New law on property foreclosure in Cyprus postponed until after elections

Cypriot authorities do not plan to introduce a new bill on property foreclosures for debts in the near future. According to sources, the document may only be presented after the upcoming parliamentary elections.

Discussion of the new legislation is linked to the need to change the current system for seizing property from debtors. In recent years, this issue has caused serious political controversy, as debt collection measures often lead to borrowers losing their homes.

The government is considering the possibility of updating the protection mechanism for vulnerable borrowers, as well as changing the rules for property auctions by banks and credit institutions.

However, as noted, due to the political sensitivity of the topic and the upcoming elections, the authorities do not want to push the reform forward now. It is expected that discussion of the law will intensify after the formation of the new parliament.