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Regarding the enforcement of restrictive measures on transactions in case of emergency act 2013

 

Order under Articles 4 and 5

Under Articles 4 and 5 of the Act, and upon the recommendation of the Director and with the consent of the Director, the following restrictions are imposed:

 

(a) The maximum amount of cash withdrawn will not exceed € 300 per day per person in each credit institution, or its equivalent in foreign currency. All cash withdrawals (i.e. withdrawals via debit or prepaid card, cash withdrawals from the cashier of credit institutions and withdrawals via credit card against the balance of current / savings accounts), are in total per person for the total accounts available from each institution:

Provided that any amount of the maximum daily cash withdrawal that is permitted, which is not withdrawn by the beneficiary on the day which this maximum amount of withdrawal is applicable, may be withdrawn at any time in the future.

(b) The cashing of cheques is prohibited.

(c)  Any non-cash payment or transfer of funds outside the Republic of Cyprus or towards an account that is maintained at another financial institution is prohibited, other than

(i) payment for a transaction which comes from the usual business activity of the customer with presentation of supporting documents as follows:

(1) payments up to €5,000 per day per account is not subject to restrictions;

(2) payments from €5,001 to €200,000 are subject to the approval of the Commission. A list of the applications for payments  that fall under this category will be submitted to the Commission from the relevant credit institution on a daily basis and will report the amount of each payment, the total amount along with the amount of payments that fall under this category. The decision of the Commission, which will be taken within 24 hours, will take into account the liquid reserves of the credit institution.

(3) Payments greater than €200,000, provided the approval of the Commission is previously ensured for the specific payment, subsequent to the application made by the relevant credit institution;

(ii) Payment of salaries of employees, with the presentation of the supporting documentation;

(iii) Maintenance expenses up to €5,000 per three months and tuition fees for persons studying abroad and are first degree relatives of the person who is resident in the Republic of Cyprus:

Meant that payments for maintenance expenses are allowed only when sufficient supporting documentation is submitted to the credit institution to substantiate that the recipient of non-cash payments and money transfers is studying abroad and is first degree relative of the person who is ordinarily resident in the Republic of Cyprus;

Further meant that payments for tuition fees are made only to the beneficiary educational institution, as long as the supporting documentation is submitted.

(iv) Payments and transfers of funds via debit or credit or prepaid card, up to €5,000 per month per person per credit institution.

(d) The termination of a fixed deposit before the specified expiry date is prohibited unless the product will be used to repay a loan within the same institution;

(e) During the first expiry date, the greater amount between €5,000 or 10% of the total capital of the fixed deposit, will be transferred, with the choice of the depositor, in current /savings account or new fixed deposit of the depositor with the same credit institution. For the remaining amount, the expiration date of the fixed deposit is extended by one month.

(f) The amounts that are transferred from a fixed deposit to a current/savings account, is subject to the restrictions that are applied to the current/savings accounts.

(g) The transfer of banknotes in Euro or/and foreign currency exceeding the amount of €1,000 or the equivalent in foreign currency per person per trip abroad is prohibited. The Director of Customs shall implement this measure.

(h) Financial transaction, payment and/or transfer, which is not completed before the commencement of this Ordinance, is subject to the provisions of this Order of Restrictive Measures:

Meant that a financial transaction, payment or transfer, that has not been processed by the credit institution before the commencement of this Order, will be cancelled and will have to be submitted again.

(i) Credit institutions are prohibited from performing any non-cash payments or money transfers that aim to circumventing the restrictive measures;

(j) The restrictive measures apply to all accounts, payments and transfers, regardless of the currency.

Exceptions from the restrictive measures:

  1. (a) All funds transferred from abroad to the Republic of Cyprus;
  2. (b) Withdrawal of cash  from an account that is abroad through credit or debit or prepaid card that has been issued by a foreign institution
  3. (c) The cashing of cheques that have been issued by an account from a foreign institution abroad
  4. (d) The withdrawal of cash from an account with an institution from the Central Bank
  5. (e) The Republic of Cyprus
  6. (f) The Central Bank
  7. (g) Diplomatic missions,
  8. (h) payments authorized by the Commission

This Order is valid for a period of seven days, which will commence on the 
Present  date of publication in the Official Gazette of the Republic.