Pop Quiz: How Big Is the Bailout Of Cyprus?
By The Editors - Antonis Polemitis and Andreas Kitsios
Most publications talk about the 10B or 17B Cyprus bailout. Let’s take a pop quiz on the right answer:
(a) 17 B Euros (89% of GDP)
(b) 10B Euros (52% of GDP)
(c) 2.5B Euros (13% of GDP)
(d) -3.0B Euros (-15% of GDP)
(e) -7.5B Euros (-39% of GDP)
Now let’s work through the answers, in steps:
(a) The 17B figure was calculated assuming the bailout would provide 7B for the banks. The final number provided not a s
The Cyprus (Self) Bailout - Time To Dig Deep
Watching the Eurogroup conference call, the agreed plan appears to be:
1. Laiki is resolved via good bank / bad bank, with uninsured depositors (4.2B) most likely losing everything (along with shareholders and bond holders).
2. Bank of Cyprus will have a bail-in of uninsured depositors, with them losing between 30-40% most likely. Shareholders and bond holders will be wiped out.
3. Troika will lend 10B to the Cypr
Cyprus Bailout: Stupidity, Short-Sightedness, Something Else?
By Cyprus.com Editors - Antonis Polemitis and Andreas Kitsios
A quick run-down on the impressively stupid handling of the "Cyprus bailout" by the EU.
And, before we go on, we should note that the on-the-ground situation for visitors and tourists is perfectly fine – Cypriots are not prone to rioting and even though the banks are closed, the ATMs still work. We are all at work and things are otherwise proceeding normally.
UPDATED: What do we do now
What Do We Do Now?
Cyprus.com Editors - Antonis Polemitis, Andreas Kitsios
Yesterday, we discussed why we thought the combination of an across-the-board bank levy (regardless of institution health), in absence of restructuring the capital structure of banks was a bad idea and bad precedent.
Today, we will lay out what we think should happen. We recognize that we are working with more limited information than the teams actually negotiating the bailout, but we will give it our best shot.
Run at the Limassol Marathon with Cyprus.com!
Cyprus.com is a proud sponsor of the 2013 Limassol International Marathon on March 24th and as part of the support, we will be running in the 5K Corporate Race with a team of up to 20 people, including Cyprus.com members who would like to participate!
In 2011, the Cyprus.com team earned 3rd place at the Limassol Marathon 5K Corporate Race and this t