Cypriots are hoping that their government will be able to meet the conditions of its IMF rescue by the end of the year.
The government has been seeking an extension of its bailout, which expires at the end and will have to be extended again if the country does not meet its debt-to-GDP target.
The country’s main creditor, the International Monetary Fund (IMF), has said it is prepared to extend the country’s bailout beyond the deadline if the economy improves, as long as the IMF gives Cypriot authorities the right to do so.
The IMF, however, has said the country needs to show progress in reducing the debt burden of its citizens, who make up 70 percent of the population.
Cyprio officials have stressed that their country is ready to meet its IMF commitments if it gets the right incentives, including for an increase in corporate taxes, a boost in the national income tax, a reduction in the interest rate, and a reduction of the national debt.
This week, the country announced a €5 billion ($5.6 billion) bailout for banks and pension funds.
Cyquo has agreed to pay all of the debt repayments in the coming year.
Cyprus Finance Minister Ioannis Kasidiaris has said that the government expects the IMF to approve the loan for the next three years, a date he expects will be confirmed in December.
A recent IMF survey found that almost 70 percent were expecting to see the country meet its goals, while a further 60 percent were confident that the country will achieve them.
The Cyprios have also asked for a 10 percent tax on all goods imported from the EU.
But the IMF has not agreed to this request.
“We are not in the position of being a lender and paying for other countries to make bad loans, but we are very much in the business of financing and lending,” Kasidiris told reporters this week.
“So, we will see what the IMF wants.
We are in a position to say yes or no.”
This week’s IMF survey is the first in the last two years that Cyprioes have asked for IMF aid, after the country took a bailout in 2014 from the International Financial Institutions (IFIs), the international group of lenders that have the largest stake in the Cyprian economy.
In 2014, the Cyquos received a loan of about $2.5 billion, and were required to repay about $1.6 trillion of it.
Since then, the IMF bailout has been the main driver of the country, which has been struggling to meet IMF targets and the debt that the Cyrops have been required to pay.
According to the IMF, Cyprias debt is about 80 percent of GDP.
In 2018, it will have been more than 80 percent.
The bailout has also helped the Cyprus economy to grow, because of the increase in imports, according to the government.
The central bank says the economy has increased by 1.4 percent in 2018, mainly due to the increase of food imports, which it estimates at nearly $6 billion.
But economists say the rise in imports has been mostly due to people spending more on the goods they want to buy, because the price of other goods has fallen.
The unemployment rate in Cyprus, at 14.4%, is the highest in Europe.
The economy has been under pressure from the fall in oil prices.
Last year, Cyquoes oil exports declined by about 10 percent, partly due to an increase of oil-producing companies in the region.
According the Cytos National Bank, the average monthly wage rose by 3.3 percent last year.
However, the jobless rate rose by 4.4 percentage points, the biggest increase in nearly three years.
The number of jobs in the private sector decreased by 1,100, the number of people in the workforce dropped by 2.7 percent and the unemployment rate went up by 1 percentage point, the National Bank said.