Proposal for a COUNCIL IMPLEMENTING DECISION amending Implementing Decision (EU) 2020/1344 granting temporary support under Regulation (EU) 2020/672 to the Republic of Cyprus to mitigate unemployment risks in the emergency following the COVID-19 outbreak
Date: 2022-09-28
Institutions: Directorate-General for Economic and Financial Affairs, European Commission
Subjects: Cyprus, EU loan, aid to undertakings, coronavirus disease, emergency aid, employment aid, epidemic, fight against unemployment, public expenditure, self-employed person

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   EUROPEAN COMMISSION  Brussels, 28.9.2022  COM(2022) 507 final 2022/0308 (NLE)  Proposal for a COUNCIL IMPLEMENTING DECISION amending Implementing Decision (EU) 2020/1344 granting temporary support under Regulation (EU) 2020/672 to the Republic of Cyprus to mitigate unemployment risks in the emergency following the COVID-19 outbreak  
 
EXPLANATORY MEMORANDUM 

1. 

• 

CONTEXT OF THE PROPOSAL 

Reasons for and objectives of the proposal 

Council Regulation (EU) 2020/672 (“SURE Regulation”) lays down the legal framework for 
providing  Union  financial  assistance  to  Member  States,  which  are  experiencing,  or  are 
seriously threatened with, a severe economic disturbance caused by the COVID-19 outbreak. 
Support  under  SURE  serves  for  the  financing,  primarily,  of  short-time  work  schemes  or 
similar measures aimed at protecting employees and the self‐employed and thus reducing the 
incidence of unemployment and loss of income, as well as for the financing, as an ancillary, 
of some health-related measures, in particular in the workplace. 

On  6  August  2020,  Cyprus    requested  financial  assistance  from  the  Union  and  on  25 
September  2020,  with  its  Implementing  Decision  (EU)  2020/1344,  the  Council  granted 
financial assistance to Cyprus with a view to complementing its national efforts to address the 
impact  of  the  COVID-19  outbreak  and  respond  to  the  socioeconomic  consequences  of  the 
outbreak for workers and the self-employed. 

On  10  March  2021,  Cyprus  requested  again  Union  financial  assistance  under  the  SURE 
Regulation. Further to this request, the Council Implementing Decision (EU) 2020/1344 was 
amended by Council implementing decision (EU) 2021/680 of 23 April 2021.  

On  5  September  2022,  Cyprus  requested  Union  financial  assistance  under  the  SURE 
Regulation for the third time.   

In accordance with Article 6(2) of the SURE Regulation, the Commission has consulted the 
Cypriot authorities to verify the sudden and severe increase in actual and planned expenditure 
directly  related  to  Cyprus’  labour  market  measures  caused  by  the  COVID-19  pandemic.  In 
particular,  this  pertains  to  existing  measures  referred  to  in  Council  Implementing  Decision 
(EU) 2020/1344: 

(a) 

(b) 

(c)  

the  scheme  supporting  companies  for  partial  suspension  of  operations,  which 
provides wage compensation to the employees of businesses experiencing a decline 
in  turnover  due  to  the  pandemic,  conditional  on  employment  retention.  The 
compensation covers 60% of the employee's salary or 60% of the employee's social 
insurance  units  earned  in  2018,  whichever  is  the  greater.  The  compensation  ranges 
between  a  maximum  of  EUR  1  214  and  a  minimum  of  EUR  360  per  month.  The 
measure,  initially  in  force  for  the  period  March  2020  to  June  2020,  was  extended 
from January 2021 to August 2021;  

the ‘special scheme for hotel units and tourist accommodation’, which provides wage 
compensation  to  support  employees  in  the  hotel  industry  and  other  businesses 
providing tourist accommodation whose employer has fully suspended its operations 
or experienced a decline in turnover of more than 40%. Participation in the scheme is 
conditional  on  employment  retention.  The  measure,  initially  in  force  for  the  period 
June 2020 to October 2020, was extended from November 2020 to October 2021;  

the ‘special scheme to support businesses related to the tourism industry or affected 
by  tourism  or  associated  with  businesses  that  are  subject  to  mandatory  total 
suspension’,  which  provides  wage  compensation  to  the  employees  in  those 
businesses  that  have  fully  suspended  their  operations  or  experienced  a  decline  in 
turnover of more than 40%, as opposed to 55% in the original scheme, conditional on 

