Troika Back to Cyprus for 4thEvaluation of Economic Adjustment Program

A team of inspectors from the Troika of international lenders is back in Cyprus to conclude the fourth evaluation of the country's economic adjustment program.

For a period of two weeks, the delegates from the European Commission, the European Central Bank and the International Monetary Fund are to discuss a number of issues, including an increase in non-performing loans, the restructuring of the banking sector, economic reform and privatization, and the introduction of the new national health insurance scheme, according to reports of the Bulgarian National Radio (BNR).

The upward trend in non-performing loans, now at over EUR 26 B, is considered a major problem for the financial stabilization of Cyprus.

The troika of international lenders is to examine possible negative consequences of the crisis in Ukraine on Cyprus' economy.

The agenda of the meetings also includes a review of the implementation of banking sector restructuring plans.

An important issue on the agenda of the meetings will be the assessment of the country's preparedness for the introduction of the National Health Scheme (NHS).

Health Minister Philippos Patsalis presented a detailed roadmap for the implementation of the NHS setting out the measures, legislative changes and reforms at state-owned hospitals so that it could be completed by 2016.

In March 2013, crisis-stricken Cyprus was granted a EUR 10 B bailout from international lenders in exchange for a tough recovery program.