The Cyprus Parliament Voted To Extend The Application Of The Debt Restructuring Provisions To 31 December 2021
On 3 December 2020 the Cyprus Parliament voted for the extension of relevant tax provisions of the Cyprus tax legislation with respect to the debt restructurings, Mondaq reported. The debt restructuring provisions allow for certain tax relief incentives for transactions which involve the transfer of Cyprus immovable property by a borrower (the definition of "borrower" has been extended recently to include any related person to the primary borrower) and/or debtor and/or guarantor to a qualified lender.
Following a summer marred by the ongoing coronavirus pandemic the situation being faced by the island’s hoteliers remains dire, and prospects are bleak, the Cyprus Mail reported. According to the Cyprus Hotel Association (Pasyxe) and the Association of Cyprus Tourist Enterprises (ACTE), which counts among its members some of most prominent luxury hotels in the island, the financial situation at the moment does not leave room for optimism.
Banking officials are warning Cypriot authorities to not dilute legislation aimed at helping banks on the east Mediterranean island nation from getting to grips with their huge bad loan problem, the International New York Times reported on an Associated Press story. A source familiar with the situation, who isn't authorized to speak publicly, said Wednesday that proposed amendments "point in the direction" of some watering down to the recently passed legislation that has enabled banks reduce their bad loans.
Cyprus is weighing an early repayment for part of a 2.5 billion-euro ($2.8 billion) Russian loan that dates back to the low point of the financial crisis, two government officials said, after yields on the country’s 10-year debt hit a record low last week, Bloomberg News reported. While the government is seriously considering early repayment, no final decision has been made yet, said one of the officials, who asked not to be named citing the ongoing decision-making process.