Sunday October 26, 2014 Search
Weather | Athens
19o C
12o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Cypriot foreign minister: island became ‘experiment’

Cyprus’ bailout package was a “warning” and the country was turned into an experiment on how to handle too-big-to-fail banks, said Cypriot Foreign Minister Ioannis Kasoulides.

Cyprus “was allowed to serve as an experiment, answering the biggest question -- what to do about banks too big to fail?” Kasoulides said in a speech at the Brookings Institution in Washington.

“The opportunity was offered for Cyprus to give the warning and the example for the rest,” he said. “Unfortunately, it didn’t permit us to re-adjust all the wrongdoings of our economy, let’s say within a three-year period, instead of this brutal and overnight collapse of our banking system.”

European governments and the International Monetary Fund agreed in March to loan Cyprus 10 billion euros ($13 billion) as long as the country liquidated its second-largest bank and forced losses on bank bondholders and deposits of more than 100,000 euros. The country’s parliament rejected an earlier plan that would have also imposed a levy on deposits of less than 100,000 euros.

In the aftermath, the nation’s economy is expected to struggle to recover. Cyprus Central Bank Governor Panicos Demetriades said on Thursday in Nicosia that the Cypriot economy will shrink 8.7 percent this year, as forecast by the European Commission.

The Mediterranean island was the fifth euro-zone country to tap international aid in the region’s sovereign debt crisis.

Kasoulides said the nation’s private sector will serve as an engine for growth going forward, and that Cyprus will end with a “much better and healthier” banking and financial system.

[Bloomberg]

ekathimerini.com , Friday May 10, 2013 (11:17)  
Nicosia says reforms are bringing results
TAIPED waits for green light from Eurostat
Trade deficit shrinks on big drop in imports
SMEs unable to claim subsidies
Samaras pledges action after flash floods in Athens
Authorities began on Saturday assessing the damage done by flash floods in various parts of Athens a day earlier, with Prime Minister Antonis Samaras pledging that all those affected would b...
No court hearings for civil cases
Greek courts are to stop conducting hearings, which include witness questioning, for civil cases, according to plans drawn up by the Justice Ministry. Kathimerini understands that in a bid t...
Inside News
BASKETBALL
A win is a win is a win for Olympiakos
A bad Olympiakos defeated a worse Laboral Kutxa 63-57 to make it two out of two in the Euroleague on Friday. In a game where the two teams had an overall field goal rate of about one in thre...
SOCCER
Panathinaikos snatches point at Eindhoven
Panathinaikos offered its fans a glimpse of its glorious past in European competitions snatching a draw at PSV Eindhoven, on an otherwise bad night for Greek soccer in the Europa League, as ...
Inside Sports
COMMENTARY
End of reason, end of humanity
The effects of a slew of new and increased taxes introduced since the start of the crisis were first observed in the wages of those still fortunate enough to have jobs, who saw their take-ho...
EDITORIAL
Banks need to step up
What has been leaked so far regarding the results of the stress tests on Greece’s lenders, which are due to be published on Sunday, appears positive. Greece needs a healthy, private banking ...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Nicosia says reforms are bringing results
2. Samaras pledges action after flash floods in Athens
3. No court hearings for civil cases
4. Greece’s lenders seem adamant that gov’t must act on bailout commitments
5. Future of Attica trash set to become clearer
6. Policeman admits to murder of his cousin-in-law
more news
Today
This Week
1. End of reason, end of humanity
2. Banks need to step up
3. Samaras pledges action after flash floods in Athens
4. Greece’s lenders seem adamant that gov’t must act on bailout commitments
5. Nicosia says reforms are bringing results
6. No court hearings for civil cases
Today
This Week
1. The past, present and future of the Greek debt crisis
2. Greece’s closed society is central to its current malaise
3. Greece must stick to reforms, says Schaeuble
4. At least 11 banks to fail European stress tests, three in Greece, report says
5. Cyprus to block Turkey's EU talks after EEZ violation
6. Stop moaning and get in the game
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.