Egypt’s KarmSolar enters Cyprus with 1st international venture
Updated 10/27/2025 11:11:00 AM
Arab Finance: Karm, also known as KarmSolar, has expanded into the Cypriot energy market with the launch of KarmCyprus, its first international expansion, as per a press release.
As part of the expansion, KarmCyprus has secured a license to build and operate a 7.6-megawatt solar photovoltaic plant in Monagroulli, southern Cyprus, scheduled to begin operations in September 2026.
The company also finalized a project financing of €5 million from EuroBank, formerly Hellenic Bank, in September 2025 to support the construction of the plant.
The move represents a key milestone in Karm’s growth strategy, introducing its vertically integrated business model, which spans power generation, distribution, storage, and electric mobility, to the Mediterranean market.
The project underscores both its bankability and its credibility within Cyprus’s evolving renewable energy landscape.
Karm’s entry into Cyprus follows three years of market exploration, during which the company assessed opportunities in line with the island’s ongoing energy transition.
Cyprus is currently preparing for full market liberalization and increased renewable energy integration under European Union directives.
The expansion enables Karm to diversify its revenue streams in hard currencies while establishing itself as a private-sector player in Mediterranean energy transformation.
Cyprus continues to face high energy prices and heavy dependence on fossil fuels, with an EU-mandated Renewable Energy Sources (RES) penetration target of 42.5% by 2030.
With one of the highest solar irradiance levels in Europe, the country presents strong potential for renewable energy developers.
The expansion also aligns with growing energy cooperation between Egypt and Cyprus, including proposed electricity interconnectors and gas partnerships.
Cyprus’s proximity and strategic position in the Mediterranean made it an ideal destination for Karm’s first step beyond Egypt.
Related News
