ECONOMY

IMF completes first review of Cyprus bailout program

The International Monetary Fund said on Monday it had completed its first review of its bailout program for Cyprus, enabling the disbursement of $113 million.

The Fund said that brought total disbursements under its $1.3 billion loan program for Cyprus to $226 million.

The IMF facility for Cyprus is part of a broader 10-billion-euro three-year bailout program with the European Stability Mechanism for the island.

Cyprus was badly burnt in the eurozone debt crisis, particularly through its banking sector’s close links to troubled Greece.

As part of the 10-billion-euro aid package, Cyprus was forced to shut down one of its largest banks and bank deposits were seized in a second bank to recapitalize it, in a process known as a bail-in.

[Reuters]