Anastasiades Says His Tough Decisions Saved Cyprus’ Economy, Banks

FILE - Cyprian President Nicos Anastasiades closes his jacket when arriving at the informal EU summit in Salzburg, Austria, Wednesday, Sept. 19, 2018. (AP Photo/Kerstin Joensson)

Without mentioning he authorized seizing 47.5 percent of bank accounts over 100,000 euros ($113,867) when he first took office in 2013, Cypriot President Nicos Anastasiades said he had to make tough calls he said put the country on the road to recovery after a 10-billion euro ($11.39 billion) international bailout.

The rebound has largely been driven by successive tourism seasons as he told the Invest Cyprus annual general meeting his government had achieved 4 percent growth, fiscal surpluses, cut unemployment to 7 percent and boosted the credit rating.

It was done as well on the back of austerity and nearly wiping out savings of many who put their life savings in banks that created a fiscal crisis with big holdings in Greek bonds that were devalued 74 percent and bad loans to Greek businesses.

No bankers were held accountable as he promised, nor has he helped, as promised, many of those hurt by the bank confiscations and as the country has been accused of selling Golden Visas offering EU passports to rich foreign investors, some said to have dubious backgrounds.

Instead, Anastasiades, easily re-elected this year despite a furor of the bank confiscations and the closing of Laiki Bank, talked about the economic numbers of recovery, said Kathimerini Cyprus.
“To achieve these results, we had to take bold decisions, many of which had a high political cost, which we did not weigh,” Anastasiades said.

Those included, he said, consolidating public spending, tax incentives to boost growth and attract investments but said he’s been unable to cut red tape despite structural reform which haven’t worked to deal with bureaucracy.

“Red tape constitutes one of our country’s greatest disadvantages. I hope the political powers will understand that leaps are necessary and that we need to reform the public service in an effective way,” Anastasiades said.

“We are focusing on addressing problems of vulnerable groups of the population with additional social welfare measures for a fairer distribution of wealth, achieved through the cooperation of public and private sector,” he said without providing any details or specifics.

Angelos Gregoriades, President of the Cyprus Investment Funds Association, said investment funds in Cyprus have increased by 70 percent while funds under management reached 5.7 billion euros ($6.49 billion,) an increase of 90 percent in the past few years.

1 Comment

  1. Well … you Greek America readers …should know …that the confiscation of bank Accounts and Assets …. is now on the books of America ..if you did not know!

    To understand this … what Mr. Anastasidis did ..was bailout the banks and government …by not having to do …what happened in the 2008 crash in America… which forced the American Tax payers billions of dollars to prevent J .P. Morgan and Bank of America…from folding and defaulting on their obligations and lack of reserves!

    In other words….instead of the government bailing out these banks and their legally established reserves … they now have the right to take the cash and deposits of the people … and use that to meet their obligations!

    In a sense… banks are now allowed to freely steal money from their depositors to meet their obligations!

    Therefore Readers … this trickery …is an EU invention with the Banksters … to extort whatever money they need … which the government did … to save these savings and loan institution … and was ridiculed by the Public …for using our money to save a Private institution from failing …which they should not be doing and …only demonstrates who corruptly runs America!

    If you do not understand this from the Glory to America Greek Secret Societies…a small business owner going bankrupt … will receive no help from the government …in the form of cash from the Taxpayers …but big corporate financial banks and institutions… will get it! Now …that is embarrassing…so now … they can take the depositors assets and cash to provide them with whatever operating monies they need! Screw the depositors!
    Therefore… it would be a good idea…to open an account , if eligible, with a Credit Union …who will not …use that practice… and where , in an emergency , they will have the cash in hand …you will need …when the next crash hits…which I expect will be shortly!

    Mr. Anastasidis …like Mr. Tsipras …has again demonstrated who he represents… but it appears the people of Cyprus are … no different that the people of New Jersey …who reelected one of the most notorios corrupt and indicted … bribe recipient in New Jersey history!

    And they wonder why …they are an island country ..described as a floating aircraft carrier of Nato!

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