Agriculture Ministry Budget Rises to €532m, With 43% Allocated to Water

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Water projects will account for 43% of the ministry's spending in 2027, amid drought pressures and higher desalination costs.

The proposed 2027 budget for the Ministry of Agriculture, Rural Development and Environment amounts to €532 million, up from €513.2 million in 2026, representing an increase of €18.7 million, or 4%.

The figure excludes €48 million earmarked for EU co-funded programmes under the THALEIA 2021-2027 and European Maritime, Fisheries and Aquaculture Programme 2021-2027, as those funds are included under the budget of the Directorate-General for Growth.

Water takes largest share

Presenting the budget proposal, Agriculture Minister Christos Senekis said spending on water supply and irrigation will reach €230 million in 2027, accounting for 43% of the ministry's total expenditure, compared with €200 million or 39% in 2026.

Senekis noted that spending on water purchases will increase by €26 million, or 18%, largely due to prolonged drought conditions, the installation and operation of new mobile desalination units, and the purchase of recycled water.

Spending breakdown

The proposed 2027 budget is allocated as follows:

  • 29% for staff salaries and allowances
  • 32% for water purchases
  • 14% for development expenditure
  • 15% for other recurrent expenditure
  • 10% for contributions, grants, subsidies and compensation payments

Higher recurrent spending, lower development expenditure

Proposed recurrent expenditure for 2027 amounts to €433.7 million, up from €403.6 million in 2026, an increase of 7%.

Meanwhile, development expenditure is projected at €98.3 million, compared with €109.7 million in 2026, representing a decrease of €11.4 million, or 10%.

According to the ministry, the reduction is mainly due to certain development projects not reaching the expected level of maturity. However, resources will continue to be directed towards priority projects requiring funding during the coming year.

Nine strategic pillars

The ministry said its 2027 policies and priorities will be implemented through nine strategic pillars:

Developing a competitive primary sector

Pillar 1: Development of a dynamic primary sector.

Water security

Pillar 2: Water as a vital natural resource and a legacy for future generations.

Green transition

Pillar 3: Green transition and the circular economy.

Protecting biodiversity

Pillar 4: Living with nature through the protection of forests and biodiversity.

Animal welfare and public health

Pillar 5: Veterinary public health and animal welfare.

Marine environment

Pillar 6: Clean, healthy and productive marine ecosystems.

Citizen protection

Pillar 7: Protecting the people of Cyprus.

Modernising the state

Pillar 8: Modernisation of public administration and services.

International cooperation

Pillar 9: European and international cooperation and fulfilment of obligations.

"The 2027 budget reflects our priorities for safeguarding water security, supporting the primary sector, protecting the natural environment and modernising our services," Senekis said.

"It effectively serves as an operational plan for addressing immediate needs while creating more resilient infrastructure and productive sectors."