ECONOMY

Nicosia proposes lightening of load on small depositors

The amended proposal that Nicosia will put forward to Monday’s emergency teleconferemnce of the Eurogroup provides for a lighter load on small depositors and a heavier one on big deposits.

Under the revised plan, reported by Dow Jones Newswires, deposits up to 100,000 euros will pay a tax of just 3 percent, against an original 6.75 percent that has already been withheld from accounts.

To offset that move, accounts whose balance is between 100,000 and 500,000 euros would pay a tax of 10 percent – largely along the lines of the original plan – while accounts of more than 500,000 euros will pay a tax of 15 percent.

The aim is to attain the target of the collection of 5.8 billion euros for the support of the country’s economy and its credit system, while securing the vote of the House of Representatives on Tuesday, where the government does not have an overall majority.

Meanwhile Nondas Metaxas, the general director of the Cyprus Stock Exchange stated on Monday afternoon he would propose on Tuesday morning to the Capital Market Commission that shares of banks and other credit-related companies would not be up for trading in the Cypriot bourse.

He added that the same proposal will be submitted to the Greek bourse authorities, concerning Cypriot lender stocks in Tuesday’s trading.