Turkey to Allocate 21 Billion Lira for Development Projects in the TRNC

Turkey and the Turkish Republic of Northern Cyprus (TRNC) have signed a new Economic and Financial Cooperation Agreement for 2025, securing a 21 billion Turkish lira investment to support key projects across Northern Cyprus.

The agreement was signed last Friday at the Presidential Complex in Ankara by Turkish Vice President Cevdet Yılmaz and TRNC Prime Minister Ünal Üstel.

According to Üstel, this funding represents a historic-scale investment from Turkey, making 2025 a year of major projects, infrastructure development, and new sports facilities in Northern Cyprus.

The financial support will be used for ongoing and new projects across education, healthcare, transportation, agriculture, industry, tourism, and energy.

“With this funding, we will significantly improve our people's well-being by launching many vital projects for our country,” said Üstel.

Investment Breakdown

In his remarks, Vice President Yılmaz noted that 18.5 billion lira of the total 21 billion lira consists of new funds, while the remainder comes from transfers. He emphasized that the agreement is aimed at strengthening the brotherly ties between Turkey and the TRNC while promoting sustainable growth and economic prosperity.

The budget distribution is as follows:
58% allocated to infrastructure and real sector projects
11% for government financial support
31% for defense expenditures

“This budget will focus on boosting economic growth, investing in infrastructure, and supporting key industries,” Yılmaz stated.

Reports also indicate that under last year’s agreement, 15.9 billion lira were allocated, with 78% of that amount already utilized.

Key Projects Planned for 2025

Education

• Construction of two new school complexes

• Modernization and seismic reinforcement of existing schools

Healthcare

• Establishment of a 500-bed public hospital in Nicosia

• Completion and equipment upgrades at the New Kyrenia Hospital

• Construction of a new hospital in Pamuklu

Road Infrastructure

• Completion of the Değirmenlik – Kyrenia mountain road

• Construction of the Lapta–Geçitköy dual carriageway, an extension of the Western Kyrenia Ring Road

• Completion of the Karpas – Zafer Burnu road

Fisheries

• Renovation of five fishing ports to support sustainable fishing

Energy

• Large-scale energy sector improvements as part of the cooperation agreement