Cyprus-Forum.com

[Demonax]

I'm surprised they have gone for a levy on deposits under 100,000 euros. I thought these are protected by euro-wide guarantee legislation. Can this be challenged in the ECJ? Or does a one-off tax not apply? If so, when is a guarantee not a guarantee?

Be interesting to see what happens to Spain and Italy now that this principle has been established. Anyone for a Europe-wide bank run next week?

[Maximus]

I'm surprised they have gone for a levy on deposits under 100,000 euros. I thought these are protected by euro-wide guarantee legislation. Can this be challenged in the ECJ? Or does a one-off tax not apply? If so, when is a guarantee not a guarantee?

Be interesting to see what happens to Spain and Italy now that this principle has been established. Anyone for a Europe-wide bank run next week?

Where will the money go? Will it be converted to GBP and deposited in London or in a euro denominated account?

I suspect that the euro will lose value against the pound because of this, sell euros, buy pounds!!

[Piratis]

You scummy, fleecing CY Buggers.

I've got 100 Euros sitting in an account in CY and you're gonna mug a poor innocent foreigner for 6.75 E ...!!! ...

Daylight freeging robbery!

GiG should thank you because this is effectively your share of bailing out her beloved Greece

The fundemental point is that our banks were f*cked by Greece big time with a 70% haircut - now many here are being well and truly reamed.

True. But what is also true is that something like this was not done to Greece, but was done to Cyprus since Cyprus is just a tiny country which aparently does not matter to some. If Cyprus was part of the Greek state then our deposits would be more secure.

Yet another example of the fact that the smaller/weaker you are the easier it is to get screwed by outsiders.

[GreekIslandGirl]

GIG ... probably you have your savings in UK or Greece. This is a disaster for Cyprus.

The banks are in a mess anyway, aren't they? This tax doesn't sound like it would affect the average saver much (it affects me, but not a lot). It's the super-rich with huge savings that would be bothered. So where are they going to take their money that's safer or gives them more interest etc? Very few places left.

I think the negativity will affect Cyprus more.

Unfortunately, this is a right-wing government and their friends are the banks.

- My main concern is still what we are going to get back from the EU in terms of removing the Turks.

[Sotos]

GIG ... probably you have your savings in UK or Greece. This is a disaster for Cyprus.

The banks are in a mess anyway, aren't they? This tax doesn't sound like it would affect the average saver much (it affects me, but not a lot). It's the super-rich with huge savings that would be bothered. So where are they going to take their money that's safer or gives them more interest etc? Very few places left.

I think the negativity will affect Cyprus more.

Unfortunately, this is a right-wing government and their friends are the banks.

- My main concern is still what we are going to get back from the EU in terms of removing the Turks.

Almost any other place would be safer for deposits. Such haircut on private deposits never happened anywhere!! Every depositor will have to pay... not just the super rich. But when the super-rich, Cypriot and foreign, take their money from Cyprus our banks will have no more money to give loans and they will give very few loans at high interest rates. If you didn't realize it already we are talking about a chain reaction which will destroy Cyprus. And the EU doesn't even give to us what they gave to other countries in need ... you expect them to help us to remove the Turks

[Demonax]

It's the super-rich with huge savings that would be bothered. So where are they going to take their money that's safer or gives them more interest etc? Very few places left.

I think the negativity will affect Cyprus more. .

The Russians are moving their money to Latvia now anyway. You're right about the negativity. Can't see how this can protect the idea of a Cyprus as a financial centre. Who would want to put their money into Cypriot banks now?

Thank God for the gas...

[kurupetos]

I read somewhere that to depositors will give bank shares for the amount that will be taken from them. At the very least they should give shares to the natural gas reserves (they should make a public company or something)

At least we will have something to use if we ever run out of toilet paper!

This will surely lead to a vast exit of cash from the banks - the government has just proved that it cannot be trusted with our money!

It's not the CY government; it's the EU that fucked up!

[kurupetos]

GIG ... probably you have your savings in UK or Greece. This is a disaster for Cyprus.

The banks are in a mess anyway, aren't they? This tax doesn't sound like it would affect the average saver much (it affects me, but not a lot). It's the super-rich with huge savings that would be bothered. So where are they going to take their money that's safer or gives them more interest etc? Very few places left.

I think the negativity will affect Cyprus more.

Unfortunately, this is a right-wing government and their friends are the banks.

- My main concern is still what we are going to get back from the EU in terms of removing the Turks.

Almost any other place would be safer for deposits. Such haircut on private deposits never happened anywhere!! Every depositor will have to pay... not just the super rich. But when the super-rich, Cypriot and foreign, take their money from Cyprus our banks will have no more money to give loans and they will give very few loans at high interest rates. If you didn't realize it already we are talking about a chain reaction which will destroy Cyprus. And the EU doesn't even give to us what they gave to other countries in need ... you expect them to help us to remove the Turks

Only idiots believed that.

Time to build our own defence system: WMD, etc.

[Demonax]

I am not keen on this, but i dont see it as a disaster either.

What is the alternative?

This is what the government will need to explain. Especially on why it is necessary to tax those with small savings. This has to be passed in Parliament before Tuesday. Anyone know what the figures are in the House of Representatives?

[GreekIslandGirl]

It's the super-rich with huge savings that would be bothered. So where are they going to take their money that's safer or gives them more interest etc? Very few places left.

I think the negativity will affect Cyprus more. .

The Russians are moving their money to Latvia now anyway. You're right about the negativity. Can't see how this can protect the idea of a Cyprus as a financial centre. Who would want to put their money into Cypriot banks now?

Thank God for the gas...

This is ridiculous. Every single thing we "advertise" as our strong point - they attack! They have the Banks; the Gas will be next.

Why don't we just shut up and play at poor peasants!