The establishment and operation of the Municipalities in Cyprus is governed by the Municipalities’ Law, approved in October 1985 (Law 111/85).
An important provision of this Law is that a referendum can be held in a Community or group of Communities, which have a population of over 5000 inhabitants, among the registered voters in these areas, to determine if they desire to declare their area as a Municipality (Article 4). If the result of the referendum is in favour of designating an area as Municipality, then the Council of Ministers declares the region as a Municipality with a relevant Decree, which is published in the Official Journal of the Republic, and promptly starts the implementation of the provisions of the Municipalities’ Law in the newly created Municipality.
The above section was amended in 1992 to give the power and authority to the Council of Ministers to order for a referendum in Communities or clusters of Communities with a population less than 5000 inhabitants, if such an area has the financial ability to operate effectively and efficiently as a Municipality.
Based on the above provisions of the Law, referendums took place in Cyprus during last July, which declared six new Municipalities: Ypsonas, Livadia, Yeri, Sotira, Tseri and Dromolaxia-Meneou. The new Municipalities were established officially on October 21st, by Decrees of the Minister of Interior, and thus the number of Municipalities in Cyprus has now increased to 39.