Two desalination plants in Cyprus operate under contracts involving Israeli firm Mekorot and Cypriot firm Netcom, obliging the public water department to receive minimum quantities every three months.
Cyprus’s Water Development Department identifies the companies as partners at plants in Larnaca and Episkopi, in the Limassol area. It expects the contracts to expire in June 2040 and July 2032, respectively. Under the department’s contracting model, operators finance and run the plants.
A department presentation says it must receive a minimum quantity of water every three months and makes payments quarterly. The contracts give the operators a public customer while committing the department to regular water receipts and payments.
Property records show another part of the economic relationship. In a response to parliament, Cyprus’s interior minister listed 1,406 property transfers and filed sale contracts involving Israeli buyers in Larnaca, 1,291 in Paphos and 1,154 in Limassol from 2021 through 2024. Those three districts total 3,851 entries; the response also lists 58 in Famagusta.
The Central Bank of Cyprus attributed rising residential property prices in the first quarter of 2026 partly to demand from foreign buyers generally and higher construction costs.
Cyprus, Israel and Greece pledged in a Dec. 22, 2025, declaration to work on trilateral memoranda of understanding covering water and wastewater management. The countries also pledged closer maritime security cooperation.
Calcalist reported Oct. 20 that Israel and Cyprus were nearing a naval purchase worth about €150 million. The terms had yet to be finalized as of that date, as earlier EconoTimes coverage of the proposed purchase noted.
In energy, NewMed Energy holds a 30% interest in the Aphrodite gas field off Cyprus. The company says the project’s partners have begun engineering work toward a final investment decision expected in 2028.
