**Title: Christodoulides: Reimbursements for ‘Haircut’ Losses to Resume**
In a recent announcement, President Nikos Christodoulides confirmed that the government platform for applying for reimbursements related to the 2013 bank ‘haircut’ will soon be reactivated. This statement comes in response to concerns raised by depositors who were reportedly informed that no new funding would be available for this year.
During a press conference on Thursday, President Christodoulides clarified that the confusion surrounding funding availability stemmed from a misunderstanding. He explained that some depositors may have been misinformed about missing their chance to apply due to a deadline that had passed. “Right now the platform will open, so that all those who missed the deadline can file an application,” he stated.
The reimbursement initiative, which the government refers to as a ‘partial replenishment scheme’ to avoid the term ‘compensation’, is designed to assist those who suffered losses during the 2013 financial crisis. The crisis led to a significant restructuring of the banking sector, particularly affecting large depositors who were required to contribute to the recapitalization of the Bank of Cyprus, which was heavily impacted by the economic downturn in Greece.
Christodoulides noted that a specific budget has been allocated for payouts in 2026, with plans for a new scheme to be introduced in 2027. “This is something we promised before the elections, and we’re delivering,” he emphasized, reiterating the government’s commitment to addressing the financial losses incurred by depositors.
The reimbursement process is funded through the national solidarity fund. Applicants will receive notifications via email, instructing them to log into the service using their CY Login (formerly known as Ariadne) credentials. They will then be able to verify their impairment amounts and provide necessary bank details for payment.
The scheme has set specific limits on the maximum payouts available to different categories of claimants. Individual depositors who held accounts with the legacy Laiki Bank can claim up to €100,000. In contrast, those with accounts at the Bank of Cyprus can claim a maximum of €13,032. Additionally, bondholders from Laiki are eligible for claims up to €100,000, while bondholders from Bank of Cyprus can claim up to €99,760.
The 2013 bailout program, which was established between Cyprus and its international lenders, required large depositors to absorb losses as part of the financial restructuring. This led to the winding down of Laiki Bank, where all uninsured deposits were effectively wiped out, and its operations were merged into the Bank of Cyprus.
As the government prepares to open the application platform, many depositors are hopeful that they will finally receive some restitution for their losses, which have lingered for nearly a decade. The reactivation of the reimbursement program signals a renewed effort by the government to address the financial hardships faced by those affected by the bank ‘haircut’.