Government’s desperately strives to distort Cyprus’ economy reality

 

Statement by Georgos Loucaides, AKEL C.C. Press Office Spokesperson

AKEL C.C. Press Office, 5th November 2014, Nicosia

We understand the desperate efforts made by the government and ruling forces to create the impression among our people that we are living through a new economic miracle and that the Cyprus economy’s situation is progressing magnificently.

The reality however, which the working people, households, the vulnerable groups of the population and the SME’s are living through, is completely different. What the people are feeling to their very bones is that we are continuing to go from bad to worse. In any case, this is what basic socio-economic indexes and statistics illustrate too, which even though some of them are less negative than forecasted, nevertheless do not cease being negative. Regretfully, the Memorandum austerity policies and the haircut/levy on bank deposits imposed in March 2013 have turned Cyprus into the country with the worst statistics and figures in most areas all over Europe. Cyprus records the biggest reduction in wages in Europe; the largest increase in the number of long-term unemployed and the biggest drop in employment. Cyprus has the highest interest rates and the biggest difference of deposit and loan interest.

Cyprus has the worst figures in Europe with a huge increase in public debt. Furthermore, it has, inter alia, by far the biggest percentage in non-serviceable loans, whose rate continues to grow, reflecting the continuing exacerbation of the situation of the Cyprus economy.

Once again, we reiterate that this situation can change, without further punitive measures against our people, only when the enforced austerity policy is terminated and if, instead of blind obedience and subordination to the Memorandum, the path of mass resistance to its philosophy is chosen.