Cyprus eyes EU option to shore up banks

The Cypriot finance minister Vassos Shiarly said on the 22 June 2012 that his preferred option to shore up the island’s banking sector was to seek help from Europe, highlighting the limited time and choices available if it is to meet capitalisation rules that take effect in little more than a week.

Mr Shiarly’s comments come after weeks in which Nicosia signalled that it would prefer to look for bilateral help from a country such as Russia, which has already lent it €2.5bn in 2012, rather than approach the EU for help, a course of action likely to involve stringent conditions.

ESO: Background information: Nicosia acts to shore up Cypriot bank http://www.europeansources.info/record/nicosia-acts-to-shore-up-cypriot-bank/

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