Tomorrow, Parliament will decide: Will it side with society or with the banks and pension funds?

 

5 April 2026, AKEL C.C. Press Office, Nicosia

In an interview today, the Minister of Finance argued that AKEL’s bill proposal for “a recourse to the courts and a suspension of foreclosure until the court decides” will not serve the interests of debtors. We respond that rejecting AKEL’s bill proposal will certainly serve the banks and hedge funds, which will continue to treat borrowers with blackmail and by issuing threats.

We remind the Minister of Finance, as well as those who once again aspire to become the banking lobby’s guardians, that the provisions of AKEL’s bill proposal are requirements of EU legislation that Cyprus has failed to implement, resulting in the country being the only one across the EU where banks and funds enjoy such a favourable legislative framework. Moreover, the Ministry of Finance itself, in response to questions put by AKEL MPs, stated that it has only a political disagreement with AKEL’s proposal.

At the same time, we reiterate that the approval of our proposal is part of the comprehensive proposal submitted by AKEL to address Non-Performance Loans (NPL). Our proposal also includes strengthening social policy to protect the right to housing (by expanding the “rent-for-instalments” program), more effective oversight of banks and funds in the management of non-performing loans, and improving the insolvency framework so that more borrowers can save their homes.

Tomorrow, the plenary session of Parliament will once again have to decide: With society or with the banks and funds.