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Nicosia’s Bold €200M Transformation: A Vision For Sustainable Urban Mobility

Nicosia is set for a major urban transformation with the launch of an ambitious €192 million sustainable mobility plan aimed at reshaping the city’s transport network by 2030. The initiative seeks to reduce the capital’s dependence on cars—currently responsible for over 85% of all journeys—while promoting eco-friendly alternatives such as public transport, cycling, and pedestrian-friendly infrastructure.

A 15-Minute City Vision

Approved by the Environmental Authority, the plan envisions Nicosia as a “15-minute connected multicore city,” where residents can access key services within a short walk, bike ride, or public transport trip. With inflation adjustments, the total investment is expected to surpass €201 million, while projected societal benefits, including residual infrastructure value, are estimated at €453 million over six years.

Key Infrastructure Developments

The plan dedicates €111 million to renovating historic and commercial centers, including Strovolos, Nicosia, and Lakatamia. Public transport improvements will receive €46 million, and €13 million will be allocated to expanding cycling infrastructure.

Additionally, new speed regulations will be implemented, introducing 30 km/h zones in districts such as Aglantzia, Kaimakli, and Pallouriotissa for €2.9 million.

Addressing Nicosia’s Transit Challenges

Public transport usage in Nicosia currently stands at just 2-4%, with walking and cycling accounting for another 4%. The new strategy aims to curb issues arising from excessive private car use, including congestion, air pollution, noise, traffic accidents, and illegal parking.

Aligned with Cyprus’s updated National Energy and Climate Plan, the initiative aims for a 30% reduction in petrol-powered private cars and diesel buses, replacing them with electric alternatives. By 2030, the city’s entire bus fleet is expected to be fully electric.

Major Road And Transport Projects

A key feature of the plan is a new 32-kilometre four-lane peripheral motorway linking Nicosia-Limassol, Nicosia-Troodos, and Nicosia-Palaichori highways, designed to ease congestion. Other major projects include:

  • €7 million upgrade of the Tseri axis
  • €31 million improvements to Argyroupoleos, Ippocratous, and Tseri avenues in Lakatamia and Strovolos
  • Eight historical center renovations
  • Controlled parking zones with premium rates
  • Old GSP stadium redevelopment
  • 13 new cycling routes, including university connections
  • 20 public transport enhancements, including new circular routes

City officials emphasize that the plan remains flexible to adapt to evolving urban mobility needs and insights gained during implementation. If successful, Nicosia’s transformation could serve as a model for sustainable urban planning in the region.

Cyprus Construction Trends: Permit Count Slips While Value and Scale Surge in 2025

The Cyprus Statistical Service (Cystat) has reported a notable shift in the construction landscape for 2025. The latest figures reveal a modest 1.9% decline in building permits issued in March compared to the same month last year, signaling a nuanced trend in the nation’s developmental activities.

Permit Count Decline in March

In March 2025, authorities authorised 572 building permits—down from 583 in March 2024. The permits, which total a value of €361.5 million and cover 296,900 square metres of construction, underscore a cautious pace in permit approval despite ongoing projects. Notably, these permits are set to facilitate the construction of 1,480 dwelling units, reflecting an underlying demand in the housing sector.

Q1 2025: Growth in Value, Construction Area, and Dwelling Units

While the number of permits in the first quarter (January to March) decreased by 15.8% from 1,876 to 1,580, more significant, economically relevant metrics saw robust growth. Total permit value surged by 21.7%, and the authorised construction area expanded by 15.6%. Additionally, the number of prospective dwelling units increased by 16.7% compared to the corresponding period last year. This divergence suggests that although fewer permits were issued, the scale and ambition of the approved projects have intensified.

New Regulatory Framework and the Ippodamos System

Since 1 July 2024, a pivotal transition has taken place in permit administration. The responsibility for issuing permits has moved from municipalities and district administration offices to the newly established local government organisations (EOAs). The integrated information system, Ippodamos, now oversees the licensing process, streamlining data collection on both residential and non-residential projects across urban and rural areas.

Comprehensive Data Collection for Enhanced Oversight

The Ippodamos system categorises construction projects using the EU Classification of Types of Construction (CC). This platform gathers extensive data on the number of permits authorised, project area and value, and the expected number of dwelling units. It covers a broad spectrum of construction activities—from new builds and civil engineering projects to plot divisions and road construction—while excluding renewals and building divisions. The thoroughness of this new regulatory structure promises greater operational transparency and more informed decision-making for policymakers and industry stakeholders.

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