NICOSIA, Nov. 10 (Xinhua) -- Foreclosures on primary residences owned by vulnerable groups of the population will be suspended until the end of February, credit acquiring companies and credit servicers said on Thursday.

A statement issued by the Association of Credit Management Companies said their decision was voluntary.

This move is expected to save the country from the potential negative impact of having foreclosures banned by law, a move might lead to a downgrading of the country's credit rating and thus make borrowing by the government very expensive.

The Association of Credit Management Companies has decided that until Feb. 28, 2023, its members will not proceed with the auctioning of primary residences worth up to 350,000 euros (357,000 U.S. dollars), the association said.

Cyprus has had a high rate of non-performing loans since the economic and banking crisis, which forced the government of the eastern Mediterranean island into a 10 billion euros bailout program in March 2013. (1 euro = 1.02 U.S. dollar) Enditem

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