Finance Minister Makis Keravnos has called for careful consideration of the country’s participation in the electrical interconnection project, citing significant financial implications.
Speaking on Alpha TV today, Keravnos highlighted that the project’s estimated cost of €2 billion represents a substantial portion of Cyprus’s annual budget of approximately €10 billion.
He suggested that the final cost could be even higher, based on experiences with similar projects.
The country’s involvement in this investment is a very serious matter and must be studied very carefully, the Minister stated.
He emphasised the need for thorough feasibility studies and economic assessments before a final decision is made on state participation in the project’s shareholding.
Keravnos drew particular attention to the financing aspects of the project, noting that the implementing body, Great Sea Interconnector, may need to borrow over €1 billion.
We must know in advance the terms of such a loan, the interest rate, and whether state guarantees for repayment will be required, he said.
The minister stressed the significant responsibility his office bears in evaluating the situation before the Council of Ministers makes a decision.
When asked about the European Investment Bank’s (EIB) position on the Greek power grid operator IPTO’s request for a low-interest loan, Keravnos indicated that the bank’s response is expected soon.
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