RCB Bank for the third consecutive year has won the prestigious “Safest Bank in Cyprus” award by the internationally renowned Global Finance magazine.

In its exclusive annual survey, which serves as a trusted standard of excellence for the global financial community, the New-York-based magazine ranks the most reliable financial institutions among the world’s largest banking players, as well as commercial, investment and regional banks.

Commenting on this important recognition, Dr. Kirill Zimarin, the CEO of RCB Bank, noted: “This assessment reflects the fact that the Bank, as well as the Cyprus banking system in general, proved resilience and ability to overcome challenges inevitable in any business and achieve profit despite of them”. “2018 has been a remarkable year, when global rating agencies have upgraded Cyprus’ sovereign ratings back to investment grade, thus underlining confidence in the country’s economy and its banking sector”, he added.

Winners in the Safest Bank by Country ranking were selected among the largest 1,000 banks globally by assets, based on their long-term ratings from the three major international rating agencies, Moody’s, Fitch and Standard & Poor’s.

The 27th edition of the ranking, which covers 106 countries, was published in the November edition of Global Finance and can be viewed at the magazine’s website.  Link 

Source: Gold News

A drill is in place on block 10 of Cyprus’ Exclusive Economic Zone (EEZ) on the spot where the drilling will take place, Energy Minister Yiorgos Lakkotrypis said on Monday, assuring that the Republic of Cyprus’ energy plans are on track.

Lakkotrypris, who briefed the parliamentary committee on Energy about the country’s energy plans and the ministry’s plans about renewable energy sources funding schemes also called on everyone to maintain a low profile on energy issues.

In statements after briefing the MPs, he said that the conversation focused on four pillars, the drilling in block 10, the drillings set to take place in block 7, developments on the exploitation of hydrocarbon reserves discovered in block 12 and the procedures which have been set in motion recently related to the infrastructure which needs to be in place in order to be able to receive natural gas for the island.  

“We had a very good discussion, as is often the case, we exchanged views and we have committed that we will continue to brief the committee whenever there are important developments, in the context of transparency, because cooperation with the committee has been at a very good level for some time now and we are very satisfied,” Lakkotrypis noted.

Replying to a question about the natural gas infrastructure procedure, he said a tender has been launched which is funded by the European Commission for about €100 million, via the Connecting Europe programme. He added that this is the first stage for natural gas to arrive in Cyprus.

Asked about the drilling in block 10 he said that the drill is already in place. He then called on everyone to stop or at least limit as much as possible their daily preoccupation and speculation with the specific matter.

As in previous drillings, Lakkotrypis pointed out, the Republic of Cyprus’ programme will go ahead as planned, without much fuss.

“What is important for us is for the drilling to go ahead without any problems, meaning its technical characteristics, and we hope for the best possible results,” he said.

ExxonMobil has been awarded, together with Qatar Petroleum the exploration licence in block 10 of Cyprus’ EEZ.

Navtex 376/18 issued by Cyprus on Saturday morning, at 06.00 hours local time (04.00 hours GMT), informs mariners about the drilling operations of Stena IceMax at the “Delphini” target. Drilling operations were expected to commence on November 15.

The Navtex is valid until February 25, 2019. A safety zone of 500 meters is established around Stena IceMax and entering this area is prohibited for any reason.

Source: Stockwatch

Limassol Del Mar is a fully licensed, pioneering and luxurious project, which constitutes a developmental milestone of high standards, not only for Cyprus but also worldwide.

The construction works continue in full swing, following the schedule closely and uninterruptedly throughout the day and night. An impressive online timelapse video records the great construction progress, since the project has already reached the phase of the formation of the towers.

Worth mentioning is also the fact that the overall investment of the project results from the income already received by current sales, which ensures its completion. Based on the construction plan, the delivery time frame becomes a luring advantage for buyers and a record for the Cypriot market. 

Currently, hundreds of people work around the clock at the project’s construction site; a number that constantly increases. It is estimated that the number of staff, suppliers and collaborators for the project will exceed the 1000 people. This is a positive fact for the local economy of Limassol and Cyprus, extendedly.

Regarding the sales progress, Eleftheria Voskaridou, Marketing Manager of Limassol Del Mar, mentioned: “We are happy to announce that Phase I is sold out – all apartments of Towers A & B have already been sold. The success continues with the sales of the apartments of the ‘Signature Collection’ tower, which have already exceeded our expectations. The project was chosen by buyers from 15 different nationalities around the world including Cyprus.”

