Newsroom
Building activity in Cyprus showed strong momentum in the first eight months of 2024, with construction permits climbing 8.6% compared to the same period in 2023. However, August painted a different picture, with permits plunging by 59.3% year-on-year, largely due to technical challenges linked to the new "Ippodamos" information system.
According to the Statistical Service of Cyprus, only 183 building permits were issued in August 2024, a stark drop from 450 in August 2023. The approved permits represented a total value of €87.4 million and spanned 66,200 square meters, covering plans for 323 new housing units.
Despite the summer slowdown, the January–August 2024 period showcased notable growth. A total of 5,062 permits were granted, up from 4,662 in the corresponding period of 2023, reflecting an 8.6% increase. The total value of these permits soared by 16.3%, while the total construction area expanded by 18.0%. Housing units also saw a significant boost, rising by 16.2%.
The August decline has been attributed to the transfer of permitting authority on July 1, 2024, from municipalities and district administration offices to newly formed Local Government Organizations (LGOs). The teething issues with the "Ippodamos" integrated system hampered the efficiency of the permitting process, contributing to the sharp drop in approvals during the month.
While the August dip raises concerns, the overall year-to-date figures highlight a promising trend for the construction sector, signaling robust growth despite transitional hurdles.
