Filenews 31 July 2022 - by Eleftheria Paizanou
Cyprus has applied for the second tranche of €85 million from the Recovery Fund, as, after seven months of delay and episodic discussions and controversies, inside and outside parliament, it managed to implement the 14 milestones. The procedures for achieving all 18 prerequisites of the next tranche are feverish.
Targets that, based on the initial programming, had to be implemented on March 31, 2022, while the second application for payment by the European Commission (EU) should have been submitted by the Republic on June 30. This was not done, due to the delay that existed, as a result of which the next targets were delayed for a few months. It is estimated that after the EU's assessment of the 14 milestones, the second tranche of €85 million is expected to be completed and will flow into the state coffers between September and October, while the third tranche, again amounting to €85 million, is likely to be disbursed by the end of the year.
Of the 18 targets of the third tranche, four have been achieved, while the rest are ongoing. In fact, this time the government side considers that it will be much easier to implement the 18 prerequisites, as only five of them will have to pass through the pitfall of the Parliament. Of all the legislative regulations to be approved, only two are pending, while the remaining three have been voted and published in the Official Gazette of the Republic. Specifically, the two bills before the legislature are the introduction of a tax exemption for corporate investors investing in innovative companies, as well as the well-known "investment law". The first bill is discussed in the Parliamentary Committee on Finance, while the second in the Committee on Internal Affairs. The bills that have been approved include the establishment of the Independent Authority against Corruption and the appointment of a Commissioner and members of the authority and the implementation of the secondary legislation of the OCECPR.
The remaining 14 landmarks
The remaining 14 milestones that need to be implemented and do not need to be regulated include the adoption of the Action Plan for the effective management of human resources issues in the national public administration. The Plan was approved by the Council of Ministers at the end of March and therefore the goal was achieved.
In progress are the prerequisites concerning the development of a VAT system, the operation of the influenza surveillance system, the installation of thermal insulation and photovoltaic systems in 405 schools, the installation of smart electricity metering infrastructure and the creation of a National Commercial Identity "halloumi". In progress are the digital transformation of the central government, the purchase of firefighting aircraft and vehicles for forest protection, the design of a water monitoring and management system, the plan to enhance the competitiveness of large enterprises, the implementation of the circular economy in hotel facilities as well as the creation of a central knowledge transfer office and four mobile units to approach young people outside of education.