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(d) 

(e) 

(f)  

employment  retention.  The  measure,  initially  in  force  for  the  period  June  2020  to 
August 2020, was extended and amended from September 2020 to October 2021;  

The  ‘special  scheme  for  supporting  businesses  exercising  special  predefined 
activities’  provides  wage  compensation  to  the  employees  or  the  business  facing  a 
decline of at least 55% of their turnover, conditional on employment retention. The 
measure,  initially  in  force  for  the  period  June  2020  to  August  2020,  was  extended 
from  September  2020  to  December  2020  and  was  extended  again  from  December 
2020 to October 2021; 

the subsidisation scheme for very small and small enterprises and self-employed who 
employ up to 50 employees, which provides a lump sum grant to support operating 
expenses  of  small  businesses  and  the  self-employed.  Only  the  part  of  expenditure 
related  to  the  support  of  the  self-employed  and  one-person  companies  has  been 
requested.  The  amounts  of  the  lump-sump  grants  have  been  reviewed  for  various 
categories of businesses based on the number of employees. In addition, grants have 
been agreed for businesses, which suspended their operations since March 2020 with 
an amount of EUR 10 000 for up to 9 employees and EUR 15 000 for more than 9 
employees.  The  measure,  initially  in  force  for  the  period  April  2020  to  May  2020, 
was extended and amended for November 2020. The scheme was extended again in 
March  2021  and  April  2021,  and  covered  businesses  of  any  number  of  employees 
that had to  totally  suspend their operations according to  Decrees of the  Minister of 
Health. 

the  ‘sickness  benefit  scheme’,  which  provides  wage  compensation  to  employees  of 
the private sector and self-employed, on the condition that they are either classified 
as  vulnerable  individuals  according  to  a  list  published  by  the  Ministry  of  Health, 
placed  in  quarantine  by  the  Authorities,  or  infected  by  Covid-19.  The  measure, 
initially  in  force  for  the  period  March  2020  to  June  2020,  was  extended  from 
November 2020 to June 2021; 

Cyprus provided the Commission with the relevant information.  

Taking into account the available evidence, the Commission proposes to the Council to adopt 
an Implementing Decision to grant financial assistance to Cyprus under the SURE Regulation 
in support of the measures above.  

• 

Consistency with existing policy provisions in the policy area 

The present proposal is fully consistent with Council Regulation (EU) 2020/672, under which 
the proposal is made. 

The present proposal comes in addition to another Union law instrument to provide support to 
Member States in case of emergencies, namely Council Regulation (EC) No 2012/2002 of 11 
November 2002 establishing the European Union Solidarity Fund (EUSF) (“Regulation (EC) 
No 2012/2002”). Regulation (EU) 2020/461 of the European Parliament and of the Council, 
which amends that  instrument to  extend its  scope to  cover major public  health emergencies 
and to define specific operations eligible for financing, was adopted on 30 March 2020.   

• 

Consistency with other Union policies 

The proposal is part of a range of measures developed in response to the current COVID-19 
pandemic  such  as  the  “Coronavirus  Response  Investment  Initiative”,  and  it  complements 
other  instruments  that  support  employment  such  as  the  European  Social  Fund  and  the 
European Fund for Strategic Investments (EFSI)/InvestEU. By making use of borrowing and 

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lending in this particular case of the COVID-19 outbreak for supporting Member States, this 
proposal  acts  as  a  second  line  of  defence  to  finance  short-time  work  schemes  and  similar 
measures,  helping  protect  jobs  and  thus  employees  and  self-employed  against  the  risk  of 
unemployment.  

2. 

• 

LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY 

Legal basis 

The legal basis for this instrument is Council Regulation (EU) 2020/672.   

• 

Subsidiarity (for non-exclusive competence)  

The  proposal  follows  a  Member  State  request  and  shows  European  solidarity  by  providing 
Union financial assistance in the form of temporary loans to a Member State affected by the 
COVID-19  outbreak.  As  a  second  line  of  defence,  such  financial  assistance  supports  the 
government’s increased public expenditure on a temporary basis in respect of short-time work 
schemes  and  similar  measures  to  help  them  protect  jobs  and  thus  employees  and  self-
employed against the risk of unemployment and loss of income. 

Such  support  will  help  the  population  affected  and  helps  to  mitigate  the  direct  societal  and 
economic impact caused by the present COVID-19 crisis.  

