Wednesday, February 27, 2013

Cyprus draft bailout measures 'sufficient'

(AP) ? Cyprus' new finance minister says spending cuts and tax increases agreed with international creditors and included in a draft bailout agreement are sufficient to get the country's finances under control.

Michalis Sarris says Wednesday he would be "surprised" if more austerity was demanded.

Sarris says the faster a rescue package is finalized with the other 16 European Union countries that use the euro and the IMF the better. Outgoing Finance Minister Vassos Shiarly said Cyprus has enough money to pay bills until the end of May.

Cyprus needs as much as ?17 billion ($22.3 billion) to stave off bankruptcy after its banks lost billions on bad Greek debt. The sum is equal to the value of the country's economy, raising questions whether it will be able to repay any loan.

Associated Press

Source: http://hosted2.ap.org/APDEFAULT/f70471f764144b2fab526d39972d37b3/Article_2013-02-27-Cyprus-Financial%20Crisis/id-f470b92a2c3e48e4839e64b8f3dd4e2a

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