housing policy — The government has made housing a top priority, fully recognising the challenges faced by numerous residents, particularly young people, in securing their own homes, the interior ministry stated on Wednesday.
- This assertion came as a response to criticism from the opposition party, Democratic Rally (Disy), which claims the government's measures to address the housing crisis are insufficient.
- Additionally, around 4,200 refugee families have benefited from financial support through programmes administered by the Service for the Care and Rehabilitation of Displaced Persons.
This assertion came as a response to criticism from the opposition party, Democratic Rally (Disy), which claims the government’s measures to address the housing crisis are insufficient.
In a post on X, President Nikos Christodoulides asserted that the government is implementing a clear and structured housing strategy aimed at tackling one of the nation’s most pressing social issues. He emphasised that the administration’s approach is rooted in “seriousness, responsibility, credibility and effectiveness.”
The interior ministry clarified that solving the housing problem is not an overnight task and requires coordinated policies, investments, reforms, and ongoing adjustments to evolving conditions. It highlighted that the comprehensive housing strategy has been in place for two years, focusing on two main pillars: increasing housing supply and improving access to affordable accommodation.
The ministry explained that its housing policy is based on technical and economic studies and consultations with market stakeholders, ensuring economic stability is maintained. It contended that the measures currently being implemented surpass the proposals put forward by Disy.
Among the initiatives introduced is a reduction in bureaucracy and delays through fast-track licensing procedures. Approximately 10,000 residential units have already been approved, with construction expected to commence one to two years sooner than previously anticipated.
In addition, the ministry reported a 45 per cent increase in building density through planning incentive schemes and the Build to Rent programme, which aims to add around 2,500 new homes to the market in the coming years, including about 400 designated as affordable housing.
Furthermore, over 1,400 individuals and families have received or are expected to receive grants through housing schemes designed for people under 41 and residents of remote areas. The government recently expanded the number of beneficiaries under the housing grant scheme for young families, increasing the number from 400 to approximately 700, demonstrating its commitment to addressing critical social needs.
The revitalisation of the Cyprus Land Development Corporation (Koag) was also highlighted by the ministry. Previously inactive under the prior administration, Koag now has expanded responsibilities and increased funding, currently progressing with the construction of 244 housing units for sale and 192 affordable rental units, while promoting the subdivision of 135 residential plots across all districts.
Moreover, the government has announced plans for the construction of 500 affordable rental units on state-owned land. There is also a scheme for collective accommodation facilities targeting workers in the retail, industrial, and tourism sectors.
Additionally, around 4,200 refugee families have benefited from financial support through programmes administered by the Service for the Care and Rehabilitation of Displaced Persons.
In its concluding remarks, the ministry acknowledged that rising property prices pose a challenge across Europe and cannot be solely blamed on housing supply and demand dynamics. It pointed out that external factors, including inflationary pressures—particularly in the energy sector—have significantly contributed to escalating housing costs.
