There is still fear of capital flight. The Government of Cyprus should define today control measures for prevent account holders from carrying their money en masse off the island, after the country agreed on a rescue plan with the Troika which provides for a forced levy on deposits exceeding 100 thousand euros of the two largest institutions in the country.
The banks, which have been closed for 10 days, should reopen tomorrow, but Finance Minister Michael Sarris said that the capital control measures will be launched by 12 today and should last two weeks: "We will look for the best way to limit the possibility that large sums of money are transferred, and not to impose positive conditions for the economy, both for businesses and for citizens”. The governor of the Cypriot central bank has said that the checks will temporarily affect all banks.
