Statement by the Head of the Economic Research Bureau of the C.C. of AKEL Charis Polycarpou on the suspension of installments and foreclosures
AKEL C.C. Press Office, 18th January 2021, Nicosia
After the Government’s new announcements that include a curbed plan for the suspension of installments, many borrowers are confronted with a huge inconsistency. Namely, the State forbids them to work, at the same time as banks are demanding that the installments of their loans must be paid regularly.
It is incomprehensible how working people and small and medium-sized enterprises can be consistent with their installments in such a situation. The Government must acknowledge the weaknesses of the new scheme and work in cooperation with the Central Bank to redress the enormous injustice done to society.
At the same time, the banks need to realize that society has made enormous sacrifices in the past to prop them up. The least they must do within the context of the pandemic is the protection of the primary family home and small business premises from the risk of foreclosures, as well as the regulation of the loans according to the current income realities.
AKEL will not tolerate society taking on again the damage arising from the government’s contradictions and regressions. The recent approval by the House of Representatives of Draft Bill on foreclosures submitted by AKEL is the first step in the effort to ensure the rights of borrowers.
