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Government withdraws draft bill providing state-guaranteed bank loans

19/05/2020 16:31

The Council of Ministers decided on Tuesday to withdraw a draft bill providing state-guaranteed bank loans, that was prepared in line with the framework of the European Commission to support the economy amid the COVID-19 pandemic.

Speaking before the end of the Cabinet meeting, at the Presidential Palace in Nicosia, Minister of Finance Constantinos Petrides announced the decision, saying that the government showed good will from the beginning, in order to reach consensus with political parties and get the bill approved by parliament.
 
The Minister referred to a series of proposals, submitted by political parties, which the government incorporated in the bill “for the sake of consensus.” Petrides said, however, that significant differences remain, while new amendments continue to come up “which either alter the plan’s philosophy, or are clearly out of line with the European support framework.”  
 
The Minister assured that the government fullly respects the dissagreement voiced by political parties “unfortunately, however, the proposed amendments render the plan infeasible and unenforceable.”
 
He also said that the plan has turned into a matter of political confrontation, which he said is particularly detrimental for the country and the economy during this very difficult time.
 
Petrides also assured employees, small businesses, and the business world in general that “the government will continue to support them with all available means, in order to be able to cope with the crisis effectively.”
 
He said finally that the government will proceed to announce policies and measures next week, as part of a comprehensive framework, to support small and medium-sized businesses, jobs and the business community.