We laid the foundation for the country we envision, President says after one year in office

President of the Republic, Nikos Christodoulides, referred to the most important policies that his administration promoted and implemented since assuming office a year ago stressing that "we have laid the foundation to achieve the best Cyprus that we all envision."

In a televised message on 5 March, on the occasion of the completion of the first year in office, the President said that "I certainly do not claim that in these first twelve months we did not avoid mistakes. But I can confidently say that we laid the foundation to achieve the best Cyprus that we all envision."

At the center of our priorities, he stressed, remains the Cyprus issue and recalled that in the coming days the personal envoy of the UN Secretary General for Cyprus will return to the country to continue her contacts.

The appointment of Maria Angela Holguín Cuéllar, he said, and the beginning of a new effort to restart talks was the result of our own persistent efforts and initiatives.

"Without ignoring the difficulties and challenges as a result of the Turkish stance, we approach Holguin's mission with absolute seriousness and as a window of opportunity for the resumption of substantive talks. Our effort for a more active involvement of the European Union, taking into account the full spectrum of Euro-Turkish relations falls within this framework. Such a development can lead us, through the solution of the Cyprus problem, to a mutually beneficial state of affairs", he continued.

Referring to the economy, he said that “the upgrade of our economy to investment grade by all rating agencies is a vote of confidence and a reward for the prudent policies we follow and is based on fiscal responsibility, stable financial system and continuous reforms."

He also said that addressing the immigration problem was of high importance for the government in its first year, so as Cyprus is no longer considered an attractive destination.

As a result of our work, he pointed out, for the first time, asylum seekers and others leaving Cyprus have increased by 66% and their number is higher than the one of those that arrive. "The figures speak for themselves," he said.

The President also said that the policies and actions that were decided, implemented or that have been launched, will be made public and that the Ministers and Deputy Ministers will present at press conferences the work they have accomplished so far.

In his televised message, and after recalling that the transparency and accountability he had promised are at the core of the Government's philosophy, the President noted that the Government's plan for Cyprus and its political orientation are based on specific and targeted priorities.

Specifically, he stressed, in improving the daily life of every citizen, in building a strong and resilient economy, in laying the foundations for a better tomorrow by investing in education and health, in accelerating the green transition, in modernising and reorganising the state, and in strengthening Cyprus' position as a strong partner in the European Union and the wider region.

Focus on the Cyprus problem

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Regarding the Cyprus problem, which remains at the heart of the Government's priorities, the President recalled that the UN Secretary General's personal envoy will return to Cyprus for contacts in the coming days, indicating that "the appointment of Ms. Holguin and the beginning of a new effort to resume talks was the result of our own persistent efforts and initiatives."

President Christodoulides noted that the mobilisation of the Greek Cypriot side towards the United Nations, the European Union and all major international actors, always in cooperation with the Greek government, is bringing results as "everyone recognises our readiness and political will to come to the negotiating table with sincerity and determination with the sole objective of resolving the Cyprus problem on the basis of the Bizonal Bicommunal Federation, utilising the negotiating acquis to date."

Recalling that the goal as regards the Cyprus problem is the liberation and reunification of our country, through a solution that ensures basic human rights for all legitimate citizens of our country, without occupying troops and invasive rights, President Christodoulides stressed that the Greek Cypriot side, without ignoring the difficulties and challenges as a result of the Turkish stance, approaches the mission of Holguin with absolute seriousness and as a window of opportunity for the resumption of substantive talks and that the effort for a more active involvement of the European Union, taking into account the full spectrum of Euro-Turkish relations, falls within this framework.

Such a development, he explained, could lead, through the solution of the Cyprus problem, to a mutually beneficial state of affairs.

Christodoulides also vowed that he will not put before the citizens a peace plan for the Cyprus issue with which he does not agree and expressed once again his readiness to enter into reunification talks based on the agreed framework.

He underlined that he will enter into talks based on the agreed framework that includes UN Secretary General Antonio Guterres' proposals, as submitted in 2017 in Crans Montana, pointing out that a two-state solution is not an option for discussion.

The President noted also that two states or recognition of another state could not possibly be accepted.

He went on to say that Cyprus, as a small state under occupation is not at the centre of the world and what we need to do is, through our actions, to highlight our added value, noting that "this is the only way to attract international interest about your own interests."

