Filenews 7 April 2022 - by Eleftheria Paizanos
The technocrats of the European Commission appeared strict with the Cypriot authorities at yesterday's teleconference, in relation to the progress of the implementation of the prerequisites for the National Recovery Plan.
The Technocrats of the European Commission have asked for an explanation of the delay observed in the implementation of these milestones, which prevents the disbursement of the €85 million. the second tranche from the Recovery Fund. Specifically, they asked for information on why the two bills, which aim at strengthening the legal framework for the management of non-performing loans and define the licensing and operation of loan servicing companies, are lying in Parliament. At the same time, they indicated to the Cypriot side that the non-implementation of all the prerequisites does not allow it to apply to receive the second instalment.
The representatives of the Cypriot authorities explained to the executives of the Commission the reservations that the opposition parties have about the two bills concerning management companies and at the same time forwarded to the Committee both the revised bills and the party amendments for their differentiation. The first amendment was tabled by ELAM, EDEK, DIPA and Ecologists and it prohibits the access of loan management companies to the data of guarantors, through the Artemis systems and the Cadastre. The EU will examine whether the bills, which have undergone many changes, as well as the amendment, are in line with the commitments given to it by the Republic of Cyprus to regulate this issue. They will also study the compatibility of the texts with the European acquis.
On the other hand, the amendment of the DIKO was not sent to Brussels, as it is still subject to legal technical control, while thoughts are being made of withdrawing it. At the same time, European technocrats demanded that the government commit itself to and set a formal timetable in relation to the adoption of these bills. The Cypriot side told European Commission officials that it cannot commit itself or set a timetable, citing the Constitution and the Principle of the Separation of Powers.
The EU has assured Cypriot authorities that it will forward its comments on the party bills and amendments before the Catholic Easter (17 April). The EU's response from the week will clarify the backdrop and future of the two controversial bills.
A government source told "F" that due to the delay the country is likely to get the second dose in the summer. But as he said, even if the bills are approved by the Parliament in May, the bills will be sent to the European authorities, which take 15 days to examine them. As we have been told, without the implementation of all 14 prerequisites of the second instalment, the Republic will not be able to submit requests for payment even of the next instalments, which will delay the whole process. Yesterday, however, the representatives of the EU paid tribute to the Cypriot authorities for the implementation of the 13 prerequisites and for the cooperation that has taken place between the executive and the legislative powers in order to implement a series of reforms.
