Cyprus presented its plans concerning the establishment of an asset management company AMC, as well as the humanitarian assistance program for refugees Estia, for consideration by the European Commission’s Directorate General for Competition.
According to sources, these plans were presented to the chair of the ECB’s Single Supervisory Board, Daniele Nouy, during her visit to Cyprus on February 14th, and they will be tabled a week later in Brussels.
In accordance with the European legislation on the provision of state aid, any initiatives of national governments related to the issues of supporting banking institutions must receive the approval of the European Commission.
It’s no secret that Cyprus has the second largest percentage of non-performing loans (according to the ECB), which amounted to 44.1 % of total loans in October 2017. After her visit to Cyprus the chair of the ECB’s Single Supervisory Board noted that the efforts made by Cypriot banks over the past few years are praiseworthy and really help to achieve some progress.