Cyprus House of Representatives approves the 2026 budget for the Housing Finance Corporation

The House of Representatives of Cyprus approved the 2026 budget for the Housing Finance Corporation (HFC) with 34 votes in favor. The budget outlines expenditures of €23.3 million against projected revenues of €18.9 million, resulting in an expected deficit. Projections indicate a loss of approximately €17.9 million for 2026, which represents a decrease compared to the previous year. The organization anticipates returning to profitability by 2027, driven by a reduction in non-performing loans. The capital adequacy ratio currently stands at 26.3%. During the parliamentary session, deputies noted the organization's improved operational path and recognized recent efforts in loan restructuring and technological upgrades. Christiana Erotokritou, head of the Finance Committee, stated that the organization has been in a recovery phase since 2023. Alekos Tryfonides of DIPA mentioned historical government interventions, including the repayment of state loans, which helped the HFC reach its current financial position.