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Cyprus Bets On EU-Funded Project To Solve Water Scarcity

A groundbreaking European initiative is poised to address Cyprus’ longstanding water challenges. Backed by Horizon 2030 and uniting 39 partners—including the Department of Water Development and the Larnaca Sewerage Board—the Water-Mining project is redefining the potential of desalinated water in drought-prone regions.

Turning Desalination Into A Sustainable Solution

Cyprus relies heavily on desalination, with approximately 70% of its drinking water sourced from these facilities. However, the process is energy-intensive and produces significant brine waste. Enter the Water-Mining project, which leverages innovative scientific methods to transform this byproduct into valuable industrial materials—reducing waste, cutting energy consumption, and increasing the island’s overall water availability.

One of the key figures behind this initiative is Associate Professor Demetris Xevgenos from the Technical University of Delft, who serves as the project’s executive coordinator. He recently presented the results in Lampedusa, Italy—an island entirely dependent on desalination—with overwhelmingly positive feedback. Now, Cyprus is next in line for evaluation and implementation.

From Concept To Implementation

The project, already scientifically advanced, was showcased in Nicosia last November to key stakeholders. The next phase involves a European-level evaluation, with plans to launch the initiative at the Cyprus Electricity Authority’s Vasiliko site. While tendering and commercial management discussions are ongoing, this initiative represents a major step forward in optimizing desalination efficiency.

As climate change intensifies, initiatives like water mining could become essential in securing Cyprus’ water future, ensuring that the island maximizes every drop of its most precious resource.

Cyprus Inflation Trends: Steady Uptick Amid Moderate Price Growth

Cyprus Statistical Service data show that the Consumer Price Index (CPI) in Cyprus rose to 101.07 points in March 2026 from 99.86 in February. The increase of 1.21 points reflects continued movement in consumer prices across key categories.

National Inflation Dynamics

Cystat reported an annual inflation rate of 1.2% in March 2026, indicating moderate price growth. Agricultural products recorded an annual increase of 13.3%, while electricity and water prices declined by 12.9%. Monthly, petroleum products showed the largest increase at 9.1%, reflecting changes in energy prices.

European Outlook And Comparative Analysis

Eurostat estimated annual inflation in Cyprus at 1.5%, with a monthly increase of 1% based on the harmonised index of consumer prices (HICP). Across the euro area, inflation reached 2.5% in March, influenced by a 4.9% increase in energy prices.

Sectoral Drivers And Economic Implications

Food and non-alcoholic beverages recorded an annual increase of 6.2%, while clothing and footwear declined by 5.8% year on year. Positive contributions to the CPI also came from restaurants and accommodation services, as well as recreation and culture. Declines in health services and information and communication helped offset upward pressure on overall prices.

Conclusion: A Balanced Economic View

While consumer prices increased in March 2026, inflation remains below the 2.1% level recorded in March 2025. Current data show varying trends across sectors, with energy, food, and services contributing differently to overall price dynamics.

Comparisons with Eurostat data indicate that both local and broader European factors continue to influence inflation levels. These developments remain relevant for policymakers and businesses assessing economic conditions, particularly in relation to pricing, investment planning, and fiscal policy decisions in the coming months.

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