Insider Economy President sends amended foreclosures law back to House

President sends amended foreclosures law back to House

President Nicos Anastasiades on Friday sent back amended legislation effectively delaying the foreclosures process back to the House of Representatives for reconsideration.

The president also sent back a new law introducing a widowers’ pension without providing for a gradual increase in social insurance contributions to cover the extra cost.

The House Finance Committee will meet on Monday to consider the issue,

MPs can either accept the referral — thereby scrapping the bills or reject it, in which case the president has the option to accept the House decision or sent it to the Supreme Court to rule on its constitutionality.

The government, echoed by banks and business associations had warned that the House decision would have a negative impact on the economy.

On Thursday, Moody’s ratings agency warned that the amendments approved by the House of Representatives to the legal framework governing foreclosures were credit negative and were expected to hamper banks’ efforts to reduce problem loans.

Explaining the reason for the president’s decision, government spokesman Prodromos Prodromou said that the changes to the law intervened with the contractual agreement between lenders and borrowers.

He added that the new scheme Estia aimed at protecting vulnerable home owners from foreclosures should be allowed to come into effect first.

The amendments would affect the stability of the financial system and international ratings agencies have already reacted, he added.

As regards the widowers’ pension, Prodromou said that changed to the initial proposal removing a gradual increase social insurance contributions endangered the viability of the social insurance fund.

Read more

Top Stories

12-new covid cases at the same levels, nothing from abroad or schools

  12 new cases of Covid-19 were detected in Cyprus over the past 24 hours out of a total of 3 thousand 338 diagnostic tests. The...

Cyprus extends support to Armenia as FM calls counterpart

  Cyprus has expressed its deep concern over the escalating situation in Nagorno Karabakh over the past 48 hours and condemned 'the Azeri violation of...

International concern over Karabakh, as energy corridor is threatened (latest)

  Clashes erupted between Armenia and Azerbaijan over the volatile Nagorno-Karabakh region, reigniting concern about instability in the South Caucasus, a corridor for pipelines transporting...

38 tomorrow, close to 40 Tuesday and a drop on Wednesday

  The warm air current affecting the island will take temperatures a touch under August levels over the next 48 hours, with 38 tomorrow and...

War fears in Karabakh as Armenia and Azerbaijan clash with civilian casualties

  Armenia declared martial law and mobilised its male population after clashes with Azerbaijan over the breakaway Nagorno-Karabakh region in which sources on both sides...



Sheftalies, a very tasty dish from the charcoal grill, are minced meat shaped into small sausages and wrapped in “panna” (suet). Panna is a...

Spicy grilled soutzoukakia

Place all ingredients for soutzoukakia in a bowl and mix well, preferably using a food processor, until well combined. Using the mixture, form cigar-shaped...


Pork souvlaki: Put the meat and all the other ingredients in a bowl (not metal) and mix well. Cover the bowl and keep in...

Pastelli (Carob Toffee)

The nutritional sweet of Pastelli is made with the syrup of carob pods, produced by boiling their pulp until it forms a thick, sticky...