• 

Proportionality 

The proposal respects the proportionality principle. It does not go beyond what is necessary to 
achieve the objectives sought by the instrument.  

3. 

• 

RESULTS 
CONSULTATIONS AND IMPACT ASSESSMENTS 

EX-POST 

EVALUATIONS, 

OF 

STAKEHOLDER 

Stakeholder consultations 

Due to the urgency to prepare the proposal so that it can be adopted in a timely manner by the 
Council, a stakeholder consultation could not be carried out. 

• 

Impact assessment 

Due to the urgent nature of the proposal, no impact assessment was carried out. 

4. 

BUDGETARY IMPLICATIONS 

The  Commission  should  be  able  to  contract  borrowings  on  the  financial  markets  with  the 
purpose  of  on-lending  them  to  the  Member  State  requesting  financial  assistance  under  the 
SURE instrument.  

In  addition  to  the  provision  of  Member  State  guarantees,  other  safeguards  are  built  into  the 
framework in order to ensure the financial solidity of the scheme: 

 

 

A rigorous and conservative approach to financial management; 

A  construction  of  the  portfolio  of  loans  that  limits  concentration  risk,  annual 
exposure and excessive exposure to individual Member States whilst ensuring 
sufficient resources could be granted to Member States most in need; and 

 

Possibilities to roll over debt. 

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2022/0308 (NLE) 

Proposal for a 

COUNCIL IMPLEMENTING DECISION 

amending Implementing Decision (EU) 2020/1344 granting temporary support under 
Regulation (EU) 2020/672 to the Republic of Cyprus to mitigate unemployment risks in 
the emergency following the COVID-19 outbreak 

THE COUNCIL OF THE EUROPEAN UNION, 

Having regard to the Treaty on the Functioning of the European Union, 

Having regard to Council Regulation (EU) 2020/672 of 19 May 2020 on the establishment of 
a  European  instrument  for  temporary  support  to  mitigate  unemployment  risks  in  an 
emergency (SURE) following the COVID-19 outbreak1, and in particular Article 6(1) thereof, 

Having regard to the proposal from the European Commission, 

Whereas: 

(1) 

(2) 

(3) 

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Further  to  a  request  from  Cyprus  on  6  August  2020,  the  Council,  by  means  of 
Implementing Decision (EU) 2020/13442, granted financial assistance to Cyprus in the 
form  of  a  loan  amounting  to  a  maximum  of  EUR  479 070 000  with  a  maximum 
average  maturity  of  15  years,  and  with  an  availability  period  of  18  months,  with  a 
view to complementing Cyprus’ national efforts to address the impact of the COVID-
19  outbreak  and  respond  to  the  socioeconomic  consequences  of  that  outbreak  for 
workers and the self-employed.  

The  loan  was  to  be  used  by  the  Cyprus  to  finance  the  short-time  work  schemes  and 
similar  measures  as  referred  to  in  Article  3  of  Implementing  Decision  (EU) 
2020/1344.  

Further to a second request from Cyprus on 10 March 2021, the Council, by means of 
Implementing  Decision  (EU)  2021/6803  amending  Implementing  Decision  (EU) 
2020/1344, granted additional financial assistance of EUR 124 700 000 to  Cyprus by 
increasing the maximum loan amount to EUR 603 770 000 with a maximum average 
maturity  of  15  years,  and  with  an  availability  period  of  18  months,  with  a  view  to 
complementing  Cyprus’  national  efforts  to  address  the  impact  of  the  COVID-19 
outbreak and respond to the socioeconomic consequences of that outbreak for workers 
and the self-employed. 

OJ L 159, 20.5.2020, p. 1. 
Council Implementing Decision (EU) 2020/1344 of 25 September 2020 on granting temporary support 
under  Regulation  (EU)  2020/672  to  the  Republic  of  Cyprus  to  mitigate  unemployment  risks  in  the 
emergency following the COVID-19 outbreak, OJ L 314, 29.9.2020, p. 13. 
Council  Implementing  Decision  (EU)  2021/680  of  23  April  2021  amending  Implementing  Decision 
(EU) 2020/1344 granting temporary support under Regulation (EU) 2020/672 to the Republic of Cyprus  
to  mitigate  unemployment  risks  in  the  emergency  following  the  COVID-19  outbreak,  OJ  L  144, 
27.4.2021, p. 19. 

