Cyprus is at the core of Europe and is an important player in the EU and the Eurozone, European Central Bank President Christine Lagarde stressed before the President of the Republic Nicos Anastasiades and the Governor of the Central Bank Constantinos Herodotus.
At the same time, she expressed confidence that our country will recover from the crisis caused by the war in Ukraine and praised the resilience of the economy during the banking crisis and the pandemic crisis. Lagarde, who is visiting Cyprus at the invitation of Governor Constantinos Herodotus, had a meeting with Mr. Herodotus at the Central Bank in the morning and then with the President of the Republic Nicos Anastasiades at the Presidential Palace.
In his statements after the meeting, President Anastasiades said that it is a great pleasure to welcome to Cyprus the President of the European Central Bank, Christine Lagarde, noting that her visit to our country, at the invitation of the Governor of the Central Bank of Cyprus, is of great importance, especially in view of this important juncture for the European and global economy.
As President Anastasiades said, during the meeting, he had the opportunity to brief Mrs. Anastasiades. Lagarde on the current situation of the Cypriot economy and to discuss with her some of the new challenges that are emerging, which, of course, also have implications for the European Union and its Member States, as well as for the Eurozone.
As he explained to Lagarde, the significant progress of the Cypriot economy in recent years, which, among other things, has led to the creation of sufficient fiscal reserves, has allowed us to protect the important resources for health and to address the economic consequences of the The Republic of Cyprus, he explained, is facing new obstacles, such as declining tourist arrivals, increased inflation and rising energy and food prices, which are undermining the country's growth trajectory.
However, President Anastasiades expressed optimism that, once again, "we will manage to exceed expectations and continue to implement our commitments to macroeconomic and financial stability, to sustainable and inclusive growth for the benefit of our citizens and businesses," he said.
He added that it is the position with President Lagarde that a comprehensive EU plan is once again necessary to address uncertainties and strengthen our resilience in the challenging period ahead.
Addressing Ms Lagarde, he said: "You are a friend of Cyprus who has observed the decline and rise of our economy in recent years and I believe your visit today demonstrates our willingness to work closely together and further strengthen our productive cooperation."
For her part, Christine Lagarde initially said she was delighted to be back in Cyprus, accepting the invitation of Constantine Herodotus.
She said this morning they exchanged views on the global economic situation but also on the drama taking place next to Europe as a result of Russia's terrible war in Ukraine.
"We discussed the economic consequences it will have for our countries within Europe and specifically within the eurozone. We are all shocked and horrified by the images of war and everyone is doing everything they can to deal with the situation," he said, adding that for its part the ECB and the Central Bank of Cyprus are part of this exercise.
He noted that the effort is focused on ensuring price stability, financial stability, while expressing the desire that the sanctions decided at the European level against the He pointed out that in the past Cyprus has demonstrated its ability to change, improve, innovate and move from one business model to another.
"I really hope that this will happen again because it is a fact that tourism activity will be particularly affected," he said and expressed confidence that Cyprus with the help of its partners, with the help of Europe and other eurozone members, Cyprus will be able to recover and balance and return to prosperity and to the path it had previously followed, even during the years of the COVID pandemic when it had shown incredible ability to withstand challenges.
Lagarde went on to say that she was delighted to see that Cyprus is largely not at the edge of Europe but at the core of Europe and is a key player and key member in Europe.
He finally assured, as President of the European Central Bank, that Cyprus' voice is well heard and well respected at the ECB Governing Council table and that Cyprus plays an important role in Europe and its economy.
For his part, Mr Herodotus expressed his gratitude that Ms Lagarde accepted the invitation and found time to visit Cyprus. He noted that Europe, including Cyprus, has already entered a new phase of a major challenge that requires immediate action, which is being undertaken both at the ECB and here in Cyprus.
"In this difficult environment, we must further strengthen our efforts towards a sustainable growth and financing model, taking all necessary measures," he said, noting that he and Ms Lagarde are already working proactively in the Governing Council of the ECB. He also expressed his optimism that once again we will address the long-term challenges in the best and most proactive way.
Regarding Cyprus' banking system, and despite the consequences of the pandemic and new challenges, Herodotou said he assured Ms. Lagarde that it is stable and can absorb any turbulence or spillover effects as it moves towards resolving the NPL issue and towards a new era of technology and automation with sufficient capital reserves and strong liquidity.
Source: CNA
Contents of this article including associated images are belongs Cyprus Times
Views & opinions expressed are those of the author and/or Cyprus Times
Source