President Christodoulides said that we cannot sit for talks in Brussels and be single-minded and referred to Nicosia’s proposal for a humanitarian aid maritime corridor to Gaza, with the primary objective to help people at risk and at the same time to highlight Cyprus’ significance.

He also said that he is happy when both the EU and the US see the role that Cyprus could play. He added that the solution to the Cyprus problem, could bring about benefits for everyone, not only for Cyprus and its people, but also for the EU, the region and Turkey.

Replying to a question the President said that every Cypriot citizen, Greek Cypriot or Turkish Cypriot should be able to choose where to live. He noted that it is not possible a citizen of Germany to be able to choose where to reside, but a Greek Cypriot or Turkish Cypriot to have restrictions to this right.

Responding to another question President Christodoulides said that history has shown that every plan for solution or any initiative was worse than the last. This, he said, changed in 2004 when Cyprus joined the EU . But he went on to say that time creates a negative fait accompli and this situation does not allow for Cyprus to reach its full potential.

The President said that he is worried about the impasse but noted that if there is a deadlock this won’t be his own fault, pointing out that if during his tenure no progress is achieved towards a Cyprus solution he will certainly not be a happy man.

He also noted that there are no unresolved problems or frozen conflicts, giving the example to what is happening right now in Gaza.

Referring to the mission of the UNSG's personal envoy in Cyprus President Christodoulides said that there is no time restriction but at the same time this mission "is not an open-ended one."

He note that we cannot be in discussions forever and this is the reason we need to do everything possible for the resumption of the talks. The President also pointed out that if he didn't believe that the Cyprus problem could be solved, he wouldn't invest so much time in this effort.

"I really believe", he added, "that the solution of the Cyprus problem, based on the agreed framework, is possible."

Replying to another question he said that Cyprus-Greece relations are excellent, noting that since the Republic of Cyprus was founded in 1960, we now have the very first Cyprus-Greece Intergovernmental Conference. About Greek-Turkish issues, he noted that there is a dialogue that has not resolved the differences, but added that positive developments would be beneficial for the Cyprus issue as well.

President Christodoulides also noted that there cannot be a complete normalisation of relations between Greece and Turkey, without resolving the Cyprus issue.

Asked about his proposal for an EU envoy for Cyprus, the President of the Republic said that such an appointment remains a goal. He said that "talks are ongoing with a specific personality", who is not former German chancellor Angela Merkel , but he noted that he cannot disclose the name in public. He also said that the EU worked "with absolute sincerity" for the appointment of Holguin.

He pointed out that some powerful EU member states wanted to see an UN envoy being appointed first and then to proceed with the talks for an EU envoy.

Referring to the usurpation of Greek Cypriot properties in the Turkish occupied areas the President noted that our main weapon to deal with the matter, is legal measures that are being worked on and are in an advanced stage covering all the occupied territories.  

He also said he raised the issue at political level during talks with the Israeli Government, referring to the increased interest by Israelis to purchase property in the Turkish occupied part of Cyprus.

He also referred to the recent provocations by the occupying administration against Greek Cypriot enclaved students attending schools in Rizokarpaso. He said that the occupying forces know very well that the sovereign equality they seek cannot be achieved at the negotiating table, and they are trying to achieve this through provocations.

He added that through these provocations as well as the recent violations in the buffer zone, the occupying regime is questioning the role of UNFICYP.

Ensuring a strong and resilient economy a non-negotiable objective

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On the economy, noting that ensuring a strong and resilient economy is a non-negotiable objective for the Government, the President recalled that as soon as the Government took office it was called upon to manage an unpleasant development with sanctions by the United States and Britain, and that in this matter the Government made clear from the very first moment the importance it attaches to the reputation and credibility of the country, demonstrating the determination in practice for zero tolerance. "In this context, I did not hesitate to ask foreign authorities to assist in the investigations in order to complete the relevant procedures as soon as possible," he said, recalling at the same time that the Government is proceeding with determination to establish a National Sanctions Implementation Unit and the very important reform for the establishment of a Single Supervisory Authority for administrative service providers.

"We want to ensure that we leave behind us once and for all the practices that have exposed our country", President Christodoulides noted, stressing that this is the only way to get rid of any shadow that affects the credibility of Cyprus, which is, among other things, an obstacle to attracting quality investments and creating new jobs.

