DIJSSELBLOEM: Next tranche when Cyprus acts on past agreements

Dijsselbloem noted that “once the Troika institutions confirm that the required prior actions have been successfully completed, we can proceed with the disbursement of the next tranche of financial assistance by the ESM. And we' ve asked the euro working group to handle the remainder of this process,” he said.

In his remarks to the press following the Eurogroup meeting on Monday, Dijsselbloem noted that “the Troika institutions briefly informed us of the state of play of the fifth review of the macroeconomic adjustment programme for Cyprus.”

He noted that “putting in place an effective legal framework for private debt restructuring
remains an important pending issue that prevents the conclusion of the review,” adding that “four bills that would affect this legal framework are currently being assessed by the Supreme Court of Cyprus and we await the outcome of this process.”

“Putting these legal provisions in place in line with the MoU is of course essential to make progress with the high level of non-performing loans in Cyprus, including large corporate loans, and to return Cyprus to financial health,” Dijssebloem stressed.

Cyprus agreed with its international lenders collectively known as the Troika (EC, ECB, IMF) a €10 billion bailout. So far the country has received five tranches amounting to 5,77 billion from the EU and the IMF.