Cyprus Mail
Business

Co-ops cut lending rates

The Central Cooperative Bank (CCB) announced on Friday it was cutting its rates for agricultural loans by an average 2.0 per cent, in a bid to boost the sector as part of the effort for economic recovery.

Effective January 1, the CCB said it was cutting the rate on loans to 4.75 per cent. It also said that the rate for non performing loans that are restructured will be cut to 5.75 per cent.

Provided the terms of the restructuring agreement were observed, after six months the rate would be further reduced to 4.75 per cent.

The cuts will be an average 2.0 per cent for performing loans, the CCB said. They will affect around 8,500 loans

“We support our customers in the primary sector by rewarding them and providing them with additional incentives so that they can continue, or gain the ability, to meet their obligations,” CCB chairman Nicolas Hadjiyiannis said.

The reductions follow a similar move regarding student loans back in November.

As part of the island’s €10 billion international bailout, co-ops received €1.5 billion in taxpayers’ money to recapitalise.

The sector has been reduced in size through mergers, which saw the island’s 93 co-operatives merged into 18.



Related posts

Pharma companies say ‘many pending issues’ ahead of Gesy inpatient rollout

Evie Andreou

Cyprus’ general government balance in Jan–Apr turns negative due to Covid-19

Source: Cyprus News Agency

Hotels hope to boost domestic tourism

Peter Michael

Supreme court orders extradition of Hezbollah suspect to US

George Psyllides

Cyprus Mail wins 2020 Elafi Animal Welfare awards as media reporter of the year

Gina Agapiou

Coronavirus: Greece allows travel from 29 countries, including Cyprus

Staff Reporter

2 comments

Comments are closed.