Wednesday August 20, 2014 Search
Weather | Athens
29o C
23o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Cyprus braces for banks to reopen and capital controls to begin

Protesters cast their shadows on a Cypriot flag during an anti-bailout rally outside the presidential palace in Nicosia on Wednesday.

Banks in Cyprus are due to open on Thursday for the first time since March 15 as Nicosia becomes the first government in the eurozone to impose capital controls in an effort to prevent a collapse of the island’s financial system.

Lenders will open their doors to customers from noon to 6 p.m. local time but there will be severe restrictions on what Cypriots will be able to do with their money, including a limit of 300 euros per person per day on cash withdrawals.

Finance Minister Michalis Sarris was to issue a decree on Wednesday imposing capital controls, which means checks can be deposited but not cashed. The transfer of money abroad will be severely limited, with Cypriot students abroad not being able to receive more than 10,000 euros per quarter.

Savers will not be able to redeem time deposits before maturity. Those leaving the country will not be allowed to carry more than 3,000 euros in cash on them per trip. The capital controls apply to all accounts, payments and transfers, regardless of currency used.

Cyprus kept its banks closed for eight working days as it negotiated a bailout with the troika that will involved Cyprus Popular Bank (Laiki) being closed down and Bank of Cyprus being restructured.

Sarris said Laiki depositors faced losses of up to 80 percent on deposits above 100,000 euros. Bank of Cyprus savers have been warned they may lose 40 percent of their uninsured savings.

The opening of the banks in Cyprus comes amid a tense political atmosphere, with MPs from President Nicos Anastasiades’s DISY party calling for Central Bank Governor Panicos Demetriades to resign. The conservative politicians accused him of acting in the interests of the European Central Bank rather than Cyprus. Lawmakers from opposition parties questioned whether Sarris should remain in his job.

There was a sense of relief in Athens on Thursday after the Greek branches of Cypriot banks reopened after 11 days without any signs of a bank run.

Prime Minister Antonis Samaras reportedly stressed to ministers that the absence of panic was no reason for complacency and asked them to seek a swift resolution in talks with troika envoys next week on the streamlining of the civil service and on a new unified property tax.

ekathimerini.com , Wednesday March 27, 2013 (21:34)  
Police detain suspects over Kardamyli double murder [Update]
Syrian chemicals were safely destroyed off Crete, says OPCW
Greece to give children at primary school road safety lessons
Two missing men found shot dead near Kalamata
Only fraction of debtors declare bank accounts to avert confiscation
Out of some 3.3 million Greeks with debts to the state, only around 80,000 have declared to tax authorities a single bank account whose savings -- up to a 1,500-euro limit -- would be protec...
Russian sanctions seen giving EU 6.7 billion hit in ING estimate
Russia’s ban on imports of western food could cost the European Union an annual 6.7 billion euros ($9 billion) in lost production, according to ING Groep NV. “The potential effects of the Ru...
Inside Business
ATHLETICS
Long jumper Tsatoumas takes Greece´s second silver at European Championships
Greece won its second medal at the European Athletics Championships in Zurich, Switzerland, on Sunday with Louis Tsatoumas coming second in the long jump. Briton Greg Rutherford won the even...
SWIMMING
Silver for Greece in 5k team event at European Swimming Championships
Greece claimed the silver in the team 5 kilometer event at the 32nd European Swimming Championships in Berlin on Saturday. The Greek team of Spyros Gianniotis, Antonis Fokaidis and Kalliopi ...
Inside Sports
COMMENTARY
Logged out of reality
It is a global phenomenon, and we have yet to fully grasp its implications for democracy and the functionality of Western states. The Internet is a bottomless well of information and a vast ...
EDITORIAL
Manipulated institutions
Greece’s leftist opposition must not manipulate an institution as important as the President of the Republic for the sake of political ends. Regrettably, SYRIZA leader Alexis Tsipras appears...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Police detain suspects over Kardamyli double murder [Update]
2. Only fraction of debtors declare bank accounts to avert confiscation
3. Russian sanctions seen giving EU 6.7 billion hit in ING estimate
4. Syrian chemicals were safely destroyed off Crete, says OPCW
5. Greek firms see 30 pct rise in PayPal payments from abroad in 2014
6. Greece to give children at primary school road safety lessons
more news
Today
This Week
1. Two missing men found shot dead near Kalamata
2. Greek current account surplus widens in June
3. Logged out of reality
4. ECB in policy limbo, boxed in by its own plans
5. Greek firms see 30 pct rise in PayPal payments from abroad in 2014
6. Greece to give children at primary school road safety lessons
Today
This Week
1. Carved sphinxes at Ancient Amphipolis tomb will not be removed
2. Samaras expects 'exceptionally important find' at Ancient Amphipolis
3. Rhodes villa built for Mussolini among properties Greek privatization fund is selling
4. Canada’s fiscal adjustment has lessons for Greece
5. Treating Amphipolis with care
6. Greece to offer law on restructuring bad loans next month
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.