Tuesday, April 30, 2013

Cyprus parliament set to agree do-or-die bailout

Cyprus's lawmakers were set agree a bailout on Tuesday which will force it to wind down its second-largest bank and impose heavy losses on uninsured depositors at another, conditions that have intensified calls from islanders to exit the euro.

Shut out of financial markets for two years, Cyprus would fall into chaotic default if parliament votes against the bill, government officials have warned.

"We have had enough of delusions. We don't have another choice. Whoever has one should tell us what it is," Cypriot government spokesman Christos Stylianides told state radio.

No single party has a majority in the 56-member parliament, and the government is counting on support from members of its three-party center-right coalition which has 30 seats in total. It needs 29 votes for the bill to pass, considered a certainty.

Left wing parties and independents planned to vote against.

http://www.reuters.com/article/2013/04/30/us-cyprus-parliament-bailout-idUSBRE93S12M20130430