MINISTRY OF FINANCE: Cuts in civil servants would affect consumption

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Answering a question, the Minister of Finance stressed that cuts in civil servants’ salaries would deepen the economic recession.

The Minister of Finance stressed that the reduction of the salaries of civil servants would have opposite effects on the Cypriot economy.

Asked by a journalist about the possibility of cuts in the salaries of civil servants, the Minister of Finance noted that due to the targeted policy of the government and the resilience of public finances, so far it has not been deemed necessary to make any cuts in government spending.

He added that the reduction in salaries or development expenditures, even in the funds related to the construction of state infrastructure, would have the opposite effect.

He noted, during today’s press conference where the additional measures to support employees and companies were announced. that such acts would irreparably affect consumption and exacerbate the economic downturn.