EIB Funds €125 Million Campus Expansion and Affordable Housing at Cyprus University of Technology

EIB Funds €125 Million Campus Expansion and Affordable Housing at Cyprus University of Technology

(IN BRIEF) The European Investment Bank (EIB) is providing €125 million in loans to the Cyprus University of Technology (CUT) to fund new student housing and upgrade academic, research, and sports facilities in Paphos and Limassol. The project, which will create 703 new student residences, addresses the shortage of affordable housing and will enhance campus infrastructure, including energy-efficient upgrades. Backed by the EU’s InvestEU programme, the EIB loan covers 70% of the project’s costs. The investment supports Cyprus’ goals for sustainable development and improving educational facilities, benefiting both students and the university’s future growth.

(PRESS RELEASE) LUXEMBOURG, 21-Sep-2024 — /EuropaWire/ — The European Investment Bank (EIB) has committed €125 million in loans to support the expansion and modernization of the Cyprus University of Technology (CUT), covering 70% of the project’s total cost. This investment will fund the construction of affordable student housing and the renovation of academic, research, and sports facilities across the university’s campuses in Paphos and Limassol. Notably, the project will add 703 student residences, addressing a critical need for affordable housing in Cyprus, and integrate energy efficiency improvements backed by EIB Advisory Services.

The financing is part of three agreements: €108 million with CUT and €17 million with the Paphos municipality. €89 million of the funding is backed by the European Union’s InvestEU programme, marking its first operation in Cyprus. In addition to student housing, the project will involve the construction of over 81,000 square meters of academic space. It will also include a solar-power plant in Limassol, helping the campus reduce its reliance on traditional energy sources.

EIB Vice-President Kyriacos Kakouris emphasized the importance of investing in university infrastructure, stating that it is key to supporting economic growth and addressing the shortage of affordable housing across the EU. The Cypriot Finance Minister Makis Keravnos echoed this sentiment, highlighting the project’s alignment with the country’s goals for sustainable development.

Paphos Mayor Phedon Phedonos noted that this is the first example of a local authority in Cyprus directly addressing the student housing crisis, while CUT Rector Panayiotis Zaphiris described the project as a long-awaited dream for the university that will greatly benefit the student community. The CUT Student Union President, Petros Christodoulou, further stressed that the rising cost of accommodation has been a major issue for students, and this investment will help ease that burden while supporting the university’s growth.

This latest EIB support for CUT is part of the bank’s ongoing commitment to educational infrastructure in Cyprus, with over €300 million invested in Cypriot universities and research institutions over the past decade.

Background information

EIB

The European Investment Bank (ElB) is the long-term lending institution of the European Union, owned by its Member States. It finances sound investments that contribute to EU policy objectives. EIB projects bolster competitiveness, drive innovation, promote sustainable development, enhance social and territorial cohesion, and support a just and swift transition to climate neutrality.

The EIB Group, which also includes the European Investment Fund (EIF), signed a total of €88 billion in new financing for over 900 projects in 2023. These commitments are expected to mobilise around €320 billion in investment, supporting 400,000 companies and 5.4 million jobs.

All projects financed by the EIB Group are in line with the Paris Climate Accord. The EIB Group does not fund investments in fossil fuels. We are on track to deliver on our commitment to support  €1 trillion in climate and environmental sustainability investment in the decade to 2030 as pledged in our Climate Bank Roadmap. Over half of the EIB Group’s annual financing supports projects directly contributing to climate change mitigation, adaptation, and a healthier environment.

Approximately half of the EIB’s financing within the European Union is directed towards cohesion regions, where per capita income is lower. This underscores the Bank’s commitment to fostering inclusive growth and the convergence of living standards.

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SOURCE: European Investment Bank