Minister of Agriculture, Rural Development and Environment Maria Panayiotou presented a €552.5 million budget for 2026 to the House Finance Committee. Of this, €514.5 million comes from national funds and the remainder from European contributions. Development spending is set at €110.1 million, down from €134.2 million in 2025, which the minister attributes to the maturation of major projects such as solid-waste management. Revenues are expected at €239.3 million, about 7 percent higher year on year, driven mainly by greater income from auctioning greenhouse-gas emission rights.
Water first
Water management accounts for 38 percent of the total budget through a plan of 28 initiatives. The government will move from seasonal to permanent operation of desalination units and earmark around €140 million for desalinated water purchases, the highest amount ever approved.
Five permanent plants in Paphos, Episkopi, Vasilikos, Larnaca and Dhekelia remain the backbone. Capacity will be lifted by at least 32 percent via seven mobile units in Moni, Kissonerga, Garyllis, Limassol Port, Episkopi, Vasilikos and the Famagusta district.
Protecting dams for farmers
Panayiotou told MPs that the strategy ring-fences dam reserves for agricultural use, with desalination covering urban demand. More than €195 million will fund water-policy projects as Cyprus faces one of its worst prolonged droughts; 2025 ranks as the eighth driest year since 1901.
At least 35 water projects will run in 2026 for both irrigation and drinking water, including 15 major infrastructure schemes.
Source: CNA