Artificial intelligence is a key pillar of the digital transition, said Research, Innovation and Digital Policy Deputy Minister Nicodemos Damianou on Monday, adding that the National AI Strategy is in the final preparation stages.
Presenting a review of his portfolio, Damianou said the focus was on accelerating the digitalisation of the state and strengthening services provided to citizens and businesses.
“Artificial Intelligence is a fundamental pillar of the digital transition,” he said, adding that ‘AI for Government’ enhances solutions for the public sector, while AI is already being integrated into systems such as Ippodamos and iJustice.
He referred to new infrastructures being developed such as Pharos-CY, the connection to Greece’s supercomputer Daidalus, and the creation of a national supercomputer in cooperation with NVIDIA. AI is also expanding into education, with implementation of the AI Act, he said.
Upgrading infrastructure and connectivity, investing in cybersecurity, developing citizens’ digital skills, and protecting minors online constitute key pillars of the Deputy Ministry’s planning, noted Damianou.
According to the Deputy Minister, “in 2025, more than 75 services were developed – almost double those of 2024.” In 2026, he said, “we expect to deliver over 100 services.”
He added that in 2025, citizens made use of the civil registry’s digital services over 32,000 times.
Also, in 2025 more than 13,000 digital services related to conscription issues were provided digitally, 16,074 electronic applications were also made for student sponsorship 7,076 people applied for Solidarity Fund payments and were delivered the money, with the total amount amounting to more than 71 million euro.
In 2025 more than 90,000 student profiles were created via ‘e-ΔΕΑ’ while 65,000 applications were made.
The customs system also went live in 2025, replacing the fragmented older systems – a long‑standing requirement for compliance with European provisions, he said. More than 1.2 million declarations and applications have been submitted through the Customs System. The fourth system launched in 2025 was that of the Deputy Ministry of Shipping.
Damianou presented the digital services offered at post offices, noting also that the government will further upgrade existing services such as “Tax For All” and the system and the permit system ‘Ippodamos’ in 2026.
“We now have a modern system for managing tax matters in our hands,” Damianou said. He noted that in 2025, the “Tax For All” system received 360,000 declarations, while more than €290 million was collected by the state. Nine significant services were added to the “Ippodamos” system in 2025.
“A working group has been set up to examine how artificial intelligence can be used on the very large‑scale datasets of Ippodamos, so that some of our decisions can be accelerated,” the Deputy Minister noted.
For 2026, they are also scheduling the upgrade of the Road Transport Department system to completely replace the old one and provide a large range of digital services, as well as the Social Insurance system and the Police communication platform.
Several major systems currently under development will also deliver results this year. These include the iJustice system, which concerns the management of court cases. It is a full replacement of eJustice, which had to be terminated, he explained, adding that “the first phase will be delivered mid‑year.”
“We are examining how generative AI tools can be integrated into iJustice so that lawyers can better utilise previous decisions, legislation and so on,” the Deputy Minister said.
The new system of the Registrar of Companies will digitise the entire cycle of corporate procedures. “We aim for it to operate by the end of 2026, though it may be delivered in the first quarter of 2027,” Damianou said.
The Deputy Ministry is also supporting health‑sector projects such as cross‑border healthcare services and the system for the integrated patient medical record. It is also supporting the implementation of the Civil Protection Early Warning System, overseen by the Ministry of Interior.
EU Entry‑Exit System and the Schengen Zone
Damianou also referred to the EU Entry‑Exit System, which will be implemented in the first quarter of 2027. It will electronically record the entry and exit of third‑country nationals, essentially replacing the stamping of passports.
“It is part of the Schengen package but is not a precondition for our accession. I want to clarify this, as most member states have not yet implemented it. The President had stated that we would be technically ready by the end of last year to move forward with accession – and yes, we were technically and technologically prepared for this process,” the Deputy Minister said.
Smart Cities – Smart Cyprus, ‘Digital Citizen’ and Digital Assistant
According to the Deputy Ministry’s announcement, Phase A of the Smart Cyprus Project will be completed in 2026, with the creation of a unified platform for implementing smart solutions across Cyprus. A Smart Citizen mobile app will operate, providing access to services, communication with local authorities, and access to electricity consumption data.
It is noted that in 2025 the functions of the “Digital Citizen” app were expanded, surpassing 135,000 registered users. In 2026, new features will be added: tickets for sports events, a child ID within the parent app, and residence documents for foreigners. An English version of the app will be launched within the month.
Meanwhile, the government portal gov.cy receives over 1 million monthly visits, while the Digital Assistant has answered more than 250,000 citizen queries, covering 137 topics – from taxation and benefits to consular affairs. New sections will be added in 2026, including Land Registry, Migration, Police, and Ministry of Foreign Affairs.
Digital Infrastructure and Connectivity – Free Digital Skills Training
By 2026, the expansion of fibre‑optic networks across Cyprus will be completed, ensuring fast and reliable internet for the entire population. A Government Cloud for the public sector is being created, while cybersecurity has been significantly strengthened with investments in new mechanisms and structures over the past two years.
In 2025, 25,000 people participated in free digital training programmes, with emphasis on vulnerable groups, including people over 55 and women in rural areas. In 2026, a new initiative will provide practical support for the elderly, assisting them daily with transactions involving the state, municipalities and other bodies, said Damianou.
Source: CNA