Cyprus signs €144m loan agreements with EIB and CEB for new Nicosia museum

The Republic of Cyprus signed with the European Investment Bank (EIB) and the Council of Europe Development Bank (CEB) two loan agreements, worth €72 million each, for financing the construction of the new archaeological museum in Nicosia.

The loans were signed on Thursday by Finance Minister Makis Keravnos, Minister of Transport, Communications and Works Alexis Vafeades, Deputy Minister of Culture Vasiliki Kassianidou, EIB Vice-President Kyriakos Kakouris, and CEB Vice-Governor for Target Group Countries Tomáš Boček, during a signing ceremony at the Finance Ministry, in Nicosia. on 27 February.

The dignitaries pointed out that the new museum is expected to be a landmark for showcasing Cyprus' rich archaeological heritage, while also boosting tourism and the country's economic development.

Keravnos said that the contribution of the EIB and CEB is invaluable in shaping Cyprus' development path and prosperity. He underlined that "the provision of equal funding of €72 million by each the EIB and CEB for the construction of the new archaeological museum is a significant event."

He mentioned that the project being financed, with an estimated value of €144 million plus VAT, constitutes a "magnificent project" with state-of-the-art facilities and high energy specifications, featuring a new museological approach dedicated to showcasing Cyprus' rich archaeological heritage.

Vafeades said, that creating a museum capable of hosting memories of the archaeological past as they deserve has been a vision of the State for many years.

Kassianidou stated that today's signing marks a decisive step in the completion of this new museum, simultaneously confirming the commitment of all involved parties to its successful implementation. She mentioned that the new museum will be a point of reference and will put Cyprus on the cultural map of Europe and the wider region.

Kakouris emphasised that the EIB has always been a supporter of Cyprus adding that “with funding of €72 million, we are supporting the construction of the new museum, which will not just be a space for exhibiting archaeological treasures, but a modern hub of culture, education, and social interaction.”

Boček mentioned that "today represents a significant milestone in our cooperation with Cyprus and the EIB, as we unite to support the construction of the Cyprus archaeological museum."

After the signing of agreements, Kakouris presented the EIB's financial results for 2024.

Kakouris said, among others, that the EIB Group remains a key partner for Cyprus and its economic development, stating that in 2024, a total of 225 million euros were committed to projects related to transport, social infrastructure, sustainable student housing, and energy.

The EIB Group, he continued, which includes the European Investment Fund (EIF), signed almost 89 billion euros in new financing for over 900 high-impact projects in 2024, enhancing Europe's competitiveness and security.

Moreover, according to a press release by the EIB Group for 2024, it is noted that the Group's latest annual results bring the total Group financing for Cyprus for the last five years to 1.3 billion euros, while the annual average in the country since 2000 amounts to 256 million euros.

"2025 will continue even more dynamically, pursuing sustainable development, competitiveness, and innovation," Kakouris concluded.

(Sources: CNA/PIO)