-
.
- Ελληνικά
The appointment ceremony of the new Governor of the Central Bank of Cyprus, Mr Christodoulos Patsalides, took place this morning at the Presidential Palace, in the presence of the President of the Republic, Mr Nicos Christodoulides.
During his speech at the ceremony, the President of the Republic said: "Financial stability is a vital factor in promoting sustainable economic growth and enhancing the competitiveness of our country, also by ensuring the credibility and confidence of investors and consumers.
Financial stability is also one of the three pillars of the Government's economic policy, along with fiscal responsibility and continuous reforms.
It is in this framework that our actions and interventions in our first year of governance are systematically moving in our first year and it is in the same framework that we are already moving to implement the actions I announced during the presentation of our Planning for 2024.
It is positive that our economic policy is already bearing fruit with Cyprus being upgraded to investment grade by all rating agencies and macroeconomic performance significantly better than the European average. At the same time, we are proceeding with a plan and timetable to implement the necessary, bold reforms in all areas that affect the social and economic life of our country, such as the environment, justice, the launch of the debate on the country's fiscal transformation, health and children, which are our priorities. The aim is to strengthen the competitiveness of our economy and the successful green and digital transition, through a people-centred approach to our policies that will substantially improve the living standards of our citizens and thus social cohesion, focusing in particular on the middle class of our country, which has been the backbone of the Cypriot economy and society over time.
Today, acting within my Constitutional powers, I have decided to appoint Mr. Christodoulos (Christakis) Patsalides as Governor of the Central Bank of Cyprus.
Mr. Patsalides is called upon to lead an institution of key importance for the financial stability of our country and, consequently, for economic stability and progress. An organisation staffed with a very remarkable human resource, which I am sure he will lead with the ethos and values that have characterized it over time.
Over the past years, the joint efforts of the Government and the Central Bank have resulted in a substantial reduction of non-performing loans and the restoration of the soundness of the domestic financial system. This effort will continue in a climate of, always, close cooperation, with the ultimate goal of meeting the high but justified expectations of businesses and households from the local financial system. It was precisely in this context that the improved legislative framework on divestments, which had been pending since 2017, causing many problems, was recently adopted, and at the same time the powers of the Financial Ombudsman were expanded, thereby also strengthening the protection net for vulnerable borrowers.
At the same time, Cyprus has, unfortunately, one of the widest gaps between lending and deposit rates, which creates difficulties for business and burdens households. The expectations, therefore, also relate to the facilitation of the Cypriot citizen's access to reasonably cheap and fast financing, which will serve as a necessary ingredient for the implementation of business plans and the well-being of households, with positive effects both for the economy and for the society of our country.
Dear Mr. Patsalides, my friend Christakis, you are called upon to succeed in the extremely complex and difficult task of effective supervision and ensuring financial stability, with conditions that ensure an effective framework of bank financing for the benefit of the economy and society in general, always within the framework of the guidelines and directives of the European Central Bank.
You are called upon to do so in the midst of difficult geopolitical developments that have resulted in a rapid increase in interest rates internationally, before At the same time, it is very important to address effectively and quickly the challenges of the financial system related to digitalisation and climate change.
You are also invited, and I consider this to be particularly important, to proceed with the implementation of a new corporate governance model for the Central Bank of Cyprus, based on the plan prepared with the assistance of the International Monetary Fund and the European Central Bank at the end of 2018.
Mr. Patsalides, through the very close cooperation we have had recently, I have had the opportunity to see that you have all the necessary elements to succeed in your extremely challenging task. You have vision, plan, academic and professional experience, and most importantly for me, you have ethics and integrity.
At the same time, I am confident that you will have an excellent working relationship with the staff of the Central Bank of Cyprus, after all, you served at the Central Bank, and you will serve the institution with zeal and dedication, with full respect for the Constitution and the legal and regulatory framework governing the operations of the Central Bank.
My support for your work is a given, as is the support of the Minister of Finance and the entire Government, and I am confident that you will enjoy the support and cooperation of all stakeholders and affected entities.
Finally, on the occasion of the completion of Mr. Constantinos Herodotus' term of office, I would like to express my sincere thanks and appreciation for the important work he has done at the Central Bank of Cyprus and on the Governing Council of the European Central Bank. During his tenure, among other things, he has achieved further protection of our financial system, while he has deservedly represented Cyprus in international and European institutions, enhancing the prestige of the Central Bank and, by extension, the prestige of our country.
Dear Christakis, congratulations and every success."
For his part, the new Governor of the Central Bank said, among other things, that his appointment is an extraordinary honour for him, and creates for him obligations and responsibilities that he promises to fulfil to the highest possible degree. Patsalides then referred extensively to the Cypriot economy, which is recognized and appreciated by foreign investors and Rating Agencies, noting that it shows, among other things, growth, lower inflation, lower unemployment and lower public debt, "important elements that form an enviable course among the European partners".
He pointed out that "the aforementioned good external evidence is based, among other things, on the pillars of sustainable growth set by the Government" through, inter alia, surplus budgets, financial stability and reforms.
(PM/NZ/AF)
Contents of this article including associated images are owned by PIO
Views & opinions expressed are those of the author and/or PIO
Source
