Cyprus to benefit from €10 billion EU housing initiative

The Interior and Finance Ministries of Cyprus are planning to take advantage of the European Investment Bank’s (EIB) new €10 billion housing initiative to help address the growing housing affordability crisis on the island.

The EIB has launched a platform to invest in affordable and sustainable housing across Europe, with funding set to reach €10 billion by 2026. The Interior Ministry is looking to clarify how the platform works and create a plan to use these European funds.

Housing affordability has become a major issue in Cyprus, with prices and rents rising significantly in recent years. The government is considering different ways to use the funding, including offering interest subsidies for new affordable housing or directly financing projects that allocate units for affordable housing. This initiative is part of the EIB’s effort to address housing shortages across Europe, with a need for one million new homes each year and five million homes requiring renovation for better energy efficiency.