The House of Representatives is holding an extraordinary session today to discuss President Christodoulides’s referral of a law limiting large cash transactions for goods and services.
The House Institutions Committee will meet at 10:30 a.m., with the Finance Minister and Attorney General invited to attend, followed by a plenary session at 11:30 a.m.
The vetoed legislation, originally proposed by DISY MP and Chairman of the Committee on Institutions Demetris Demetriou, was passed on 5 December. It aimed to adopt provisions from EU Regulation 2024/1624 regarding the prevention of financial system abuse for money laundering or terrorist financing. The law would cap cash payments for goods and services at €10,000 or its equivalent in national or foreign currency.
The presidential referral notes that EU Regulation 2024/1624 does not come into effect until 10 July 2027. Therefore, the law’s reference to implementing this regulation’s provisions implies it cannot be immediately enforced.
The referral further explains that the regulation, particularly Article 80 concerning “limits on large cash transactions for goods or services”, will automatically apply to member states from July 2027 without requiring transposition into national law, unless specifically stated otherwise.
The presidential office has requested the removal of the phrase “pursuant to the provisions of Regulation 2024/1624” from the legislation to address this legal inconsistency.
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