The publications of the directives will mark the implementation of the law on loan sales that has been approved by the Parliament in November 2015.

According to reliable sources, Cyprus’ lenders (the European Commission, the ECB and the IMF) have sent their comments to the CBC.

After the CBC incorporates the necessary changes, the directives will be published. The CBC is expected to publish the two directives next week.

The bill aims at granting the CBC the authority to regulate and supervise the sale of credit facilities while preserving financial stability.

Loan sales and loan securitisation are considered as two tools that would assist the banks to tackle non-performing loans in the Cypriot banking system which exceed €27 billion.

Source: Famagusta Gazette