Read Time:1 Minute, 22 Second

Russians aware Germany is stealing their money in Cyprus PDF Print E-mail

Monday, 25 March 2013

Russia clashed with Germany today over a €10 billion bailout to rescue Cyprus from bankruptcy and stop a wider economic crisis.

Russian Prime Minister Dmitry Medvedev condemned a move to seize up to 40 per cent of bank deposits of wealthy savers in Cyprus to pay for the deal as “stealing”. As much as €20 billion is believed to be held by Russians in Cypriot banks.

But German Chancellor Angela Merkel welcomed the deal, saying: “I believe the agreement that was reached is the right one.” Finance minister Wolfgang Schäuble added: “This is bitter for Cyprus, but we now have the result that the (German) government always stood up for.”

Germany and other eurozone nations had demanded that Cyprus, whose economy had a hugely oversized banking sector, find €5.8 billion as part of the deal.

Markets in Asia and Europe rose after the agreement in the early hours but many Cypriots were shocked.

Nicholas Papadopolous, chairman of the Cypriot parliament’s finance committee, said: “We are heading for a deep recession, high unemployment. They wanted to send a message that the Cypriot economy ought to be destroyed, and they’ve succeeded in a large part — they’ve destroyed our banking sector,” he told the BBC.

Before the scandal hit, we are not sure why would anyone put their money in a Cypriot bank… As for the Russians, knowing a little bit about them, they will certainly find a way to get back to Germany on this one.


Average Rating

5 Star
4 Star
3 Star
2 Star
1 Star