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Rise of the Cyprus property market

The Cyprus starts standing on its feet

Cyprus could benefit from strong bank stress test results and positive economic signs to pull off an Irish-style bailout exit and make a full return to the bond market.

The only way out of the bailout is implementing the fiscal adjustment program, like the Irish did.The bailout exit will come when market access is fully restored. "We have confidence and the real estate market will soon rise. The rise of Cyprus is expected," the President said.

Gas is the Key... Cyprus, Greece and Israel are pushing for a subsea gas pipeline connecting them with Europe in the framework of a new call by the European Commission for Projects of Common Interest (PCIs). Yiorgos Lakkotrypis, Minister of Energy. Commerce, Industry & Tourism, has already discussed the issue with Maros Sefcovic, the European Commissioner for Energy. At this stage, the three countries are requesting EU funding for a feasibility study from the Connecting Europe Facility, which has an allocated budget of €5.85 billion.
Essentially, the proposal envisions pooling proven Israeli and Cypriot gas finds as an alternative source of natural gas for Europe.

A year and a half after becoming the fifth and last euro-area nation to enter an international bailout and after a forced loss on bank bondholders and deposits of more than 100,000 euros, Cyprus is seeking to bolster market confidence after risks of an early Greek bailout exit triggered a sell-off in bonds and stocks earlier this month.

The country is ready to issue a new bond once market conditions allow. Government plans to move forward with the next step of the market return soon. The continuation of reforms and fiscal consolidation along with improved debt projections are possibly the most important development for Cyprus to be able to achieve a better interest rate on bond markets.

The a hydrocarbon and gas reserves found in the exclusive economic zone of Cyprus, will boost not only the local market but also across Europe and is the ideal time for a solution to the Cyprus problem.

The property had suffered terrible cuts and sales were frozen shortly before. However, now confidence is restored and the real estate market will start rising. The Cyprus proved that it can and will recover soon.



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