Follow Us

Follow us on Twitter  Follow us on LinkedIn
 

03 July 2014

European Commission: Cyprus Adjustment Programme


The Commission has published its latest report on the economic adjustment programme for Cyprus. Programme implementation remains on track.

The Commission has published its fourth report reviewing implementation of the economic adjustment programme for Cyprus.

The programme aims to address the financial, fiscal and structural challenges facing the economy in a decisive manner and should allow Cyprus to return to a sustainable growth path. Programme implementation remains on track. While the recession is bottoming out, the outlook remains challenging. Reform in the financial sector has progressed, but the high level of non-performing loans remains an issue.

Nevertheless, fiscal performance has remained strong. Structural reforms have progressed, although some delays have been observed. The review is expected to be concluded with all necessary decisions by the Eurogroup, the ESM Board of Directors, and the Executive Board of the IMF to be taken by mid-July. Its approval would pave the way for the disbursement of EUR 600m by the ESM, and about EUR 86m by the IMF.

The programme was agreed by the euro area Member States on 24 April 2013 and by the IMF Board on 15 May 2013. It covers the period 2013-2016. The financial package covers up to EUR 10 bn: EUR 9 bn from the ESM and EUR 1 bn from the IMF.

Statement
 



© European Commission


< Next Previous >
Key
 Hover over the blue highlighted text to view the acronym meaning
Hover over these icons for more information



Add new comment