Cyprus will proceed with the upgrade of its ageing AMX-30 battle tanks as there is currently no alternative to replace them, Defence Minister Vasilis Palmas said on Friday.

Palmas confirmed the modernisation programme after being asked about a report in daily Alithia, which said €25 million would be spent on fitting thermal cameras to the tanks, despite the alleged existence of a classified report recommending their withdrawal.

Speaking on the sidelines of a swearing-in ceremony for newly recruited contract soldiers at the Larnaca recruitment centre, Palmas acknowledged that the AMX-30s were old, but said they still had to meet the National Guard’s operational needs until the country’s tank fleet could eventually be renewed.

“At this moment there is no alternative solution as far as our tank fleet is concerned,” he said.

The National Guard therefore had to modernise the tanks it already had and adapt them to new conditions and requirements, he added.

“With the modernisation we are promoting, they will be given such capabilities that they can continue to serve the needs of the National Guard until we renew our tank fleet,” Palmas said.

He also rejected the impression that the decision to proceed with the upgrade had been taken by a single senior officer.

The Alithia report referred to an agreement by the National Guard’s deputy chief for the installation of thermal cameras on the AMX-30s at a reported cost of €25 million.

Palmas said decisions concerning National Guard procurement programmes were not made by one person, but went through procedures laid down in legislation governing the internal operation of the defence ministry.

These involve the National Guard General Staff, the defence ministry’s armaments directorate and internal tender procedures.

Funding must also be approved by the House defence committee before the relevant money can be released.

“As the report is worded, it creates the impression that one person decided on the upgrade,” Palmas said.

On the substance of the matter, however, he confirmed that the upgrade was moving ahead.

Cyprus has operated the French-designed AMX-30 for decades. A major 1989 procurement from France included 35 AMX-30B2 battle tanks and an AMX-30D recovery vehicle, while the fleet was later supplemented by refurbished former Greek army AMX-30s transferred to Cyprus in the 1990s.

The fleet was later supplemented with around 50 refurbished AMX-30s transferred from Greek army stocks in 1996-97. The National Guard also operates Russian-designed T-80 tanks alongside the AMX-30.

Asked what would come next, Palmas said the modernisation of the National Guard was continuing through both the EU’s Safe defence financing instrument and the budgets of the National Guard and defence ministry.

His comments come as defence spending is set to rise sharply in 2027. The state budget submitted to parliament on Thursday provides €430.15 million for defence strengthening next year, compared with €176.8 million budgeted for 2026, while the defence ministry’s overall budget rises from €628.04 million to €894.68 million.

Palmas said Cyprus had never claimed to be a military superpower or a state with major political clout, but argued that the continued occupation meant it had an obligation to strengthen its deterrent capabilities.

Given that part of Cyprus has been occupied for 52 years, he said, the Republic had to “develop, strengthen and reinforce its deterrent power” to be in a position to defend itself.