Cyprus Turns to Egypt and India to Fill Construction Workforce Gap
Updated: 14 hours ago
NICOSIA, September 21, 2026 — Cyprus is actively pursuing recruitment agreements with Egypt and India to replenish its construction workforce, as employers struggle to replace thousands of workers leaving under the government's Syrian repatriation scheme.
The building contractors' association, Oseok, has stated that the government is communicating with both countries about methods to bring workers to Cyprus. The federation estimates that the industry requires around 5,000 more workers, including laborers, drivers, skilled technical workers, and engineers.
The Scale of the Shortage
The construction sector's workforce gap has become increasingly acute. Oseok President Stelios Gavriel has repeatedly cited the figure of at least 5,000 additional workers needed to meet current demand, with shortages affecting project timelines and delivery capacity .
Worker Category | Shortfall |
Labourers | Significant |
Drivers | Significant |
Skilled Technical Workers | Critical |
Civil Engineers | Critical |
Steel Fixers & Formwork Carpenters | Most acute |
The Cyprus Scientific and Technical Chamber (ETEK) has identified steel fixers and formwork carpenters as the occupations facing the greatest shortages — roles that are essential to keeping construction projects on schedule .
Egypt: Existing Framework Underutilised
Cyprus has an existing framework with Egypt that could be utilized for construction recruitment. A Memorandum of Understanding (MoU) signed in June 2024 was established to regulate and facilitate the entry and residence of Egyptian workers in Cyprus based on labor market needs.
The MoU allows for the recruitment of Egyptian nationals, with a joint committee tasked with overseeing implementation and evaluating the need for any changes.
Key Developments
Date | Event |
June 2024 | Cyprus-Egypt MoU signed on labour mobility |
April 2026 | Labour Minister Marinos Mousiouttas visits Cairo; agreement to intensify implementation efforts |
April 2026 | Both sides agree to form joint committee and cooperate on vocational training |
February 2026 | Egyptian FM stresses need to expedite MoU implementation |
August 2026 | Egyptian FM reiterates importance of implementing labour agreement |
Speaking after his Cairo visit in April 2026, Minister Mousiouttas stated:
"The MoU is a comprehensive and reliable framework for promoting safe, legal and mutually beneficial mobility of labour, contributing to the needs of the Cypriot labour market, with full respect for workers' rights and dignity."
However, Oseok has observed that the 2024 memorandum has not been completely utilized by the government.
India: A Similar Model Under Consideration
The Cyprus Employers and Industrialists Federation (Oev) has noted that a comparable model is under consideration for India, praising the nation for its large workforce with workers able to fulfill the needs of the Cypriot construction sector.
The key difference lies in the immigration procedures applying to third-country nationals:
Requirement | Details |
Entry Permit | Required before work |
Temporary Residence Permit | Required before work |
Employment Permit | Required before work |
Employer Compliance | Must follow approval procedures for third-country nationals |
Non-EU workers typically need an entry permit and a temporary residence and employment permit to work in Cyprus, and employers are required to follow the necessary approval procedures.
Why the Shortage Is Becoming Urgent
Syrian Repatriation Scheme
The government is actively promoting the voluntary return of Syrian families to Syria through its repatriation scheme. This program offers financial assistance to families going back to Syria and permits one adult family member to stay temporarily in Cyprus to continue working while the rest of the family relocates.
Since the change of government in Syria in December 2024, around 5,000 Syrians have either withdrawn their asylum applications or given up their subsidiary protection status to voluntarily return to Syria. Additionally, more than 1,500 asylum applications submitted by Syrian nationals have been denied.
Employer Impact
Contractor Konstantinos Karmiotis mentioned to Visasupdate that hiring Egyptians is presently more difficult compared to recruiting workers from EU countries such as Romania or Bulgaria because of the additional paperwork involved.
"However, we need to take action. I've lost numerous workers due to repatriations. Other colleagues express similar concerns. We just can't find the workers at the moment."
Construction Boom Continues
The labour shortage has become increasingly urgent as Cyprus' construction sector continues to thrive. Building permits increased by 35.1% year-on-year from January to April 2026, with the total value of approved projects rising by 46.1% and the number of housing units growing by 65%.
OEB Director General Michael Antoniou highlighted labour shortages as a major limitation on the sector's capacity to meet demand, stating that "procedures for securing workers should therefore be further simplified and automated".
Industry Calls for Action
The construction federation has advocated for quicker and entirely digital procedures to approve applications for hiring skilled workers from non-EU countries. ETEK has also suggested:
A thorough evaluation of workforce demands throughout the construction industry
Enhanced efforts to boost the reputation of technical careers
Encouragement for more young people to enter construction professions
Quick Reference Summary
Aspect | Details |
Workers Needed | 5,000 additional |
Priority Countries | Egypt, India |
Egypt Framework | MoU signed June 2024, not fully utilised |
India Model | Under consideration |
Key Roles | Labourers, drivers, steel fixers, formwork carpenters, engineers |
Trigger | Syrian repatriation scheme |
Immigration Requirements | Entry permit + temporary residence + employment permit |
Read More
Official Resources
Resource | Link |
Cyprus Ministry of Labour and Social Insurance | |
Cyprus Migration Department | |
Oseok (Building Contractors Association) | |
Cyprus Employers and Industrialists Federation (Oev) |
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