Tuesday September 23, 2014 Search
Weather | Athens
31o C
22o 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 islands 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 Anastasiadess 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)  
Jailed GD MP shown teaching kids how to give the Nazi salute [Video]
Defendants handed prison terms over Antipnoia stabbings
Samaras to meet Merkel in Berlin for pivotal talks
Commission report highlights Erasmus student exchange benefits
Programs target return of 21,000 jobless to work
Greeces Manpower Organization (OAED) will activate two new employment subsidy programs for the private sector in the next few days, offering jobs to 21,620 unemployed individuals. The first...
Employment in commerce keeps sliding
Employment in commerce is continuing to drop, according to data presented on Monday by Vassilis Korkidis, the head of the renamed Hellenic Confederation of Commerce and Entrepreneurship (ESE...
Inside Business
SOCCER
PAOK joins Olympiakos on top after win at Agrinio
Olympiakos spent just two nights alone on top of the Super League, as on Monday evening PAOK joined the champions on 10 points through its 1-0 victory at Panetolikos. The Thessaloniki giant ...
SOCCER
Reds beat Veria to claim league lead
Olympiakos thumped hitherto Super League leader Veria 3-0 on Saturday to go alone on top of the table for the first time after four rounds of games. Four days after putting three past Atleti...
Inside Sports
COMMENTARY
So near and yet so far
Here we are again, so near and yet so far from the coast, in a balancing act of fear between disaster and blurred normality, yet with serious prospects of recovery. Our partners and creditor...
EDITORIAL
Transfer withdrawal
There appear to be significant changes afoot at Greek universities. Academics interested in managing educational institutions as opposed to exchanging favors with unionists and party folk ...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
RECENT NEWS
1. Jailed GD MP shown teaching kids how to give the Nazi salute [Video]
2. Defendants handed prison terms over Antipnoia stabbings
3. Samaras to meet Merkel in Berlin for pivotal talks
4. Commission report highlights Erasmus student exchange benefits
5. PAOK joins Olympiakos on top after win at Agrinio
6. Programs target return of 21,000 jobless to work
more news
Today
This Week
1. Alexander the Great's tomb not at Amphipolis, says Culture Minister
2. Venizelos denies jihadis are being trained in Greece
3. Euro touches 14-month low before Draghi testimony
4. Draghi effect subsiding leaves pressure building on ECB chief
5. Civil servants' union calls new strike over evaluation
6. Investors snap up euro zone banks, exporters in ECB bet
Today
This Week
1. Greece at bottom of social justice scale among EU28
2. Greece can meet its needs on its own
3. Central Athens traffic restrictions back in force on Monday
4. Lost in the fog
5. Record sum of new debts to the state in August
6. Democracy under Pressure | Live Streaming
Find us ...
... on
Twitter
... on Facebook
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright 2014, H KAΘHMEPINH All Rights Reserved.