Banking law amendment paves the way for refugees and asylum-seekers to access banking services

Nicosia – UNHCR is pleased to join today the discussions at the Parliament Finance Committee
about the Bill transposing the European Accounts Directive 2014/92/EU. The discussion takes
place just a few weeks following the amendment of the Business of Credit Institutions Law, which
remedied a long-standing obstacle that prevented refugees and asylum-seekers from accessing
banking services merely because of a lack of a national passport issued by their government. With
the important changes made to the Business of Credit Institutions Law, the Central Bank is now
able to issue a circular to clarify what kind of documents issued to refugees and asylum-seekers
by the relevant authorities of the Republic of Cyprus can suffice for opening a bank account in
Cyprus.

While the opening of a bank account may seem to be a straight-forward business for most
consumers, it has been indeed a major impediment for asylum-seekers and refugees who were
requested to present their national passports in order to open a bank account. The refugee
reality, though, is that these are by definition people who have severed their ties with their
government because of the persecution or human rights abuse they suffered and, as a result, they
can’t approach the very same government to get or renew their national passport.

UNHCR has made, over the years, several representations to the Central Bank and many local
banks insisting that refugees and asylum-seekers residing in the Republic of Cyprus should be able
to open bank accounts on the basis of official registration documents, resident permits or travel
documents issued to them by Cypriot authorities. Without a bank account, they can’t get paid by
their employer or receive social benefits they are entitled to by law, thus risking destitution,
homelessness and even starvation. It is high time that this problem is resolved once and for all.

Μοιράσου το στο Facebook Μοιράσου το στο Twitter