“This action follows the successfully completion of Cyprus’s adjustment programme review, which is a precondition for the purchase of Cypriot government bonds as part of the public sector purchase programme,” the central bank said in an emailed statement.

The ECB initiated the first round of Cypriot government bond purchases from the secondary market in July.

“The inclusion of Cypriot government bonds in the expanded asset purchase programme is expected to continue to benefit Cyprus directly through the further reduction of the government’s borrowing cost and indirectly by strengthening confidence in the Cypriot economy and the domestic banking system,” the central bank said.

Source: Cyprus Mail