Cyprus targets bigger role in space economy with €13.5m investment

Cyprus has committed €13.5 million to European Space Agency (ESA) programmes for 2026 to 2028 as it seeks to strengthen its domestic space industry, support technology businesses and expand its role in Europe’s growing space economy, according to Research, Innovation and Digital Policy Deputy Minister Nicodemos Damianou. Addressing the third Space Symposium in Athens on Thursday, Damianou said Cyprus was developing its capabilities through investment, regulation, research and international partnerships. He highlighted estimates from the World Economic Forum and McKinsey that the global space economy could reach $1.8 trillion by 2035, while Earth observation revenues are projected to rise from €3.5 billion in 2024 to almost €8 billion by 2034. Satellite navigation devices and services revenues are also expected to increase from €300 billion to around €580 billion over the same period, according to the European Union Agency for the Space Programme. Damianou said Cyprus had adopted a National Space Strategy for 2025 to 2030, introduced legislation for licensing and supervising space activities, and established the Cyprus Space Office to coordinate national efforts. The country became an associate member of ESA in March 2026, opening further opportunities for Cypriot organisations to participate in research, technological development and innovation programmes. Supporting startups and helping businesses scale up is another priority, Damianou said, pointing to state support for the first dedicated Space Business Incubation Centre at the ERATOSTHENES Centre of Excellence. He said Cyprus had four European-interest satellites in orbit using Cypriot satellite resources, alongside two main ground stations operated through Cyta and Hellas Sat telecommunications facilities. The country also hosts one of Europe’s four receiving stations for the Galileo satellite navigation system’s search and rescue service, as well as two ground stations supporting the European Geostationary Navigation Overlay Service (EGNOS), which improves accuracy and safety in air, sea and land transport. The ERATOSTHENES centre operates a ground station capable of receiving near-real-time Earth observation data through the Copernicus Collaborative Ground Segment, with discussions under way on cooperation with Greece to use data from its national microsatellite programme. New optical ground stations are also planned to strengthen Cyprus’ links with Europe’s quantum communications infrastructure and the IRIS² secure connectivity programme, with Hellas Sat expected to work with France’s space agency, CNES, on the installation. Damianou said the global space industry was becoming increasingly important to national security, communications and critical infrastructure, creating both commercial opportunities and strategic challenges. During Cyprus’ EU Council presidency, the government worked to advance proposals including the EU Space Act and funding frameworks for 2028 to 2034, aiming to support European businesses, including smaller firms, while strengthening Europe’s technological autonomy. Cyprus has also joined the Artemis Accords, signed a space cooperation declaration with France and established a memorandum of understanding with Greece covering Earth observation, satellite applications, quantum communications and infrastructure. The two countries are also participating in the SEEWQCI project, which supports the development of Europe’s quantum communications infrastructure. Congratulating Hellas Sat on its 25th anniversary, Damianou said its investment in expertise, innovation and people had helped Cyprus and Greece establish a presence in the international satellite communications market. “With a shared vision, consistency and ambition, we can shape a future in which Cyprus and Greece participate actively and reliably in the new space era,” he said.