Following the meeting, chaired by the President of the Republic, to discuss the issue of the milestone pending in Parliament for the disbursement of 85 million euro. A meeting was held today at the Ministry of Finance, under the chairmanship of the Minister of Finance, Mr. The meeting presented the integrated and holistic framework for the management of non-performing loans, which provides the tools to further reduce and solve the problem of non-performing loans, as well as the net of protection of the first home of vulnerable households.
At the meeting the integrated and holistic framework for the management of non-performing loans was presented.
In relation to the Bill in question, its purpose is to provide access to the databases of the Land Registry and "ARTEMIS", with the ultimate aim of facilitating the restructuring of loans and establishing a mechanism for supervision by the Central Bank of credit management companies, for the benefit of borrowers and guarantors.
During the meeting, the provisions of the Bill were explained, as well as the consensual arrangements accepted by the Ministry of Finance from party proposals, through the debate in the relevant Parliamentary Committee.
In addition, the meeting presented in detail the overall plan promoted by the Government since 2015 for the protection of the first home of vulnerable households, which involves four pillars:
- ESTIA Scheme (completed on 15 June 2020)
- HOME Scheme (acceptance of applications until 30 June 2022)
- Central Equal Burden Sharing Agency Scheme (acceptance of applications completed on 30 September 2021)
- Mortgage to Rent Scheme which will cover specific categories of the population, including the non-viable ones of the ESTI Plan, at a total cost of 400 million euros.
The fiscal cost of the government's plans to manage/address non-performing loans to protect the first home is estimated at around EUR 0.5 billion.
At the same time, the Ministry of Finance expressed its willingness to reintroduce a government bill to set up a special court for non-performing loans, but without provisions that would make it easier for defaulters, hindering the smooth processing of loan restructuring.
Several issues were also put on the table which will be further discussed at a technical level, either by direct contact between stakeholders and the Ministry, or in the upcoming session in Parliament.
The meeting was held in a good and constructive atmosphere, with the Ministry of Finance expressing every goodwill towards solving problems.
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