The referral was signed and sent to House Speaker Yiannakis Omirou on Tuesday and handed to MPs on Wednesday.

In a note accompanying the referral, the President underlines that with the approval of the legislation in early December last year the EU launched the process of providing Cyprus with bailout funds of €350 million.

He highlights the fact that following the delay in implementation, the IMF suspended the approval of the next tranche of its own contribution to the bailout, an amount of €85 million.

“The suspension of the implementation of the foreclosures legislation is a heavy blow to the credibility of the Republic of Cyprus,” says President Anastasiades, warning that this sticking point causes a chain of negative reactions.

Anastasiades said in order for the legislation to be implemented in practical terms auction regulations must be approved and these are still undergoing technical study at the legal service.

His main argument is that the delay is bringing about credibility issues and more so not allowing necessary bailout loan funding for Cyprus to come through in time.

On the insolvency legal framework, a crucial part of the foreclosures package, Anastasiades said that the government has done its job and pushed all relevant bills to parliament for approval next week, as MPs demanded.

Source: InCyprus