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BOCY out of resolution regime late July

27/05/2013 12:45
Bank of Cyprus will be in the existing resolution regime for two more months, according to Deputy Director of the Supervision Department of the Central Bnak of Cyprus, Michalis Stylianou.

Mr. Stylianou said in parliament today that it was agreed with the troika that the final assessment report will be completed on July 15 and fifteen days later Bank of Cyprus will leave the resolution regime.

According to Mr. Stylianou, the firm that will evaluate the assets of Cyprus Popular Bank and Bank of Cyprus will be appointed in the next few days.

Mr. Stylianou’s statements were made within the framework of the talks on the draft law of the President of the Democratic Rally Averof Neophytou, which envisages the creation of escrow account so that Bank of Cyprus exits the resolution regime the soonest possible.

Mr. Stylianou said the troika is reluctant for the escrow account but it promotes the valuation process of assets so that BOCY is no longer in the resolution regime.

The proposal will be changed and the final text will be discussed next Monday in order to be driven to the plenary in two weeks.

Director General of the Ministry of Finance Christos Patsalides said he agrees with the bill, but expressed concern not create delay in the exit of Bank of Cyprus from the resolution regime.

He also recommended in future cases to specify the period of appointment of the valuator and the valuation process is not after ninety days.