A large part of deposits in Laiki above the 100,000 euros ($129,000) that are insured could be confiscated. A banking official, who spoke only on condition of anonymity because the talks were ongoing, said seizures of 25-30 percent were being discussed.
Gets better and better – Cyprus govt official tells journalists outside parliament Troika wants 15% levy on deposits in all Cypriot banks.
Finnish PM says biggest depositors must take responsibility in Cyprus situation. Because it’s their fault Cyprus is broke?
Faisal Islam‏@faisalislam32 s
Someone explain this to me: Greece has crisis. €5bn deposits flees to Cyprus banks. Cypriot banks use it to add to Greek sov bonds. Merkel..
Troika Hikes Cyprus Bailout Demands, Says “Conditions Worsened”
Just when you thought you knew the rules, the Troika has changed them… (via MNI)
- TROIKA SAID CONDITIONS WORSENED, WANTS BILL TO REFLECT
- TROIKA HIKED CYPRUS CONTRIBUTION TO E6.7 BN VS E5.8 BN:
Cyprus Market‏@russian_market1 min
CNBC reports that Cyprus may be running out of food… Is that what they call a responsible journalism?!
Faisal Islam‏@faisalislam2 min
“We’re getting calls from families everyday asking if we lose our jobs will you give us some food” cypriot Orthodox Church worker #c4news
Faisal Islam‏@faisalislam50 s
Former President Vassilou talks to c4news: “deal will be done. Leaving the euro us unthinkable, like england without queen”
German Central Bank Warns Of “Incendiary” Monetary Policy
Bankers Clashing With Riot Police
All Depositors’ (with over $100,000) money is to go will go into a ‘bad bank’ and only 40% – 50% to go back to depositors. At best!!
This is apocalyptic!
Fitch Places United Kingdom on Rating Watch Negative
Fitch Ratings has placed the United Kingdom’s ‘AAA’ Long-term Issuer Default Ratings on Rating Watch Negative (RWN) indicating a heightened probability of a downgrade in the near term. The RWN reflects the latest economic and fiscal forecasts published by the Office for Budget Responsibility that indicate that UK government debt will peak later and at a higher level than previously expected.
Chancellor Angela Merkel is now warning Cyprus, quote ‘not to test the boundaries of the Troika’s patience’. That is after one avenue of rescue, a deal with Russia, all but evaporates. Nicosia and Moscow failed to agree on a rescue plan, after intense negotiations in the Russian capital.
The Cypriot government is due to present the EU and IMF with a new plan, dubbed Plan B, to secure a bailout.
In case of Defult and No Bailout
In Brussels, a senior European Union official said an ECB withdrawal would mean Cyprus’s biggest banks being wound up, wiping out the large deposits it has sought to protect, and probably forcing the country to abandon the euro.
“If the financial sector collapses, then they simply have to face a very significant devaluation, and faced with that situation, they would have no other way but to start having their own currency,” the EU official said.