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(4) 

(5) 

(6) 

(7) 

(8) 

The additional loan was to be used by Cyprus to finance the short-time work schemes 
and  similar  measures  as  referred  to  in  Article  3  of  Implementing  Decision  (EU) 
2021/680 amending Implementing Decision (EU) 2020/1344. 

The COVID-19 outbreak continues to immobilise a substantial part of the labour force 
in Cyprus. This has led to a still sudden and severe increase in public expenditure in 
Cyprus in respect of the measures referred to in Article 3(c), (e), (f), (g), (h) and (i) of 
Implementing Decision (EU) 2020/1344.  

The  COVID-19  outbreak  and  the  extraordinary  measures  implemented  by  Cyprus  in 
2020, 2021 and 2022 to contain that outbreak and its socioeconomic and health-related 
impact had and still have a dramatic impact on public finances. In 2020, Cyprus had a 
general  government  deficit  and  debt  of  5.8%  and  115.0%  of  gross  domestic  product 
(GDP)  respectively,  which  narrowed  to  1.7%  and  103.6%  respectively  at  the  end  of 
2021.  According  to  the  Commission's  2022  spring  forecast,  Cyprus  is  forecasted  to 
have a general government deficit and debt of  0.3% and 93.9% of GDP  respectively 
by  the  end  of  2022.  According  to  the  Commission's  2022  summer  interim  forecast, 
Cyprus’ GDP is projected to increase by 3.2% in 2022. 

On 5 September 2022 Cyprus requested further financial assistance from the Union in 
the amount of EUR 29 200 000 with a view to continuing to complement its national 
efforts  undertaken  in  2020,  2021  and  2022  to  address  the  impact  of  the  COVID-19 
outbreak and respond to the socioeconomic consequences of the outbreak for workers 
and the self-employed.  In particular,  Cyprus further extended or amended short-time 
work schemes and similar measures set out in recitals 8 to 13.  
‘Law  27(I)/2020’4,  ‘Law  49(I)/2020’5,  ‘Law  140(I)/2020’6,  ‘Law  36(I)/2021’7 and 
‘Law 120(I)/2021’8  have been the basis for the introduction of a number  of monthly 
regulatory  administrative  acts9,  outlining  measures  to  address  the  impact  of  the 
COVID-19  outbreak.  On  the  basis  of  those  laws,  the  authorities  have  introduced  the 
‘scheme supporting companies for partial suspension of operations’, as referred to in 
Article  3(c)  of  Implementing  Decision  (EU)  2020/1344.  It  provides  wage 
compensation to the employees of businesses experiencing a decline in turnover due to 
the pandemic, conditional on employment retention. The compensation covers 60% of 
the  employee’s  salary  or  60  %  of  the  employee’s  social  insurance  units  earned  in 
2018,  whichever  is  the  greater.  The  compensation  ranges  between  a  maximum  of 
EUR 1 214 and a minimum of EUR 360 per month. The measure was initially in force 
for the period March 2020 to June 2020 and was subsequently extended to cover the 
period from January 2021 to August 2021. 

(9) 

Furthermore,  ‘Law  27(I)/2020’,  ‘Law  49(I)/2020’,  ‘Law  140(I)/2020’,  ‘Law 
36(I)/2021’ and ‘Law 120(I)/2021’ and a number of monthly regulatory administrative 
acts10  have  been  the  basis  for  the  ‘special  scheme  for  hotel  units  and  tourist 

4 
5 
6 
7 
8 
9 

10 

Ε.Ε., Παρ.Ι(I), Αρ.4748, 27/3/2020 
Ε.Ε., Παρ.Ι(I), Αρ.4756, 26/5/2020   
Ε.Ε., Παρ.Ι(I), Αρ.4780, 12/10/2020 
Ε.Ε., Παρ.Ι(I), Αρ.4823, 29/3/2021 
Ε.Ε., Παρ.Ι(I), Αρ.4846, 16/7/2021 
Regulatory Administrative Acts, 131/188/239/2020 and Regulatory Administrative Acts 
84/124/169/219/276/331/370/2021, as extended. 
Regulatory Administrative Acts 269/317/393/418/498/533/631/2020 and 
13/81/121/166/216/271/329/368/402/431/2021, as extended. 

