Finmin rules out Cyprus-style ‘haircut’ in troubled EU economies

Stournaras seemed positive that the Cyprus bailout would not be used as a template for countries other than Cyprus, replying to fears originally sparked by the head of the Eurogroup Jeroen Dijsselbloem in his original statements about the EU plan.amna

Under a barrage of questions, the finance minister said that he had briefed the president on the two crucial meetings between Eurozone finance ministers concerning the bailout, stressing that the “Eurozone is not insecure” and that the meeting had stressed that the specific solution will be used in Cyprus.

Asked whether there might be a haircut of deposits if “circumstances demanded”, the finance minister ruled out such a possibility and repeated that the proposed plan “was discussed only for Cyprus, whose banking system is unique case”.

Source: ΑΜΝΑ