The multi-award winning Limassol Del Mar is a world-class development, in the ultra-desirable coastal Limassol, with an unobstructed sea view from all the apartments. This landmark development consists of luxury residences, five star facilities and services as well as high-end shops and restaurants. 

Building permits authorized by the municipal authorities and the district administration offices increase by 342 during the period January – August 2018, according to data released by the Statistical Service of Cyprus.

During the period January – August 2018, 4,114 building permits were issued compared to 3,772 in the corresponding period of the previous year. The total value of these permits increased by 46.8% and the total area by 30.3%. Τhe number of dwelling units recorded an increase of 28.6%.

The number of building permits authorized during August 2018 stood at 415. The total value of these permits reached €349.7 million and the total area 148 thousand square metres. These building permits provide for the construction of 453 dwelling units.

Source: Gold News

The European Commission forecasts the maintaining the dynamics of robust economic activity in Cyprus, with growth rates reaching 3.9% in 2018, 3.5% in 2019 and 2.9% in 2020, in its autumn economic forecasts that it made public in Brussels today.

According to the forecast package presented by Commissioner Pierre Moscovici, in Cyprus public debt is declining from 105% in 2018 to 98.4% in 2019 and 91% in 2020, while the budget will have a surplus of + 2.8% , + 3% and + 2.9% for the current and the next two years and inflation will reach 0.8%, 1.3% and 1.4%, respectively.
 
At the same time, the Commission predicts a sharp decline in unemployment from 8.2% in 2018 to 6.3% in 2019 and 4.8% in 2020.

The Commission, though, warns, that "risks to the fiscal outlook are tilted to the downside, linked to the uncertainties on the potential 2018 deficit-increasing impact and contingent liabilities from the banking sector, the possible introduction of new taxation reforms in 2019 and the potential additional costs of the national health system reform".

In any case it states that "public debt is expected to register an upward level- shift by around 9 pps. of GDP in 2018 to 105.0%, due to banking support measures related to the CCB". However, "public debt is projected to steadily decline thereafter, reflecting the projected primary surplus and strong real GDP growth".

More specifically, according to the EC "economic activity is forecast to remain strong, driven by domestic demand, unemployment is expected to continue its rapid decline, while headline inflation is projected to pick up only moderately.."

"Robust economic growth is expected to support sustained budget surpluses and a decline in public debt from 2019 onwards, although the banking support measures in 2018 shifted public debt upwards and are likely to have deficit-increasing effects", says the Commission.

Economic growth in Cyprus remained strong in the first half of 2018, backed by solid private consumption, investment and exports, with real GDP growing by 4%. The recent revisions to GDP data paint a more pronounced V-shaped picture of Cyprus’ economic recovery since the crisis. For 2016, real GDP has been revised up by 1.4 pps., to 4.8%; and for 2017 by 0.3 pps. up to 4.2%. Going forward, growth is expected to remain fairly strong and above potential, albeit decelerating from 3.9% in 2018 to 2.9% in 2020.

According to the forecast, "growth is expected to become more domestic demand-driven. Private consumption accelerated in the first half of the year and is expected to remain fairly strong, as unemployment keeps rapidly declining, wages gradually increase and inflation remains low, further supporting real incomes. "Private investment is set to remain buoyant, reflecting the upbeat business sentiment and the many large scale projects already in the construction phase. Public consumption and investment are also in the recovery mode", reads the report.

Exports are expected to continue performing strongly in 2018, due to the sizable ship de- registration in the first quarter of the year (which statistically had the effect of increasing goods exports), but to weaken thereafter, reads the forecast.

Meanwhile "the underlying gradual softening stems from the tourism sector, which has been a driving force behind service sector exports in recent years. It is now confronted with increasing competition from neighbouring countries, where safety concerns are abating, and the lower purchasing power of some tourists (predominantly British and Russian) as a result of currency depreciations. Meanwhile imports, due to their significant content in final demand, are projected to outweigh exports, thus leading to an overall negative contribution of net exports to real GDP growth, and to a further widening of the current account deficit", says the Commission.

