Nicosia: The House of Representatives plenary approved on Wednesday the state budget for 2026, with 37 votes in favour and 19 against. The budget was backed by DISY, DIKO, ELAM, DIPA, EDEK and independent MPs Andreas Themistocleous, Michalis Yiakoumi and Andreas Apostolou. It was rejected by AKEL and the Greens, Socialist MP Kostas Efstathiou, and independent MP Alexandra Attalides. The 2026 budget is the last to be adopted by the current composition of Parliament, ahead of the parliamentary elections which will take place next May.
According to Cyprus News Agency, a total of 92 amendments were tabled during the parliamentary process, of which 31 were approved. Among them, the Plenary adopted by majority vote an amendment providing for the cut of any expenditure related to the privatisation of public organisations and state-owned enterprises, as well as government departments and services. Exceptions were made for spending linked to the development of the Troodos region, the Cyprus Stock Exchange and the Larnaca Marina. The House will reconvene on Monday, 22 December, at 10:00 am to vote on bills concerning teacher evaluation and tax reform.
The Ministry of Finance has expressed its satisfaction with the approval of the 2026 state budget by the House of Representatives, thanking all MPs for what it described as a constructive dialogue and a high sense of responsibility throughout the parliamentary deliberations. The Ministry stated that the 2026 budget provides for total expenditure of pound 13.7 billion, compared with pound 12.9 billion in 2025. It is the third budget presented by the government of President Nikos Christodoulides and, as in previous years, is designed to be surplus-generating, fair and balanced, with a clear development-oriented focus.
The budget foresees an increase of 4.7% in development expenditure and includes construction projects amounting to approximately pound 408.5 million. At the same time, social benefit spending is set to rise by 6.7%, covering health benefits of pound 1.03 billion, education benefits of pound 206.3 million and allocations of pound 205.7 million for the Guaranteed Minimum Income. The Ministry also highlighted that, for the first time, the budget incorporates provisions for a care allowance for persons with disabilities amounting to pound 26 million in 2026. This allocation is expected to increase gradually over a three-year period, reaching pound 45 million by 2028.
In a separate briefing, the Ministry of Finance noted that, based on available parliamentary data, the budgets with the highest number of votes in favour in the history of the Republic of Cyprus (since 1960) were those of 2024, 2025 and 2026. Each secured 37 votes in favour, representing 66% of the House. The Ministry described these results as historically high, pointing out that state budgets in Cyprus have traditionally been approved by narrow majorities, often with 28 to 30 votes.