The Central Bank of Cyprus (CBC) has declared a new reference interest rate at 11.76 percent, impacting financial transactions like loans. Exceeding this rate is now a criminal offense according to Article 314A of the Penal Code Law, Cap. 154, in a move to safeguard consumers and promote fairness in financial dealings.
The Central Bank governor, Christodoulos Patsalides, raises concerns about risks in the economy, advising stable fiscal policy to attract foreign investment and cautioning against a windfall tax on banks that could deter investors. His remarks highlight the need for banks to balance financial objectives with social responsibility and adapt to societal concerns, particularly in the face of surplus liquidity, divergent interest rates, and decreasing loan demand signaling potential economic growth issues.
In summary, the Central Bank of Cyprus’s adjustment of the reference interest rate to 11.42% is a critical move to control borrowing costs, influence loans, and maintain price stability. It plays a vital role in regulating the Cypriot economy and ensuring fair lending practices, preventing usury in the financial sector.
The Central Bank of Cyprus has released the bank holiday schedule for May 2024, including closures for Labour Day on May 1, Good Friday on May 3, and Easter Monday and Tuesday on May 6 and 7. Residents are advised to plan ahead for any financial needs during this time, utilizing digital banking services and preparing for potential delays in transactions.
Christodoulos Patsalidis, an esteemed economist, has been appointed as the new Governor of the Central Bank of Cyprus, succeeding Constantinos Herodotou. Patsalidis’s vast experience includes roles as Special Advisor on economic matters and Chairman of the Cyprus Banks Association, making him a key figure in shaping the nation’s financial future.
The Bank of Cyprus introduces Jinius, a cuttingedge ecommerce platform that redefines online shopping in Cyprus. With features like a unified shopping cart, no shipping costs, and a rewards system for card users, Jinius offers a seamless and rewarding experience for customers, while also empowering local businesses. Visit www.jinius.com.cy to explore the future of digital commerce on the island.
In the past year, Cyprus has achieved several significant milestones in its business sector. The Bank of Cyprus was honored as the “Bank of the Year” by The Banker, while Keve elected Stavros Stavrou as its new president. Cyprus was also reelected to the International Maritime Organisation (IMO) Council, and the Cyprus Stock Exchange reported a profit increase, indicating a resilient market.
The Central Bank of Cyprus is planning to launch an appeal against a court ruling that sided with a depositor’s claim regarding losses during the collapse of Laiki Bank in 2013. The appeal is based on the belief that previous cases support a different outcome and contest the court’s findings of crisis mismanagement.
