Cyprus parliamentary committee reviews financial commissioner and foreclosure legislation

The House finance committee in Cyprus is reviewing proposed legislative amendments regarding the financial commissioner's role and foreclosure procedures. Key changes include extending the appeal deadline from 21 to 30 days and increasing the resolution period from 15 to 30 days. Borrowers will receive a 60-day protection period from foreclosure to consult an insolvency adviser, and they may request commissioner intervention upon receiving a Type I notification letter. A contentious point remains whether the commissioner's decisions should be binding for banks, a proposal supported by Financial Commissioner Valentina Georgiades to balance power. The bill includes provisions allowing banks to sell loans if a debtor breaches a restructuring agreement. Grounds for appealing commissioner rulings by financial institutions have also been clarified. The legislation is scheduled for a plenary vote on April 6 and, if approved, will enter into force on June 1, 2026.