a haircut in 2013.
MIGRATION
On migration, he said repatriations exceeded the arrivals of illegal immigrants by 170 per cent, while arrivals dropped 70 per cent compared to 2022.
Christodoulides said Pournara reception centre would be upgraded this year, and a new centre would be built in Limnes.
Furthermore, integrating legal migrants was another aspect of the government’s migration policy, he added.
HOUSING
Regarding the government’s housing policy, Christodoulides said a new plan for building plots at 25 per cent of their value would be introduced, along with an updated plan for young people under the age of 41 with subsidies up to €50,000, revised plans for more young, displaced people and 20 per cent more to displaced people through plans for rural, mountainous, remote and disadvantaged areas.
For agriculture, the president referred to the growth of the primary sector, with funding tools for farmers, shortening the wait for compensation and utilising technology to increase farmers’ income.
In tourism and shipping, Christodoulides said there would be a policy framework and incentives for theme parks.
He added that tenders would be invited for the first phase of Paphos’ marina.
Furthermore, other tourist destinations would be upgraded and policies would be in place to attract and grow shipping services.
INFRASTRUCTURE
Christodoulides said a series of important infrastructure projects worth a total of €1.3 billion would be promoted.
For Nicosia, he referred to the next phases of the ring road worth €120 million and the completion of documents for the Akaki-Astromeritis road worth €107 million.
Limassol can expect projects to relieve traffic congestion worth €250 million, including phase A of the north ring road and the completion of studies for phase B of the motorway to Saittas worth €65 million.
For Larnaca, he announced the launching of works at the port and marina, as well as the industrial port at Vasiliko worth €350 million.
Paphos will be getting both phases of the Paphos-Polis Chrysochous motorway worth €300 million and the expansion of Latchi harbour worth €50 million.
For Famagusta, he announced the planning and launching of various works to cost €60 million, as well the delivery of the first phase of the Liopetri estuary.
He also said the updating of the legal framework and the introduction of a new electronic system could be expected.
Christodoulides said a centre to serve businesses would be set up as a first stop for investors, personalised information and rapid licensing for strategic developments.
EDUCATION
Regarding education, Christodoulides announced a new teacher evaluation system, the extension and upgrading of the all-day school with the incorporation of 60 schools, a pilot technical gymnasium, vocational orientation from the sixth class of primary education, a work week in the second class of the lyceum and the extension of the financial literacy to cover all gymnasium classes.
He also said the legislation on special education would be updated.
In the sectors of culture and sports, the president announced an enhanced experience for visitors of museums and archaeological sites.
He also said a plan to support technological and digital upgrading of cultural organisations, a plan for the professional rehabilitation of athletes securing a place in the Olympics and Paralympics, and the upgrading and modernisation of sports infrastructure.
Regarding the health sector, he said the aims were to improve the functioning of state hospitals, create medical care emergency units, strengthen the control and supervision of Gesy, setting up a national prevention strategy and launching a model children’s oncology clinic worth €8.5 million.
For households, he announced tax exemptions that would support the middle class and for businesses he referred to the reduction of taxation, the increase of competitiveness and exports, and strengthening the country as a destination for quality investments.
For the labour market, Christodoulides promised a campaign to repatriate Cypriot scientists, the modernisation of the cost-of-living allowance (CoLA), the readjustment of the minimum wage and addressing undeclared work.
SOCIAL POLICY
To enhance the government’s social policy, Christodoulides said the child allowance would be modernised and expanded, with a further 16,000 children eligible and an automatic benefit from the school fee and lunch subsidy up to 80 per cent of the fees.
Furthermore, a programme for the support of the elderly at home would be introduced, along with a plan for the integration of receivers of the EEE (minimum guaranteed income) benefit into the labour market.
He furthermore said the pension scheme would be reformed to secure decent pensions, modernise the social insurance fund investment policy, enhance the vocational pension plan and upgrade the social insurance system.
DIGITAL TRANSFORMATION
Referring to digital transformation, Christodoulides said 60 new e-services would be introduced, along with the improvement of the Digital Citizen and the utilisation of artificial intelligence.
He said rapid and automatic licensing would be promoted for planning permissions and building permits for up to two houses in 40 days and for blocks of flats of up to 20 apartments in 80 days.
All social insurance payments will also be made within 30 days.
Christodoulides also referred to iconic reforms to be promoted in 2025.
He said these included the modernisation of the audit service and law office, reforms at the Central Bank, a unit for long-term planning, the upgrading of arbitration, and setting up an administrative appeals court, a national sanction implementation unit and a single supervisory authority.
DEFENCE
Regarding defence and security, Christodoulides said the Andreas Papandreou air base in Paphos would be upgraded, the Evangelos Florakis naval base in Moni would be extended and industrial cooperation defence programmes would be launched.
Christodoulides made special reference to the necessity to strengthen the public’s feeling of security, in the light of unrest in the region.
He mentioned the voluntary enlistment of women, upgrading the reserves and national guardsmen, producing defence systems, expanding military cooperation with other countries and presenting Cyprus as a bridge between Europe and the Middle East.
The president furthermore referred to Cyprus’ inclusion in the US visa exemption and the technical preparations for joining the Schengen zone.
On the chapter of security and safety, he also said the police would be getting a series of upgrades to improve crisis management and immediate response in various situations, including hooliganism.
To address extreme weather conditions, Christodoulides announced the availability of at least 11 aircraft and the purchase of three others.
He also said systems to detect fires would be introduced in 12 industrial zones and crucial structures.
Furthermore, the number of available shelters would be increased and an app would be launched for people to find their nearest shelter.
RENEWABLES
The president announced grant plans for storing energy in businesses and households, a ‘photovoltaics for all’ plan for small businesses and the completion of the natural gas import terminal at Vasiliko.
Regarding the water shortage, Christodoulides referred to the installation of mobile desalination units, upgrading irrigation systems, utilising unused wells and building new infrastructure, along with funding private desalination units.
He also said the government would be promoting further use of renewable energy with the introduction of new incentives.
The government’s plans also include finishing the natural gas terminal, which will reduce the cost of electricity.
Christodoulides said he would also be pushing forward with the natural gas deposits in Cyprus’ exclusive economic zone and would be flying to Egypt on February 17 to sign agreements to this end. Just a few months before Cyprus assumes the EU rotating presidency, Christodoulides said the government would take the opportunity to promote the role of Cyprus, set its priorities, advance European integration and enhance strategic autonomy.
Concluding his presentation, the president called on everyone to judge the government by its work and appeared certain that with everyone’s cooperation the country could be transformed. “We remain focused on what really counts: The present and the prospects of tomorrow for a safe Cyprus,” he said.