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accommodation’,  as  referred  to  in  Article  3(e)  of  Implementing  Decision  (EU) 
2020/1344. It provides wage compensation to support employees in the hotel industry 
and  other  businesses  providing  tourist  accommodation  whose  employer  has  fully 
suspended  operations  or  experienced  a  decline  in  turnover  of  more  than  40  %. 
Participation in the scheme is conditional on employment retention. The measure was 
initially  in  force  for  the  period  June  2020  to  October  2020  and  was  subsequently 
extended to cover the period from November 2020 to October 2021. 

(10)  Furthermore,  ‘Law  27(I)/2020’,  ‘Law  49(I)/2020’,  ‘Law  140(I)/2020’,  ‘Law 
36(I)/2021’ and ‘Law 120(I)/2021’ and a number of monthly regulatory administrative 
acts11, have been the basis for the ‘special scheme to support businesses related to the 
tourism industry or affected by tourism or associated with businesses that are subject 
to mandatory total suspension’, as referred to in Article 3(f) of Implementing Decision 
(EU)  2020/1344.  The  scheme  provides  wage  compensation  to  the  employees  in  the 
hotel  industry  and  other  businesses  providing  tourist  accommodation  that  have  fully 
suspended  operations  or  experienced  a  decline  in  turnover  of  more  than  40%  as 
opposed  to  55%  in  the  original  scheme,  conditional  on  employment  retention.  The 
measure  was  initially  in  force  for  the  period  June  2020  to  August  2020  and  was 
extended and amended to cover the period from September 2020 to October 2021. 

(11)  Furthermore,  ‘Law  27(I)/2020’,  ‘Law  49(I)/2020’,  ‘Law  140(I)/2020’,  ‘Law 
36(I)/2021’ and ‘Law 120(I)/2021’ and a number of monthly regulatory administrative 
acts12, have been the basis for a ‘Special Scheme for supporting businesses exercising 
special predefined activities, as referred to in Article 3 (g) of Implementing Decision 
(EU) 2020/1344. That scheme provides income compensation for 50% of the staff of 
the businesses joining the scheme. The support covers 60% of the employee’s salary 
or  60%  of  the  employee’s  social  insurance  units  earned  in  the  appropriate  reference 
year, whichever is the greater. The compensation ranges between a maximum of EUR 
1 214  and  a  minimum  of  EUR  360  per  month.  Participation  in  the  scheme  is 
conditional on employment retention. The measure, initially in force from June 2020 
to August 2020, was extended from September 2020 to October 2021. 

(12)  Moreover,  the  ‘subsidisation  scheme’  set  by  ‘Supplementary  budget,  Temporary 
framework  for  State  aid  measures  to  support  the  economy  in  the  current  COVID-19 
outbreak’,  as  referred  to  in  Article  3(h)  of  Implementing  Decision  (EU)  2020/1344 
introduced subsidies for very small and small enterprises and the self-employed who 
employ up to 50 employees. Only the part of expenditure related to the support of the 
self-employed and one-person companies has been requested. Those subsidies provide 
a  lump  sum  grant  to  support  operating  expenses  of  small  businesses  and  the  self-
employed.  The  amounts  of  the  lump-sump  grants  have  been  reviewed  for  various 
categories of businesses based on the number of employees. In addition,  grants have 
been agreed for businesses, which suspended their operations since March 2020 with 
an  amount  of  EUR  10 000  for  up  to  9  employees  and  EUR  15 000  for  more  than  9 
employees.  The  subsidisation  scheme  can  be  considered  to  be  a  similar  measure  to 
short-time  work  schemes,  as  referred  to  in  Regulation  (EU)  2020/672,  as  it  aims  to 
protect  the  self-employed  or  similar  categories  of  workers  from  reduction  or  loss  of 
income.  The  measure,  initially  in  force  for  the  period  April  2020  to  May  2020,  was 

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Regulatory Administrative Acts, 270/318/394/419/499/534/632/2020 and Regulatory Administrative 
Acts 14/82/122/167/217/274/330/ 369/403/432/2021, as extended. 
Regulatory Administrative Acts, 272/320/396/420/500/535/633/2020 and Regulatory Administrative 
Acts, 404/433/2021, as extended. 

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extended and amended for November 2020. The scheme was extended again in March 
2021 and April 2021, and covered businesses of any number of employees that had to 
totally suspend their operations according to Decrees of the Minister of Health.  

