President Nikos Christodoulides on Saturday outlined a series of government actions aimed at supporting the construction sector and strengthening the wider economy.
Speaking at the annual general assembly of the federation of building contractors (Oseok), he emphasised reforms designed to benefit both citizens and businesses.
Christodoulides opened his speech by highlighting the performance of the Cypriot economy despite global and regional instability.
“Amid two wars and major geopolitical disruptions, Cyprus shows economic results that even large European states would envy,” he said.
He cited strong growth, a public debt reduction below 60 per cent of GDP, secure fiscal reserves, and unemployment rates comparable to 2008.
The president stressed that alongside prudent economic management, the government’s priorities include continuous and bold reforms. These reforms aim to modernise the state, making it more efficient and responsive.
Christodoulides noted efforts to create a transparent, faster environment for project development and implementation.
He highlighted recent decisions, including the cabinet’s approval regarding the oversight of the attorney general, calling it a major step in reforming the law office. He also pointed to a tax transformation expected to reach Parliament before the end of the year, offering provisions to strengthen Cypriot entrepreneurship.
Among these measures is the reduction of the defence tax from 17 per cent to 5 per cent.
The president also linked new licensing procedures to tackling housing challenges, noting that Cyprus faces fewer difficulties than other European countries but continues to work methodically on the issue.
Christodoulides announced plans to bring pension reform to parliament in 2026. He said the last significant review of the system was in the 1980s. Reforms in education and other areas are also underway, aimed at modernising the state for current needs and citizen benefit.
The government, the president said, also aims to reduce bureaucracy and digitalise processes for planning and construction permits.
Single and two-family home applications will be processed within 40 working days, and apartment buildings up to 20 units within 80 days. Since introducing the new system, over 1,400 applications for single and two-family homes and around 260 for small apartment buildings have been processed within these deadlines.
Christodoulides acknowledged concerns from Oseok regarding delays at local authorities. He said the situation is improving, with more applications being processed than submitted in many districts. The interior ministry is working closely with local authorities to maintain these improvements nationwide.
Further changes are being made to the land registry.
New legislation will clarify state land allocation and transfer fees. Digitalisation of forms and applications will speed up processing.
Special teams will examine applications for easement rights, and private valuers will assist with compulsory sales at auctions for co-owned properties.
Christodoulides concluded by stressing that these measures form part of a broader plan to improve citizen services, enhance project quality, and increase efficiency for construction professionals.
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