Statement by H.Polycarpou AKEL Political Bureau member on the failure of the “ESTIA” scheme

 

31 July 2021, AKEL C.C. Press Office, Nicosia

The failure of the “ESTIA” government-backed mortgage relief scheme is a failure of the Anastasiades – Democratic Rally Government itself to protect primary family homes from the risk of foreclosures.

The scheme, after having been much-advertised by the Government and raised hopes and expectations among thousands of borrowers, has in the end confirmed the major weaknesses and loopholes in its original planning. Thousands of other borrowers on low incomes were not approved. Many more did not complete their application because of the increased costs, while at the same time a large number of borrowers did even not apply at all. The Government is solely responsible for this situation.

AKEL insists on the need to protect the primary family home and small business premises from the risk of foreclosures.

We call on the government to assess the situation and proceed with an effective plan to protect middle and low-income borrowers from the risk of foreclosures. At the same time, it has an obligation to send out a clear and unambiguous message to the banks to end any stumbling blocks and excuses and to proceed decisively with the elaboration of proposals for viable restructurings for households and small and medium-sized enterprises.