COVID19: Cyprus first EU state to exploit SURE financing

Cyprus is the first EU member-state to benefit from low-cost financing of €479 mln from the SURE facility to protect the labour market from the adverse impact of the coronavirus pandemic, the Finance Ministry said.

In a statement on SURE’s (Support to mitigate Unemployment Risks in an Emergency) first disbursement to Cyprus of €250 mln, the Ministry said the remaining €229 mln will be disbursed in early 2021.

“The government’s sound planning amid the pandemic is proven by the fact that Cyprus was the first country to utilise the tools provided by the EU to manage the crisis,” the Finance Ministry said.

It added that the government submitted a “comprehensive and fully justified” request for a loan amounting to €479.07 mln.

Cyprus was among the three countries which secured approval for all eight eligible schemes, which demonstrates the government’s financial scope and targeting.

The Ministry said that Cyprus along with only two other member-states will receive loans that amount to 2% of the country’s GDP compared to an average 1.5% of GDP for the other 15 member-states.

The European Commission accepted the request of Cyprus and included it in the first group of 15 Member States for the provision of funds totalling €81.4 bln.