(13)    Furthermore,  ‘Law  27(I)/2020’,  ‘Law  49(I)/2020’,  ‘Law  140(I)/2020’,  ‘Law 
36(I)/2021’ and ‘Law 120(I)/2021 and a number of monthly regulatory administrative 
acts13,  have  been  the  basis  for  a  ‘sickness  benefit  scheme’,  as  referred  to  in 
Article 3(i),  of  Implementing  Decision  (EU)  2020/1344.  That  scheme  provides  wage 
compensation  to  employees  of  the  private  sector  and  to  the  self-employed,  on  the 
condition  that  they  are  either  classified  as  vulnerable  individuals  according  to  a  list 
published  by  the  Ministry  of  Health,  placed  in  quarantine  by  the  authorities,  or 
infected by COVID-19. The measure was initially in force for the period from March 
2020 to June 2020 and was extended to cover the period from November 2020 to June 
2021.  

(14)  Cyprus fulfils the conditions for requesting financial assistance set out in Article 3 of 
Regulation  (EU)  2020/672.  Cyprus  has  provided  the  Commission  with  appropriate 
evidence  that  the  actual  and  planned  public  expenditure  has  increased  by  EUR 
777 840 000 as of 1 February 2020 due to the national measures taken to address the 
socioeconomic  effects  of  the  COVID-19  outbreak.  This  constitutes  a  sudden  and 
severe  increase  because  it  is  also  related  to  an  extension  or  amendment  of  existing 
national measures directly related to short-time work scheme and similar measures that 
cover  a  significant  proportion  of  undertakings  and  of  the  labour  force  in  Cyprus. 
Cyprus  intends  to  finance  EUR  144 870 000  of  the  increased  amount  of  expenditure 
through Union funds from the EU budget. 

(15)  The Commission has consulted Cyprus and verified the sudden and severe increase in 
the actual and planned public expenditure directly related to short-time work schemes 
and similar measures, as referred to in the request of 5 September 2022, in accordance 
with Article 6 of Regulation (EU) 2020/672.  

(16)  Financial  assistance  should  therefore  be  provided  with  a  view  to  helping  Cyprus  to 
address  the  socioeconomic  effects  of  the  severe  economic  disturbance  caused  by  the 
COVID-19  outbreak.  The  Commission  should  take  the  decisions  concerning 
maturities,  size  and  release  of  instalments  and  tranches  in  close  cooperation  with 
national authorities.  

(17)  Given that the availability period indicated in Implementing Decision (EU) 2020/1344 
has expired, a new availability period for the additional financial assistance is needed. 
The availability period for financial assistance of 18 months granted by Implementing 
Decision (EU) 2020/1344 should be extended by 21 months and as a consequence the 
total  availability  period  should  be  39  months  starting  from  the  first  day  after 
Implementing Decision (EU) 2020/1344 has taken effect. 

(18)  Cyprus  and  the  Commission  should  take  this  Decision  into  account  in  the  loan 

agreement referred to in Article 8(2) of Regulation (EU) 2020/672. 

(19)  This Decision should be without prejudice to the outcome of any procedures relating 
to  distortions  of  the  operation  of  the  internal  market  that  may  be  undertaken,  in 
particular  pursuant  to  Articles  107  and  108  of  the  Treaty.  It  does  not  override  the 

13 

Regulatory  Administrative  Acts, 
19/87/127/172/222/273/2021, as extended. 

  128/185/236/637/2020  and  Regulatory  Administrative  Acts, 

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requirement  for  Member  States  to  notify  instances  of  potential  State  aid  to  the 
Commission under Article 108 of the Treaty. 

(20)  Cyprus should inform the Commission on a regular basis of the implementation of the 
planned public expenditure, in order to enable the Commission to assess the extent to 
which Cyprus has implemented that expenditure. 

