Bank of Cyprus CEO John Patrick Hourican expressed his disappointment by lawmakers’ “shenanigans” in delaying important laws aimed at helping banks collect on a huge number of bad loans.
During an interview with the Associated Press at his office in the bank of Cyprus headquarters in Nicosia, on November 18, Hourican said it's been "embarrassing" for him to explain abroad actions that had delayed and diluted a key foreclosure law that was passed last year.
He further pointed out that the law is neither strong enough nor its implementation swift enough, hampering the bank's ability to boost lending and getting the economy growing faster. Legislative gaps — like where auctions on foreclosed property will be held — remain a stumbling block.
Creditors point out that bad loans remain the country's number one priority and Hourican stated that around half of Bank of Cyprus' 24 billion euros worth of loans are sour.
According to The New York Times, Hourican said that Cyprus was "poorly treated" by its European Union partners and called the deposit grab a "cardiac arrest" of such scope that confidence in the Cypriot banking system will take many years to fully restore.
“The parliamentarians have decided heading into an election year that it's good to raise populist measures and what they're doing is driving up delinquencies and not helping us fix them,” the CEO said.
He also mentioned, “I would like some maturity and responsibility taken in helping the country driving its legislative agenda, recognizing that depositors of this bank are the victims at this point in time, whether you like it or not.”
“Now we can provide credit to the economy ... but it will be turbo-charged by people meeting their obligations,” Hourican concluded.
During an interview with the Associated Press at his office in the bank of Cyprus headquarters in Nicosia, on November 18, Hourican said it's been "embarrassing" for him to explain abroad actions that had delayed and diluted a key foreclosure law that was passed last year.
He further pointed out that the law is neither strong enough nor its implementation swift enough, hampering the bank's ability to boost lending and getting the economy growing faster. Legislative gaps — like where auctions on foreclosed property will be held — remain a stumbling block.
Creditors point out that bad loans remain the country's number one priority and Hourican stated that around half of Bank of Cyprus' 24 billion euros worth of loans are sour.
According to The New York Times, Hourican said that Cyprus was "poorly treated" by its European Union partners and called the deposit grab a "cardiac arrest" of such scope that confidence in the Cypriot banking system will take many years to fully restore.
“The parliamentarians have decided heading into an election year that it's good to raise populist measures and what they're doing is driving up delinquencies and not helping us fix them,” the CEO said.
He also mentioned, “I would like some maturity and responsibility taken in helping the country driving its legislative agenda, recognizing that depositors of this bank are the victims at this point in time, whether you like it or not.”
“Now we can provide credit to the economy ... but it will be turbo-charged by people meeting their obligations,” Hourican concluded.