He also noted that the Cypriot economy is on a steady course with positive growth prospects, despite the complex challenges it faces due to the unstable geopolitical environment, since according to the latest estimates of the European Union, the Cypriot economy is expected to record the second highest growth rate for 2024. He added that the upgrade of our economy to investment grade by all the rating agencies is a vote of confidence and a reward for the prudent policies pursued by the Government with commitment to "fiscal responsibility, stable financial system and continuous reforms."

The President of the Republic pointed out that during the first year of his administration, important milestones were achieved, such as the completion of the prerequisites for the 2nd and 3rd payment requests of the Recovery and Resilience Plan, with the absorption of funds amounting to €152 million. The adoption of an improved legislative framework for foreclosures pending since 2017, as well as the extension of the powers of the Financial Ombudsman, strengthening the protection net for vulnerable borrowers, the implementation of the Rent versus Installment Scheme, the financial support of €50 million to the Solidarity Fund for bailed in depositors and the activation of the platform for the submission of online claims for compensation.

Furthermore, the adoption of the VAT reduction for main, first, resident, the establishment of a special Equity Fund to finance start-up companies and boost innovation, the update with important new incentives concerning housing, education and intra-EU mobility, the Investment and Talent Attraction Strategy, the acceleration of the processing of applications for employment of third country nationals and the foundation of the country's Tax Transformation, with a view to enhancing the competitiveness of enterprises and achieving the strategic objectives for green and digital transition.

The President went on to say that another important milestone in this first year of government is the first surplus budget, which he said confirms the Government's determination to achieving the goal of a strong and resilient economy.

Targeted social policy

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Regarding social policy, the President, pointed out that the economic responsibility of the government is a prerequisite for the implementation of a targeted social policy, thus also addressing high prices, recalling that a few days ago the Government announced a second package of support for households and businesses, amounting to 60 million euros, following the measures that came into force last October, amounting to 196 million euros.

"Far from populist approaches that endanger the fiscal stability of our country, in this first year of our government, we have proceeded responsibly, and in addition to the two support packages, we have implemented other important policies, from which the middle class and businesses in particular are benefiting," he said.

He added that the Government has decisively proceeded to increase maternity leave to 22 weeks, to pay the statutory pension from the first month, to impose a reduced or zero VAT rate on basic products, to increase the rent allowance for displaced and affected persons, the payment of care allowance to relatives of the dead and missing, the increase of the honorary mother's allowance, the rationalisation of the minimum guaranteed income, a 5% increase of the minimum pension, the faster approval of applications for public benefits and the adoption of legislation on e-Kalathi.

At the same time, he continued, in the context of the dialogue with the social partners, the Government proceeded to increase the national minimum wage to 1,000 euros and reached the agreement on CoLA, which benefits 180 thousand workers in the private and public sectors.

He also referred to important interventions which include the decision on the new housing policy for affordable housing, the most substantial ever announced, which aspires to offer solutions to hundreds of citizens, especially the young generation, through specific incentives such as the "Renovate - Rent" scheme, the "Building for Rent" scheme on private land to offer housing at affordable rent, grants to young couples and young people for the purchase of a first home, the Interest Rate Subsidy Scheme for the purchase and construction of a first home, the Land Allocation to Families Scheme, the revised planning incentives for affordable housing, and the extension and upgrading of the Planning Incentive Scheme for business recovery.

At the same time, he added, we decided to implement a series of measures to reduce bureaucracy, particularly in residential developments licensing.

Regarding the refugees, the President said that one of the first actions of the Government was to promote solutions in relation to the unsuitable refugee blocks of flats, through the €110-million KtiZO Project. He also pointed out that in terms of the refugee policy, of particular importance were also the decisions to streamline and manage Turkish Cypriot property transparently, as well as the significant improvement and enrichment of the plans of the Central Agency of Equal Distribution of Burdens, which he announced a few days ago.

He also referred to important actions implemented to improve the daily life of citizens, such as the Neighbourhood Social Worker, bringing the social services of the state closer to the citizen, the operation of the 1450 call center for services related to benefits, the submission of a bill to establish rules for the management and operation of apartment buildings and the Pame Express to alleviate traffic congestion which, he said, resulted in the removal of about 400 vehicles a day from the Nicosia road network.

