“Cyprus’s government continues to implement its decisions related to strengthening the Cypriot economy, which stands on sound foundations, and when the time comes, final decisions will be taken, always in a dialogue, fine-tuning a cooperation with the EU,” the Mediterranean island’s government spokesman said. Lawmaker Nicholas Papadopoulos told reporters in Nicosia on Thursday after the Parliament’s finance committee hosted the chairman of Cyprus Popular Bank, Michalis Sarris, in a closed meeting, that “the bank continues to face some difficulties related to its recapitalization,” without giving further details.
The island’s government decided in May to underwrite the issue of 1.8 billion euros in preference shares of its second-largest lender, Cyprus Popular. State-owned radio CyBC reported on Thursday that it cannot be ruled out that Russia’s financial aid to Cyprus may be accompanied by the demonstration of interest by Russian entrepreneurs to invest in Cypriot banks. [Ekathimerini.com]