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Audit Office: Risk of Losing Millions from Recovery Fund – Cyprus Near Bottom of EU for Timely Disbursements

Published March 19, 2026, 08:18
Audit Office: Risk of Losing Millions from Recovery Fund – Cyprus Near Bottom of EU for Timely Disbursements

The Audit Office finds that the initial design of the National Recovery Plan was overly optimistic and flawed, while Cyprus is near the bottom of the EU regarding timely disbursement of funds. The plan included a disproportionately large number of milestones and targets, resulting in difficulties in implementation and coordination. Cyprus absorbed 56% of European funds by August 2023, ranking the country 20th among 27 member states. Furthermore, the €200.32 million loan was not utilized, and the Cyprus-Greece electricity interconnection project (GSI) was removed from the plan. The Office emphasizes the need for more realistic timelines and improved administrative capacity of implementing bodies.