Migration

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On Migration, President Christodoulides pointed out that its management aiming to stop Cyprus being seen as an attractive destination was a paramount action during his first year in office. He pointed out that in this context, and as the Government had promised, among other things, it submitted in June the bill for the establishment of the Deputy Ministry of Immigration and Asylum, which was voted by the House of Representatives a few days ago, essentially strengthening the Immigration and Aliens Service by more than doubling the number of asylum applications examiners, which resulted in the drastic reduction of the applications examination time to 3 months.

At the same time, the rate of deportations increased by 200% and the computer systems of the Ministries of Interior and Labor were interconnected, succeeding in detecting illegal working immigrants.

"As a result of our work, for the first time, asylum seekers and non-beneficiaries leaving our country have increased by 66% and are more than those arriving," President Christodoulides said, indicating that the figures speak for themselves.

Green Transition and environmental protection

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Green transition and environmental protection play an important role in improving everyday life, and are a key component of the political orientation of his administration, the President of the Republic said and pointed out that within this framework, the Government has proceeded, among other things, with enhanced plans for renewable energy sources for households, the most important of which is the "Photovoltaics for All" Plan, a Virtual Net Metering Plan, in order to enable the use of renewable energy sources and the use of renewable energy sources.

Education and Health

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Stressing that an important dimension “for the foundation of the better tomorrow we want is the upgrading of Education and the provision of quality health services since "these are two policy areas that touch, almost daily, each and every one of us”, the President noted that in the first year of his administration, the Government has made progress in the area of education with the new system of student evaluation, the modernisation of afternoon and evening programs and the change of the work status of educators in these programmes, the completion of the installation of photovoltaic panels in 405 schools and the beginning of the implementation of the decision to install air conditioners in all schools, the extension of the All-Day School to the secondary and primary education, the start of the curricula updating process of all levels of education, the completion of a proposal and the submission of a bill on free compulsory education from the age of 4 and the Youth Culture Card.

As regards Health, he added, the Government has moved forward with the operation of First Aid units in private hospitals and the improvement of the First Aid Unit at the Nicosia General Hospital, the deployment of nurses in schools in remote areas, and the equipment subsidy and accreditation plans for Hospitals.

State and institutions modernisation a cornerstone for the Government

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Noting that the modernisation of the state, and particularly of institutions, is a cornerstone of the Government's policies, the President explained that in this context, continuous institutional reforms are a key component of the Government's programme. "We are working," he said, "methodically, for the successful implementation of the three flagship reforms concerning Local Government, Justice and the Civil Service."

He explained that in changes of this magnitude, challenges are expected and are largely unavoidable, assuring that where structural distortions are shown to exist, the Government, in cooperation with the social partners and the Parliament, will take corrective action.

He pointed out that in the context of the institutional modernisation of the state and the need to regain citizens' trust in the institutions, one of the important implemented reforms concerns the selection process of members of the Boards of Directors of Semi-Governmental Organisations, with the establishment and operation of the Advisory Council, which, he pointed out, is a very important step towards strengthening equality, which allows, at the same time, for the first time, hundreds of citizens to apply for board appointment.

In the same framework of institutional modernisation of the state, he continued, "we have for the first time regulated by law the recruitment and employment status of advisers and associates of the President and members of the Council of Ministers, while in order to ensure the effective implementation of the decisions taken by the Government, we have established the Secretariat for Coordination and Support of Government Work at the Presidency of the Republic."

At the same time, President Christodoulides made it clear that "our approach to corruption phenomena is clear and absolute", stressing that in addition to the practical zero tolerance to such phenomena that damage the reputation and credibility of our country, the Government has taken other important actions that demonstrate its undeniable political will. In this regard, he said, for example, the substantial support to the Independent Authority against Corruption, the establishment of a committee to follow up the recommendations of the GRECO Group, the creation of an Internal Audit Unit at the Presidential Office and the strengthening of the Ethics and Sports Protection Committee.

In his concluding remarks, the President stressed that the policies and actions that have been decided, implemented or launched, always through a people-centered approach, will be made public in greater detail so that citizens are fully informed, noting at the same time that within the framework of continuous accountability, Ministers and Deputy Ministers will present in press conferences the work they have completed.

Finally, he noted that he certainly does not claim that mistakes have not been avoided in these first twelve months, but he can confidently claim that the Government has laid the foundations towards achieving the goal of a better Cyprus that we all envision.

(Source: CNA/PIO)