Transport Minister Evi Tsolaki on Friday presented her ministry’s proposed 2027 budget of 611.2 million euros to the House Transport Committee, an increase of 11.3 per cent, or about 60 million euros, on the approved 2026 budget. Major road projects, upgrades to public infrastructure and the promotion of electric mobility are at the centre of the Ministry of Transport, Communications and Works’ development plans.
Tsolaki said more money was being allocated in 2027 for public-benefit projects, and gave assurances that none of the projects already announced would be shelved.
The ministry’s proposed spending, excluding co-funded projects, comes to 561,225,478 euros, with a further 50 million euros earmarked for co-funded projects through the Directorate General for Growth.
Projects already under way are worth a total of 640 million euros, of which 429 million euros are the ministry’s own projects and 211 million euros are being carried out on behalf of other ministries.
Spending by department
The Public Works Department receives the largest share, 264.5 million euros: 165.8 million for development and 98.7 million for ordinary spending.
The Department of Road Transport receives 140.97 million euros, the vast majority for ordinary spending, with 211,043 euros for development. The Department of Civil Aviation receives 64.26 million euros: 12.33 million for development and 51.93 million for ordinary spending.
The Department of Postal Services receives 35.16 million euros. The Electrical and Mechanical Services receive 28.92 million euros: 7.8 million for development and 21.12 million for ordinary spending. The ministry’s administration receives 27.4 million euros: 1.86 million for development and 25.5 million for ordinary spending.
Roads
A large part of the 2027 development programme concerns building new motorways, work on sections of major highways and improving existing roads.
The largest allocations go to the Nicosia to Palaichori motorway, with 21 million euros, Phase C of the Nicosia Ring Road, with 18 million euros, and the Deneia to Akaki to Astromeritis section, also with 18 million euros.
For the Paphos to Polis Chrysochous road, 12.5 million euros is earmarked for the first section and 14 million euros for the second, from Stroumpi to Polis Chrysochous. The second section is a 15-kilometre, four-lane road for which expropriations are expected.
Phase B3 of the Nicosia Ring Road is allocated 10 million euros, and Michalakis Kyprianou Avenue in Peyia 5 million euros.
Smaller projects include 3 million euros to improve Famagusta Avenue in Nicosia, 790,000 euros for access to Nea Lidra from the Megalou Alexandrou junction and 770,000 euros for a third lane on Strovolos Avenue at its junction with Archbishop Kyprianou Avenue.
Buildings
The New Cyprus Museum has the largest specified building allocation, at 32.5 million euros in 2027.
Other building projects are included in the programme, but their cost has not yet been set because studies or proposals from other ministries are pending. They include a new building for the Law Office of the Republic in Nicosia, the ‘Limnes’ reception centre for applicants for international protection, a pre-departure centre for people due to be repatriated and the Asylum Service building.
The list also covers Larnaca’s central bus station, fire stations in Ayia Napa, Peyia, Larnaca and Eptagoneia, and an extension of the fire station depot in Agros. Also being taken forward are an extension of the Department of Meteorology’s radio beacon station building in Athalassa, motorway service stations, new headquarters and a central laboratory for the Public Works Department, offices for the Audit Office and Aradippou police station.
Electric mobility
The budget includes 31 million euros for electric mobility and fleet renewal: 20 million euros to promote electric mobility, 5 million euros to scrap old, polluting vehicles and 6 million euros for charging infrastructure for light and heavy electric vehicles. A total of 2,220 electric vehicles were registered in 2025, and 1,346 in the first eight months of 2026.
The budget forms part of the ministry’s strategic plan for 2027 to 2029, which has three priorities. The first is modern, safe and resilient transport infrastructure, with an emphasis on sustainable and smart mobility, road safety and the green transition. The second is stronger air and sea connectivity, through upgraded air transport and sustainable development of port infrastructure and services. The third is modernising the ministry’s postal, electrical and mechanical and other services through digital transformation, to improve services for the public and businesses.
