Cyprus parliament delays vote on bailout fund plan
Nicosia, Cyprus (4E) – The Cyprus government has delayed a parliamentary session aimed to tackle a levy on bank savings which forms part of the international bailout fund to help the country stave off bankruptcy.
The emergency vote was pushed back to Monday after it was originally scheduled on Sunday. The 17-state eurozone demanded a 10 per cent levy on deposits as a condition for the 10bn euro ($13bn) bailout plan, which has received anger and criticism from the people of the eastern Mediterranean nation.
On Sunday, several parties in the 56-member parliament, where there is no party that holds absolute majority, were in discussions to decide over the bank levy. Three parties have said that they will not support the proposal.
The postponement of Sunday’s parliamentary debate aimed to ensure ministers were completely aware and better informed of the situation, according to state television.
Long lines of customers were seen at cash machines over the weekend hoping to withdraw their money before the decision.
On Saturday, the eurozone and the International Monetary Fund agreed on a debt rescue package for Cyprus after a 10-hour meeting in Brussels. The amount was lesser compared to the original request of 17bn euros by the Cyprus government.