According to the Commission, positive labour market dynamics, with a rapid employment expansion since 2016, have continued, bringing the unemployment rate down to 8.1% by mid-2018, the lowest level in eight years. The strong expansion of the economy, and in particular the construction sector, provided employment opportunities also for the most vulnerable groups – young and long-term unemployed – reducing their unemployment rates to 19% and 2.5%, respectively. Employment expectations in key sectors are positive, signalling a bright outlook in the short term. Wage growth has remained contained, but recent increases in public wages and diminishing slack in the economy are expected to encourage wage rises in the private sector as well.

Headline annual HICP inflation is forecast to remain low, at 0.8% in 2018. During the first three quarters of the year, non-energy industrial goods experienced a period of declining prices amid increasing competition, while higher oil prices were transmitted into energy prices with a lag. Going forward, inflation is expected to pick up moderately as the tighter labour market translates into higher wages.

The budget balance is set to remain in surplus, excluding the impact of the banking support measures in 2018, yet to be determined
The government’s fiscal performance remains remarkably strong, with the primary surplus being among the highest in the euro area.

The budget surplus is expected to increase and remain high over the forecast horizon, although the projection for 2018 does not yet include the potential deficit-increasing impact of banking support measures related to the Cyprus Cooperative Bank (CCB), which is subject to a decision by the statistical authorities.

The general government surplus is forecast to improve to 2.8% of GDP in 2018. Buoyant tax revenue growth underpinned by strong underlying economic growth will outpace government expenditure growth. In particular, taxes on products are projected to benefit from strong consumption, while income taxes and social contributions are expected to be supported by improving labour market conditions. Expenditure is projected to increase somewhat at a slower pace than revenues, mainly due to public sector pay rises and social transfers.

Finally the Commission reports that in 2019, the headline surplus is forecast to slightly increase to 3.0% of GDP, mainly due to a rise in social security contributions and despite the public wage growth and the introduction of the Estia scheme (i.e. State support for loan repayment of eligible borrowers with NPLs backed by primary residences). In 2020, under a no-policy change scenario, the headline surplus is projected to somewhat decline in line with the projected growth moderation. The structural surplus is forecast to increase to 1.7% of GDP in 2018 and to narrow in 2019 and 2020 as the positive output gap widens.

Source: Stockwatch

Cyprus is expected to reach 4 million tourists in 2018, with the Minister of Tourism Yiorgos Lakkotrypis speaking of “another exceptional record year.”
 
He was speaking at the annual World Travel Market, held in London’s ExCel exhibition centre, which opened its gates to tourism professional from around the world.
 
Cyprus is represented at the three-day long event by tens of co-exhibitors under the umbrella of the Cyprus Tourism Organisation (CTO), headed by the Minister.
 
On the first day of his official engagements, Lakkotrypis held a meeting with the Greek Minister for Tourism Elena Kountoura and then he greeted the exhibitors that have travelled from Cyprus.
 
He then had the first series of meetings with airlines and big tour operators to discuss with them the future of their cooperation.
 
On Monday evening Lakkotrypis will be addressing the annual reception organised by the Ministry, CTO and the High Commission in London.
 
More meetings with airlines and tour operators are scheduled for Tuesday, before the Minister rounds up his presence at the exhibition with a press conference.
 
Speaking to the Cyprus News Agency, Lakkotrypis stressed the importance of the World Travel Market: “We all know the importance of tourist arrivals from the UK. They hold even more importance this year, in the light of the ongoing talks on Brexit and what will happen after March 2019.”
 
He added that he is holding a series of meetings with tour operators and airlines in order to listen to their views about 2019 onwards. “We also want to listen to any risks they might see and what we can all do together to alleviate any negative effect that Brexit might have on arrivals to our country from the UK,” said the Minister.
 
Asked to comment of this year’s performance in tourism and the outlook for 2019, he said: “2018 is shaping up to be another exceptional record year, during which we will touch the number of 4 million tourists, a number that a few years ago seemed like science fiction. It is even more important because 2018 was a year that all our competitors functioned at the highest possible degree, and that proves that Cyprus can stand competitively against these countries. It is also significant that as from January 2, 2019 the Deputy Ministry of Tourism will begin its operation, having in its focus the application of the 2030 tourism strategy, which will help us proceed with qualitative upgrades of our touristic product.”
 