(21)  The  decision  to  provide  financial  assistance  has  been  reached  taking  into  account 
existing  and  expected  needs  of  Cyprus,  as  well  as  requests  for  financial  assistance 
pursuant  to  Regulation  (EU)  2020/672  already  submitted  or  planned  to be  submitted 
by other Member States, while applying the principles of equal  treatment,  solidarity, 
proportionality and transparency,  

HAS ADOPTED THIS DECISION:  

Implementing Decision (EU) 2020/1344 is amended as follows:  

Article 1 

(1)   Article 2 is amended as follows: 

(a) paragraph 1 is replaced by the following:  

‘1.  The  Union  shall  make  available  to  Cyprus  a  loan  amounting  to  a  maximum  of 
EUR 632 970 000. The loan shall have a maximum average maturity of 15 years.’; 

(b) paragraph 2 is replaced by the following:  

‘2. The availability period for financial assistance granted by this Decision shall be 39 
months starting from the first day after this Decision has taken effect.’ 

(c) paragraph 4 is replaced by the following:  

‘4.  The  first  instalment  shall  be  released  subject  to  the  entry  into  force  of  the  loan 
agreement  provided  for  in  Article  8(2)  of  Regulation  (EU)  2020/672.  Any  further 
instalments shall be released in accordance  with the terms of that loan agreement or, 
where  relevant,  be  subject  to  the  entry  into  force  of  an  addendum  thereto,  or  of  an 
amended  loan  agreement  concluded  between  Cyprus  and  the  Commission  replacing 
the original loan agreement.’; 

(2) 

Article 3 is replaced by the following:  

Cyprus may finance the following measures: 

‘Article 3 

(a) 

(b) 

the special leave scheme for parents, as provided for by ‘Law 27(I)/2020’, and 
by ‘Regulatory Administrative Acts, 127/148/151/184/192/212/213/235/2020’, 
as extended;   

the  schemes  supporting  companies  for  the  total  suspension  of  operations,  as 
provided  for  by  ‘Law  27(I)/2020’  and  by  ‘Regulatory  Administrative  Acts, 
130/148/151/187/212/213/238/243/271/273/2020’, as extended;  

EN 

8 

  EN 

 
 
 
 
(c) 

(d) 

(e) 

(f) 

(g) 

(h) 

the schemes supporting companies for the partial suspension of operations, as 
provided  for  by  ‘Law  27(I)/2020’  and  by  ‘Regulatory  Administrative  Acts, 
131/188/239/2020’,  as  last  amended  by  ‘Law  120(I)/2021’  and  ‘Regulatory 
Administrative Act 370/2021’;  

the special scheme for the self-employed, as provided for by ‘Law 27(I)/2020’ 
and  by  ‘Regulatory  Administrative  Acts,  129/148/151/186/237/322/2020’,  as 
extended; 

‘Law 

the special scheme for hotel units and tourist accommodation, as provided for 
by 
‘Regulatory  Administrative  Acts, 
269/317/393/418/498/533/631/2020’,  as  last  amended  by  ‘Law  120(I)/2021’ 
and by ‘Regulatory Administrative Act 431/2021’;  

27(I)/2020’ 

and 

by 

the  special  scheme  to  support  businesses  related  to  the  tourism  industry  or 
affected by tourism or associated with businesses that are subject to mandatory 
total  suspension,  as  provided  for  by  ‘Law  27(I)/2020’  and  by  ‘Regulatory 
Administrative Acts, 270/318/394/419/499/534/632/2020’, as last amended by 
‘Law 120(I)/2021’ and by ‘Regulatory Administrative Act 432/2021’;  

the  special  scheme  for  supporting  businesses  exercising  special  predefined 
activities,  as  provided  for  by  ‘Law  27(I)/2020’  and  by  ‘Regulatory 
Administrative Acts, 272/320/396/420/500/535/633/2020’, as last amended by 
‘Law 120(I)/2021’ and by ‘Regulatory Administrative Act 433/2021’; 

the  subsidisation  scheme  of  very  small  and  small  enterprises  and  the  self-
employed,  as  provided  for  in  ‘Supplementary  budget,  Temporary  framework 
for  State  aid  measures  to  support  the  economy  in  the  current  COVID-19 
outbreak’,  for  the  part  of  expenditure  related  to  the  support  of  the  self-
employed and one-person companies, as extended and amended; 

(i) 

the  sickness  benefit  scheme,  as  provided  for  by  ‘Law  27(I)/2020’  and  by 
‘Regulatory Administrative Acts,   128/185/236/637/2020’ as  last  amended  by 
‘Law 120(I)/2021’ and by ‘Regulatory Administrative Act 273/2021’. 

This Decision is addressed to the Republic of Cyprus. 

Article 2 

Done at Brussels, 

For the Council 
The President 

EN 

9 

  EN