Uninsured depositors of Cyprus Popular Bank, also known locally as Laiki Bank, could lose up to 40% of their savings if the government proceeds with a proposed restructuring plan as part of efforts to unlock aid from international lenders, European and Cypriot officials with knowledge of the plan said.
The bank's resolution would reduce by 3.6 billion euros ($4.65 billion) the 5.8 billion euros that Cyprus has been asked to raise on its own to secure a 10-billion euro bailout from the euro zone and the International Monetary Fund, another official said.The Cypriot government rushed to parliament late Thursday a range of draft bills regulating the resolution of banks and introducing restrictions on financial transactions to stem potential outflows once the banks reopen. One of the officials said these measures could be in place "for months."
I AM CONTINUING TO POST INFORMATION ON THE CYPRUS FINANCIAL CRISIS AND THE GOVERNMENT'S ATTEMPTS TO CONFISCATE CITIZEN'S CASH TO MEET REQUIREMENTS OF AN EU BAILOUT. I UNDERSTAND THAT MANY, IF NOT MOST, READERS WILL THINK THAT WHAT HAPPENS IN CYPRUS IS NOT IMPORTANT TO AMERICANS. BUT, IT ABSOLUTELY IS. THE OBAMA ADMINISTRATION AND DEMOCRATS ARE DRIVING THE USA TO THE SAME FINANCIAL CLIFF. WHILE THE MEDIA AND OTHERS WITH ABUNDANT PRINT INK AND LOUD MEGAPHONES RAIL ABOUT "OBSTRUCTIONIST REPUBLICANS" BLOCKING DEMOCRATIC AGENDAS, FACT IS THEY ARE ATTEMPTING TO REVERSE THE OUT OF CONTROL SPENDING OF THE PAST THAT HAS BEEN ELEVATED BY OBAMA POLICIES TO LEVELS THAT WILL BANKRUPT THE USA. PLEASE SUSPEND PREJUDICES AND RESIST MISINFORMATION FROM THE LEFT MEDIA AND LOOK AT THE FACTS. OUR SPENDING AND BORROWING IS ALREADY CRITICAL. AND OBAMA WANTS UNLIMITED DEBT.