The Chairman of CTO Angelos Loizou noted that Cyprus’s exhibiting spaces in this year’s World Travel Market have been revamped, and that there has been a great interest in the country. “There is interest by foreign journalists who want to learn about Cyprus, about our goals, our strategy, the sustainable growth that we are promoting,” Loizou told the Cyprus News Agency.
 
Corroborating his words is the fact that Lakkotrypis talked about tourism to Cyprus in interviews with Reuters and CNBC.
 
Loizou also admitted that Brexit is a cause of some concern: “We cannot make plans as we don’t currently know how Brexit will be delivered, whether it will be a hard or a soft Brexit. Whatever the case, however, in our discussions with tour operators and airlines we have said that we will cover any possible problems altogether.”

Source: Stockwatch 

For some, their goal in life is to live in a mansion by the sea. It sounds rather ideal amidst the daily grind of life. Morning walks on the sand, the sound of the waves while you eat lunch, that sunset glow over the water in the evening. Who wouldn’t take that kind of life if they could? If you’re more into historical houses than contemporary, it’s inevitable that you will find Mediterranean style homes as you search for that perfect beach mansion. They are among the oldest architectural style in those communities so you can count on some beautiful elements. Here’s what you need to know about Mediterranean style homes.

Mediterranean style homes emerged in the U.S. in the 1920’s and 30’s. Old movies featured sprawling Mediterranean sets and magazines depicted movie stars lazing in the sun at their Mediterranean mansions. Being viewed as the style of the rich and famous really made the Mediterranean homes go up like hotcakes. They were extremely popular in America up until the Great Depression when all home building was scarce.

Maybe you’re thinking “Wait a sec, isn’t that a Spanish style house?” In a sense, you’d be right. The architecture of Mediterranean homes leans on Italian, Greek and Spanish influences. Spanish style homes along with Italian Renaissance, Mission Revival and other styles can all be considered Mediterranean since they all share some style elements.

Since most Mediterranean houses are built with stucco, they are most common in warm states where building them is easy. So the exterior is usually white or brown depending on the color of the stucco. Also, as a rule, they’ll sport those red roof tiles we love so well. Oh and we’re not done. To top it off, Mediterranean houses have an arched doorway with even an arched window or two.

And we’re not done yet! To make them even more unique, Mediterranean houses often have ornamental elements like heavy doors, bright tile or wrought iron too. When the majority of the facade is neutral shades with that pottery red roof, these elements are what make a house into a home.

          When your Mediterranean house is big enough, it’s only natural that you would want private spaces outdoors as well as the house’s interior. Some homes have a courtyard in place of a front yard. With the wrought iron gate and lush greenery behind it, you can just envision Carey Grant strolling through it with the morning paper.

In areas that are dry and crusty most of the year, putting a fountain in your Mediterranean courtyard can provide that life you’re looking for. Not only will it become the centerpiece of your outdoor area, the trickling water will create a nice background sound for morning coffee and cocktail parties.

It’s not uncommon for the old Mediterranean mansions to have gardens attached. If you’re lucky enough to live in one of those, you need to be sure that your indoor living space flows seamlessly into the outdoor beauty. A backyard terrace of stones or stucco can make an inviting scene that will make you want to spend as much time outdoors as possible.

While your home might look like it’s straight out of an old movie, there are certain modern amenities that can throw off your look. Like a garage door. Rather than going basic, try to make your garage look like an old carriage house. It will fit with the rest of your home’s facade and still provide the needed space for your wheels.

Garage doors aren’t the only things to be switched out for more modern choices. Large paned windows might be more common on industrial homes but you’ll find that they fit right in with the Mediterranean style. Most likely because it matches those wrought iron accents.{found on buildallen}.

If you’re in the process of restoring an old Mediterranean home, you’re likely thinking about how you can keep the historic charm while bringing it up to date. Is it possible? Yes. With new windows and some modern exterior lights, your home will seem like a completely new place from the outside but you’ll still see the old beauty of what she once was.

Source: Homedit

With a name like Sawmill, you’d expect this to be a conversion project but, surprisingly, this is a newly-built home and the name is actually a metaphor. The house was designed and built by the architects at Olson Kundig in 2014. It serves as a cozy family retreat, being beautifully embedded into the landscape. The site on which it stands has been the subject of exploitation in the past so its current owners wanted now to give back to the land.

