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Cyrpus applies for EU bailout
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Cyrpus applies for EU bailout

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Cyrpus applies for EU bailout

The Cypriot government has issued a statement, confirming that they have officially made an EU bailout bid.

The request comes just days before a deadline to recapitalise one of the country’s largest banks.
“The purpose of the required assistance is to contain the risks to the Cypriot economy, notably those arising from the negative spillover effects through its financial sector, due to its large exposure in the Greek economy,”

the government's statement said.

Earlier, US ratings agency Fitch downgraded Cyprus to "junk" status. The move was prompted by the amount of rescue money that would be needed to bail out its banks, which are heavily exposed to the Greek economy.

Cyprus' finance minister Vassos Chiarly recently said he would prefer eurozone assistance rather than aid from Russia, which has already given Cyprus a €2.5billion loan.


Cyprus applies for EU bailout — RT

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