Society is being tested, exorbitant profits are increasing but the government is incapable of taking measures

Statement by Charis Polycarpou, AKEL Political Bureau member & Head of AKEL’s Economic Policy Sector

12 October 2023, AKEL C.C. Press Office, Nicosia

Cypriot banks record the biggest profits across the Eurozone – after Croatia – in relation to their size according to data released by the European Central Bank. This fact substantiates that the super profits registered by the banks are anything but theoretical, but are indeed among the highest across the Eurozone. We are talking about super profits that are being taken out directly from the budgets of families and businesses, resulting in a nibbling away at the standard of living for the majority of society.

In the face of unprecedented price increases and expensiveness, the burden of ever-increasing interest rates is making everyday life for society even more difficult. Yet the government of Nikos Christodoulides continues to demonstrate an unprecedented failure to take substantive measures. This harms not only society, but the economy too.

At the same time, it is indeed a provocation that at the same time as society is being tested, public funds, the coffers of the banks, but also those of other secondary sectors, such as renewable energy, continue to be filled with exorbitant profits. These super profits must be used to provide support to society without jeopardizing the stability of public finances.

The conclusion that any logical person can draw is simple. That is to say, that the political will of the Government determines the degree and quality of support for the economy and society. Unfortunately, the government’s example so far have been very poor.