Government approves bills for economic package to offset effects of COVID-19 epidemic

The Council of Ministers approved on Wednesday a number of bills as part of the €700 million economic package to offset the effects of the coronavirus epidemic to businesses and households in Cyprus.

The bills provide for the suspension of payment of value added tax until the end of April, the reduction of the increased VAT rate from 19% to 17% and of the reduced rate from 9% to 7%, as well as the temporary maintaining of the current contributions for the National Health Scheme until from April 1 to the end of May.

The bills will be submitted to the parliament for approval.

Furthermore, the government decided to submit to the Cyprus Energy Regulating Authority (CERA) a proposal for a 10% reduction of the electricity price for a period of three months, the suspension of foreclosures by the state-owned Cyprus Asset Management Company (KEDIPES) for three months, as well as to give a new 3-month extension for the submission of completed applications for the ESTIA scheme, aiming to support non-performing home owners who pledged their primary residence as collateral.

Source: Cyprus News Agency