Cypriot government officials have submitted a draft bill on bank deposits above $20,000 however it has been met with huge controversy as officials are trying to change it so that it is only levied up to $100,000. Banks will remain closed across Cyprus today as the president of Cyprus stalls on the levy of banks accounts above $20,000 to $100,000 is reviewed.
There was a huge rush across Cyprus over the weekend as government officials informed residents that there would be a 9.9% levy on savings, which meant that residents rushed to cash machines to withdraw savings from their accounts to avoid being suddenly taxed by the Cypriot government.
Eurozone finance ministers yesterday informed that they would review the levvy as many people have complained that it may be unfair, however with the Cyprus economy close to collapse, serious measures will have to be taken to avoid the complete collapse all together of Cyprus.
And yesterday Joerg Asmussen, a member of the European Central Bank’s governing council, said the exact terms of the bailout were still down to the Cyprus government.
He said: “It’s the Cyprus government’s adjustment programme. If Cyprus’ president wants to change something regarding the levy on bank deposits, that’s in his hands. He must just make sure that the financing is intact.
“The important thing is that the financial contribution of €5.8bn remains.”
Today will be a very big day in the history of Cyprus and means that the unjust levy on savings of all Cypriot residents could take affect. With all this controversy surrounding Cyprus at the moment it is no wonder that the Stock exchange for all companies including heavily situated Russian companies who have an estimated $12.5 billion invested in companies in Cyprus will lose fair and regard the country as a no go for business dealings in the future, therefore the coming days will be important for the history and future of Cyprus.
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