MARCH 27, 2013 — "Cyprus shipping remains a reliable partner, despite current financial difficulties experienced in the Cyprus commercial banking system," says the Cyprus Shipping Chamber. "All efforts are being made for Ships' crew, vessels and cargo to remain safe and protected."

The Cyprus Shipping Chamber's members include all the major shipowning, shipmanagement, chartering and shipping related companies based in Cyprus. It says that its member-companies located in Cyprus and the wider shipping sector in Cyprus, collectively employ around 4,500 persons ashore and more than 55,000 seafarers of various nationalities onboard their vessels.

In a statement issued yesterday, the Chamber said:

Following long and hard discussions with the Eurogroup,an Agreement was reached late evening, on Sunday, 24 March, through which, a €10 billion financial aid was agreed. Whilst this Agreement has imposed some strict austerity measures on Cyprus, it nevertheless brings an end to the financial uncertainty that surrounded the overall banking system of Cyprus.

The Cyprus Shipping Chamber, during this period, has been in continuous contact with the Cyprus Government, the Central Bank of Cyprus and other professional organisations in Cyprus and has offered its expert knowledge in the huge joint effort made, so that on-going discussions on the implementation of the Eurogroup Agreement to be completed the soonest possible, for the benefit of the overall Cyprus Economy, which also includes the Shipping Industry.

In this connection, the Chamber, through a coordinated plan of action and close contact with various state agencies, will continue and intensify its efforts to alleviate any operational problems that might occur, thus allowing Shipping companies in Cyprus to continue trading as per normal, meeting their obligations towards their seafarers and stakeholders. Whilst remaining vigilant on the on-going financial developments in Cyprus, we feel optimistic that the Cyprus Government will promptly implement the appropriate urgent financial measures taking into account the needs of the Cyprus Economy including those of the Shipping Industry. It is also pointed out that the overall Shipping operational and taxation infrastructure in Cyprus remains intact.

The Cyprus Flag Administration also, through its Department of Merchant Shipping, is working normally and without any interruptions and restrictions.

The last update received from the Government is that the commercial banks will open for business as of Thursday, 28 March. The reason that the banks' closure was extended until Thursday, was the technical operational reasons the two banks affected by the restructuring demand of the Eurogroup face, which would otherwise, have prevented them from implementing the Eurogroup requirements.