The Sawmill house has a sustainable design and is completely off-the-grid. It’s one of the most charming Olson Kundig projects because it tells a beautiful story and sends a powerful message. The architects managed to minimize the disturbance to the environment while at the same time maximizing the connection between the house and the nature which surrounds it. It’s organized into three wings connected at the center where they form a common living area. A large glass wall can be opened up by turning a wheel which is a really cool feature.

SOURCE: HOMEDIT

After tackling non-performing loans, the volume of which he believes will go down very fast in the next year, unions are “the only stone not upturned”, Hellenic Bank CEO Yiannis Matsis told the 14th Economist Conference in Nicosia on Friday.

He predicted the unions will be the next matter to be tackled. Matsis said banks should focus on being meritocratic organisations, should have transparent policies, flexibility and digitisation. Together with the unions we will have to resolve the matter, he added.

After the crisis of 2013, he said all stakeholders got together to try and get out of the crisis, adding that the effort “has been a huge success.”

The banking supervision which was dreadful and corporate governance have improved and keep on improving Matsis said giving the example that now 52% of members of banking boards of directors have international experience as opposed to 5% previously.

He also said that the Hellenic Bank closed 50,000 high risk accounts in the last year and that the banking sector has deleveraged greatly to 280% of GDP down from 640% of GDP.

In the last two months the banking sector has seen 9 billion NPLs move away from the banking sector he said. The banking sector now has €11 billion in NPLs and “I predict it will go down very fast in the next year,” he added.

Referring in particular to the purchase by Hellenic Bank of the good part of the Cyprus Cooperative sector he said that the bank’s portfolio increased from €7 to €17 billion, up by 2.5 times making the Hellenic Bank the first retail bank of the island and that achieved €130 million of cost synergies, annually. The bank, he added, also reduced its NPLs down to 25% from 50%.

Others were not so optimistic about NPLs. Isfaddyar Zamman Khan, a World Bank financial sector specialist said Cyprus’ NPL rate is still very high and described the problem as a “perpetual disease”.

Henry MacNevin, associate managing director of Moody’s investor service pointed out that despite progress, Cyprus continues to register “a high burden of NPLs.”

“This remains a very high level. They are improving but still a lot needs to be done. We expect this improvement to continue,” he said, pointing out that this is reflected to the agency’s positive outlook of the banking system.

MacNevin pointed out the ESTIA scheme, a programme utilising government subsidy to non-performing home-owners “risks creating moral hazard”.

He added, the banking system is expected to return to profit in 2018.

“The system is moving in the right direction, NPL remain at high levels and process will remain a long one. Bank and all stake holders will need to maintain focus on the problem,” he concluded.

Source: CyprusMail

The debt owed by households and businesses recorded a small drop on a quarter-to quarter basis in the second quarter of this year, data released by the Central Bank of Cyprus show.

According to a summary of the data published by the Central Bank the financial assets of households were at the end of June 2018 €45.5 billion, 64% of which was cash and deposits, 2% securities, 20% shares and 14% other financial assets.

Households` debt stood at the of last June at €20.2 billion, or 100.2% of GDP, recording a small drop in relation to the previous quarter, the Central Bank says.

The drop is more significant close to 19% when compared to December 2016 when the debt of households was equivalent to 119% of GDP.

At the same time, non financial companies` assets reached €58.8 billion, 16% of which accounts for cash and deposits, 7% loans, 1% securities, 49% shares and 27% of which concerns other financial assets.

The debt of non financial companies stood at the end of June 2018 at €39.5 billion or 196.4% of GDP, also recording a small drop in relation to the previous quarter. 

Compared to December 2016, when the debt was at 219% of GDP, the drop is greater and reaches 23%, the Central Bank says.

According to the data insurance companies financial assets were recorded at the end of June at €3.9 billion, 12% of which in cash and deposits, 2% in loans, 25% in securities, 41% in shares and 20% in other financial assets. 

Investment companies` assets were at the end of June €4.0 billion, 3% was invested in cash and deposits, 8%  in loans and securities, 85% in shares and 4% in other financial assets.

Retirement funds investments were €3.6 billion of which 38% was invested in cash and deposits, 16% in loans, 2% in securities, 35%  in shares and 9% in other financial assets.

Source: Stockwatch