Cyprus Business Now

The Association for the Protection of Bank Borrowers (Syprodat) this week released a statement expressing its “deep regret” following the rejection of a controversial law proposal that aimed to grant borrowers the right to seek judicial protection in suspending foreclosure proceedings, in relation to the examination of outstanding loan amounts.

The association emphasised the potential risks associated with the decision, highlighting concerns over the missed opportunity to address over-indebtedness and the presence of abusive clauses.

“We are saddened and disappointed by the decision of the House to reject the law proposal,” Syprodat said.

“Everyone will be judged based on the choices they made,” the association added, stressing that “the groundless justifications for how those who voted and those who did not vote did so have already been evaluated by the borrowers”.

In addition, Syprodat said that “borrowers will treat them accordingly when the time comes”.

According to Syprodat, the proposed law would not alter or otherwise affect the legal framework of foreclosures.

“Therefore, there is no risk to our economy, as confirmed by our European supervisors,” Syprodat stated.

“The right of all borrowers to resort to the courts, raising the issue of over-indebtedness and the existence of abusive clauses, is sacred and non-negotiable; it is guaranteed by our constitution and the international conventions that bind us,” the statement added.

What is more, Syprodat reiterated that if banks and credit management companies provided viable restructurings in accordance with the relevant directive and the Central Bank’s code, foreclosures would be unnecessary, and there would be no need to resort to the courts to determine over-indebtedness or request suspensions of foreclosures.

The Cabinet on Wednesday approved the appointment of the new administrative board of Cyprus’ Research and Innovation Foundation (RIF).

Following the ministerial session, Deputy Minister of Research, Innovation, and Digital Policy, Philippos Hadjizacharias, announced that the board consists of eight members.

Four individuals are from the private sector, two have been selected by the Council of Rectors, and two are from the public service, one representing the Ministry of Research, Innovation, and Digital Policy, and the other from the Ministry of Finance.

Hadjizacharias stated that the board’s term is five years and that all appointed members have been notified.

“We have discussed this with them, and they have commenced their duties as of today,” stated.

When asked about the appointment of the board’s head, the Deputy Minister explained that it is a decision made by the president of the Republic of Cyprus, and they are currently in discussions with President Christodoulides to finalise the appointment in the near future.

Finally, he reiterated that the administrative board of the Research and Innovation Foundation comprises eight members, along with one individual who serves as the Chief Scientist and also acts as the president of the board.

The Cyprus Stock Exchange (CSE) ended Wednesday, July 19 with losses.

The general Cyprus Stock Market Index was at 114.99 points at 13:11 during the day, reflecting a decrease of 0.99 per cent over the previous day of trading.

The FTSE / CySE 20 Index was at 69.52 points, representing a drop of 1.01 per cent.

The total value of transactions came up to €42,913.

In terms of the sub-indexes, the main index fell by 1.22 per cent, while the alternative and investment firm indexes dropped by 0.4 per cent and 0.89 per cent respectively. The hotel index remained unchanged.

The biggest investment interest was attracted by the Cyprus Cement Company (-0.8 per cent), the Bank of Cyprus (-1.06 per cent), and Kythreotis Holdings (-5.56 per cent).