The Cypriot government has welcomed the entry of French investment group Meridiam as majority shareholder in the Great Sea Interconnector (GSI), with Energy, Commerce and Industry Minister Michalis Damianos saying the development gives huge new momentum to efforts to carry out the project and confirms the shared political will of Cyprus and Greece to advance the electricity interconnection.
Speaking after the first meeting of the Council of Ministers in its new composition, Damianos said Meridiam's entry fulfils the joint decision taken by President Nikos Christodoulides and Greek Prime Minister Kyriakos Mitsotakis at the third Cyprus-Greece Intergovernmental Summit in Athens on 12 November 2025, when the two leaders agreed to seek a strong investor for the project. He said the involvement of a major international French group with the necessary expertise clearly gives fresh momentum to the project and reflects the shared political will of Nicosia and Athens to advance the interconnection. He added that the President had been kept regularly informed by the Greek prime minister on developments in the related talks.
Cyprus awaits EIB study before deciding
Asked whether Cyprus should now become a shareholder in the GSI, Damianos said the government is still waiting for the findings of the due diligence study being carried out by the European Investment Bank (EIB) on the financial aspects of the project, adding that a decision on Cypriot participation will be made further down the line. He said IPTO (known in Greece as ADMIE), the body implementing the project, has already submitted a formal request to the EIB, and that the study is expected to be completed before the end of the year.
Asked whether Meridiam's involvement helps reduce the geopolitical risks linked to Turkey, Damianos said an international French giant's involvement certainly helps the project for obvious reasons.
On the possibility of attracting further investors, the minister said he could not predict future developments, but noted that a project with this level of investment interest would naturally be expected to attract further interest. He clarified that, following the agreement, Meridiam will hold 66% of the project, with IPTO retaining the remaining one third.
Asked whether Meridiam's entry means the project's viability is now secured, Damianos described it as a vote of confidence, while repeating that the government's decisions will be based on the EIB's findings. He added that the study will clarify the project's final cost and how any increased financing needs would be covered, noting that if costs have risen beyond €1.9 billion, the government will need to see how any additional requirements would be met by investors. He stressed that the government's position remains that updated EIB data is required before final decisions are made.
Source: CNA
