Tuesday March 3, 2015 Search
Weather | Athens
20o C
11o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Cyprus aid amount may reach 17.5 bln euros, FM says

Cyprus may need as much as 17.5 billion euros ($22.5 billion) in aid, almost the size of the country’s economy, to pay its bills and recapitalize Cypriot banks, Finance Minister Vassos Shiarly said.

Talks between Cyprus and its potential troika of lenders comprising the European Central Bank, the European Commission and the International Monetary Fund “are continuing, and we hope outstanding issues are settled soon,” Shiarly told reporters in Nicosia on Thursday after presenting the 2013 budget to Parliament Speaker Yiannakis Omirou. The budget contains cuts already approved by the troika.

Cyprus on June 25 became the fifth euro-area member to request an international rescue, which will encompass the public sector as well as banks, after Cypriot lenders such as Bank of Cyprus Plc and Cyprus Popular Bank Pcl lost more than 4 billion euros in Greece’s debt restructuring.

The Cypriot bailout will amount to about 6 billion euros to refinance state debt from 2013 to 2016 and 1.5 billion euros to cover fiscal deficits, Shiarly said, while as much as 10 billion euros may be required for the bank recapitalization.

The final amount of aid will be known after a review of the country’s banking system by Pacific Investment Management Co. that is due in late January, he said. The exercise includes an asset-quality review and a stress test to determine the capital needs of each institution, the Central Bank of Cyprus said on Sept. 28.

Few differences with the troika remain and these are likely to be bridged “very soon,” Cypriot President Demetris Christofias said in an e-mailed statement Thursday. A possible agreement with the troika may be discussed at a Dec. 3 meeting of euro-area finance ministers, Shiarly said.

Fitch Ratings Wednesday cut its below-investment grade credit rating for Cyprus by two levels to BB- from BB+, citing a fiscal budget that has “significantly underperformed expectations.” Fitch also cited a continued high level of uncertainty over costs associated with the recapitalization of Cypriot lenders.

Cyprus’s budget gap will be 4.4 percent of its economy in 2013, Shiarly said. The fiscal deficit widened to 3.3 percent of gross domestic product in the first nine months of 2012 from 3.1 percent a year earlier, the Finance Ministry said on Oct. 26. The government forecasts a gap of 4.5 percent for all of 2012 after a shortfall of 6.3 percent in 2011.

The Cypriot economy was estimated to be worth almost 18 billion euros in 2011, according to the Nicosia-based Cyprus Statistical Service. [Bloomberg]

ekathimerini.com , Thursday November 22, 2012 (16:13)  
Teleconference for Varoufakis in view of upcoming Eurogroup
Greece’s week before March 9 meeting of euro finance ministers
Greece’s bailout extension no panacea for struggling bond market
Greece approved as recipient of EBRD funding through 2020
Prosecutors suggest conditional release for GD’s Michaloliakos, Pappas
Two public prosecutors on Tuesday suggested the conditional release of Golden Dawn chief Nikos Michaloliakos and the party’s second-in-command, Christos Pappas, after their 18-month maxim de...
Pedophile arrested in Athens
A 40-year-old man was arrested on Tuesday in Athens after allegedly luring a minor into a mini van in view of sexually abusing him. According to initial reports, the suspect owns a super mar...
Inside News
BASKETBALL
Waters turns from zero to hero for Kolossos Rhodes
For 40 minutes he was a real disappointment for his coach, Aris Lykoyiannis. His shooting rate was a miserable 1 in 10 two-point shots and he had made no three-pointers. On top of that he co...
SOCCER
Super League clubs promise to combat violence, again
The Super League clubs agreed on Monday to a blueprint of proposals for combatting violence in soccer grounds and will present it to Deputy Minister Stavros Kontonis to ask for the top fligh...
Inside Sports
COMMENTARY
The Greek tax drama
Numbers alone can never interpret reality, not even a strictly financial one. Besides, the art of creative accounting has a number of fans in this country, many more, for the time being, tha...
EDITORIAL
Mixed signals
Ankara finally realized, perhaps also thanks to international pressure, that its latest gesture was too provocative by any measure. Meanwhile, however, it was welcome to see the reflexes of ...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Teleconference for Varoufakis in view of upcoming Eurogroup
2. Prosecutors suggest conditional release for GD’s Michaloliakos, Pappas
3. Pedophile arrested in Athens
4. Greece’s week before March 9 meeting of euro finance ministers
5. Crime boss Vlastos gives lengthy testimony in extortion racket case
6. Notice on military maneuvers in Aegean was a mistake, Turkey says
more news
Today
This Week
1. The Greek tax drama
2. Draghi’s QE moves to starting line as economic outlook brightens
3. Convicted Conspiracy of the Cells Fire member to face magistrate
4. Varoufakis to make six reform proposals at Monday's Eurogroup
5. Investor survey shows 38 pct chance of eurozone break-up in 12 months
6. Mixed signals
Today
This Week
1. Greece to make international protest over Turkey reserving Aegean air space
2. A fierce battle looms
3. SYRIZA feeling the pain
4. Spain said to lead push to hold Greece to terms as Podemos grows
5. The unlikely winners of Greece's surrender on euro
6. Tsipras reversal draws Greek sympathy as party rumblings rise
Advertiser Link
“AMF” PROJECT FINAL CONFERENCE-REGIONAL UNIT OF THESPROTIA
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2015, H KAΘHMEPINH All Rights Reserved.