Finance Ministers from the eurozone have asked Cyprus to reduce the burden on small investors from a proposed levy on savings, linked to a bailout. Plans for a one-off tax of 6.75 percent on savings up to 100,000 euros have outraged Cypriots. Banks in Cyprus are to remain closed until Thursday as efforts to revise an international bailout package continue. A parliamentary vote on the package is expected Today. The 10 billion-euro bailout agreed with the EU and IMF demands that all bank customers pay a one-off levy.The government's efforts to shift more of the burden onto wealthier depositors enraged Russians, who form the bulk of overseas investors and have deposits worth billions of dollars in Cypriot banks. Russian President Vladimir Putin called the proposed levy unfair, unprofessional and dangerous, and Moscow has expressed frustration that Russia was not included in European decision-making on Cyprus.
News On AIR | March 19, 2013 9:01 AM
Cyprus bailout:Euro Fin Mins call for exempting small investors from savings levy