Breaking news

Cyprus Unveils Two New Housing Schemes To Ease Affordability Pressures

Cyprus has introduced two housing schemes aimed at expanding affordable housing, increasing supply and helping families facing rising property costs. Announced by Interior Minister Constantinos Ioannou, the measures combine public land, planning changes and incentives to make better use of existing properties.

Families Can Add A Floor

One scheme allows homeowners to add another floor for children or grandchildren, subject to specific conditions, even where the property has reached its permitted building density.

An additional housing unit can be created within an existing building or through an extension, added floor or unused space on a plot. The unit can have up to 150 square meters of buildable area, rising to 180 square meters under certain conditions, with parking concessions and a 10-year restriction on transfers except through inheritance.

State Plots At 25% Of Market Value

A second scheme allows eligible households to acquire state-owned plots at 25% of market value. It targets Cypriot citizens under 45, including families with children, couples without children and single-parent families, subject to income and other criteria.

Around 570 plots are expected to be allocated to applicants from the first phase, with further subdivisions planned, particularly in mountainous, remote and disadvantaged areas.

More Housing Projects Underway

The new measures join existing programs supporting young families, rural communities and displaced persons. A program for young people and families up to 41 has supported 700 beneficiaries with €26 million, while other regional schemes approved 1,075 applications between 2023 and 2026, involving €43 million.

Affordable housing projects on state land include 460 planned homes at below-market rents. Meanwhile, the Cyprus Land Development Corporation has 702 units at the implementation, licensing or planning stage and is promoting another 135 plots.

Planning incentives and the Built to Rent initiative are expected to add more than 4,100 units over the next three years, including 1,142 for affordable purchase or rent. More than €22 million is also expected to go into the Special Affordable Housing Fund, supporting about 250 additional units.

Faster Approvals Aim To Expand Supply

Fast-track planning reforms have reduced approval times, with 2,533 detached and semi-detached homes licensed within 40 working days by the end of August. Another 1,242 apartment blocks and terraced housing developments were approved within 80 working days, affecting more than 15,000 families.

Ioannou said the broader strategy is focused on expanding the housing stock, making better use of public and private land, supporting households and speeding up delivery.

EU Agrees On Major Overhaul Of Financial Market Supervision

European Union finance ministers have reached agreement on a sweeping package designed to strengthen oversight of the bloc’s financial markets, in a move aimed at reducing fragmentation and improving the flow of capital across borders.

A Push To Deepen Capital Markets

The Market Integration and Supervision Package, or MISP, would grant the European Securities and Markets Authority direct supervision over major market operators that are currently regulated by national authorities. The reforms are intended to make Europe’s capital markets more integrated, more efficient and better able to channel savings into productive investment.

According to the Irish presidency, the package is meant to help savings and investments move more freely across the European Union, improving access to finance for companies while giving households broader opportunities to earn returns on their savings.

What The Reform Would Change

Under the new framework, ESMA would take direct oversight of key trading venues, clearing houses, securities settlement bodies and crypto-asset service providers. The package would also establish a permanent, independent executive board within the regulator, strengthening its institutional capacity.

Market operators would be able to opt into a new EU-wide operating framework. In parallel, the reforms would seek to make national supervision more consistent and update rules governing trading, transaction completion, investment management and the use of blockchain technology.

Why The Agreement Matters

Supporters of deeper capital markets argue that Europe has long paid a price for regulatory inconsistency. While many rules are harmonised across the bloc, differences in enforcement and supervision have contributed to a patchwork system that can make cross-border investment slower and more costly.

A more integrated framework, proponents say, could lower costs for companies seeking funding and broaden the menu of investment options available to savers and institutional investors alike.

Outstanding Questions Remain

Despite the broad agreement, some important details remain unresolved. Trading venues operated by Deutsche Börse, the company behind the Frankfurt stock exchange, may remain outside ESMA’s direct supervision.

Euronews previously reported that Germany had secured an exemption for Deutsche Börse’s domestically focused trading venues, leaving part of the system under regional supervision. The latest announcement did not clarify whether that arrangement will stand.

A Step Forward For The Savings And Investments Union

Dutch Finance Minister Eelco Heinen welcomed the deal, calling it a major advance for the Capital Markets Union and saying Europe had made more progress in 10 months than in the previous 10 years.

The agreement is an important milestone in the Savings and Investments Union, the EU’s broader effort to channel more of Europeans’ savings into investments that can support growth, innovation and competitiveness across the bloc.

The Future Forbes Realty Global Properties
Uol
Aretilaw firm
eCredo

Become a Speaker

Become a Speaker

Become a Partner

Subscribe for our weekly newsletter