The state will know who owes and to whom they owe with the new liability monitoring register that is scheduled to be created in the next period.
Already in the previous days, the Finance Committee of the Parliament has requested the release of credits amounting to €67.950 for the purchase of consulting services and legal services for the creation of a register to monitor the obligations of natural and legal persons to the public, banks and credit acquisition companies.
This Register concerns a commitment of the Republic of Cyprus within the context of the Recovery and Resilience Plan and the C3.5R5 reform, which aims to improve the authorities' ability to design and implement targeted policies for the prevention and management of the stock of private debt in Cyprus.
The Registry is the first step of the overall Action Plan
According to Economy Today, the overall Action Plan includes:
A. The design and development of the register of credit obligations to create credit scores for individuals and legal entities
B. The development of a credit rating system for natural and legal persons and
C. the connection of the system with other credit rating agencies
The 3 phases of project implementation
According to the proposed plan of the Ministry of Finance, the project will be implemented in 3 phases:
1st phase: Collection and analysis of obligations of persons to the public at central government level (e.g. income tax, social security, company registrar, road transport department, land registry, etc.)
2nd phase: Adding liabilities of persons to credit institutions and to credit acquisition companies (by extracting data from the Artemis database)
3rd phase: Addition of obligations of persons to local self-government authorities (e.g. municipalities, semi-governmental organizations).
Which company will undertake the preparation of the Action Plan?
The PD company will undertake the preparation of the relevant Action Plan with the cost amounting to €62.000, while as stated by the Ministry of Finance it is an in-house consultant company of the German public sector, with clients and shareholders exclusively the federal, state and community governments, but also public organizations and states, among them the Republic of Cyprus.
The rest of the money, in addition to the 62.000 euros that concern the total fund that the Ministry of Finance requests the written consent of the Finance Committee of the Parliament for its release, concerns legal services from consultants.
Specifically and as mentioned, it concerns services from Legal Advisors who undertake to resolve any legal issues that may arise or issues related to the GDPR, as well as for the preparation of the impact analysis for the purposes of the project's compliance with the general data protection regulation and the relevant relevant legislation.
