Cyprus has no desire to leave the Euro

Cyprus President Nikos Anastasiades assured the public servants that "we will not experiment with the future of our country" by withdrawal from the Euro zone.

He said that under the current situation in the country tragic - that the bail-out "to prevent the risk of" bankruptcy.

Mr. Anastasiades, known for his fiery temper said threatened to exit the Euro during the fraught with all-night talks on Sunday, which is the result of a transaction causing heavy losses on uninsured depositors of the island's two largest banks in the country.

Cyprus President Nikos Anastasiades

Category: Finance Viewing 2386 | Added in June 11, 2013

10 Responses

  1. avatar goldberg Says:
    June 11, 2013

    No intentions of leaving the Euro?,this from the man who will not be in power come the next elections, he is just another Euro lacky who will be looked after pension wise,like the rest of the European scumbag politicians.

  2. avatar paulw Says:
    June 11, 2013

    There will be another EU lacky in the wings ready to be bussed in for when the current incumbent is tossed out.

  3. avatar Alex Says:
    June 11, 2013

    Exactly

    what do you know about Cyprus? 

    We had a left wing commie village idiot (familiar) running the country for 5 years. Anastasiades has been President for a month, in that time he has been highjacked by the Friday Night Massacre organised by the German, Finnish, Dutch gang of 3. He did what he was forced to do in order to secure some stability for his people in a very bad situation. He also took a 25% pay cut this week. It is left wing, low information

    people like you that cause more trouble than your worth. Take your bile and spite back to where it came from.

  4. avatar jctrichet5 Says:
    June 11, 2013

    You don't get it and  as an isolated narrow minded little englander you will never get it. We love the Euro, we will stick to it and nobody will leave. That's what the people want and they voted for. So bugger off and if i were you i would be more interested in the welfare of my own country rather than bashing and trashing someone else's

  5. avatar slyblade Says:
    June 11, 2013

    jctrichet5, We would love nothing better than to bugger off, and hopefully in 2015 when we get rid our EU appeasers we intend to do just that.

    But in the mean time may i remind you we are paying £53 million a day to support the EU, which in turn supports the rest of the EU, something Cyprus has benefited from as a net receiver of EU finance.

    I wouldn't be to hasty in calling us names, you shouldn't bite the hand that feeds you.

  6. avatar oldschool Says:
    June 11, 2013

    You may well love the euro but it is quite clear that the project is not working as intended, i.e. bringing prosperity to the people of the EU, as shown by the financial upheaval in the PIIGS and now Cyprus, with all facing mass unemployment.

    All talk of deeper integration has cooled and Germany is dead set against debt pooling and fiscal transfers, all of which are needed if the euro project is to succeed.

    After the Cyprus fiasco serious investors will not invest in the EZ and therefore, unless major reforms are carried out, the EZ will continue to lurch from crisis to crisis.

  7. avatar toby roberts Says:
    June 11, 2013

    jctrichet5You make a fair point - in effect, that most Europeans may still want the EU and even the euro - but there are two issues you  fail to consider. 

    The first is political: the EU is not a democratic organisation. Power resides primarily in an unelected and unaccountable Commission, which voters cannot remove. And the EU has a habit of simply ignoring referendums that it doesn't like. This is, in effect, government by a self-appointing political elite. For this reason alone, the EU is not the sort of organisation to which democratic nation states should be ceding increasing portions of their sovereignty. 

    Secondly, the euro crisis was predictable and, in fact, was widely predicted. The euro is now devastating the economies of southern Europe. It is a mystery to us Brits why the EU remains in denial about this. Because the PIGS are stuck with an overvalued currency, the only way they can regain competitiveness is through a massive reduction in labour costs. That means not just lower wages, but also lower social costs - health, education, welfare and so on. The effect of that could ultimately be widespread civil unrest. And this civil unrest would occur in a group of countries all of which have relatively recent histories of far-Right or military dictatorships. There is a real risk - I do not think this is an exaggeration - that the euro could end up precipitating exactly the sort of Europe it was designed to prevent. 

    If that sounds too dramatic for you, here is a prediction that seems to me not just probable, but inevitable: this is not the end of the Cyprus crisis, but the beginning. There are only two ways forward. As it cannot devalue, in order to stand on its own feet, Cyprus will have to reduce its wages and social spending to a level comparable to Turkey's, or even Egypt's, which will probably result in regular riots. Failing that, this will be just the first of an unending sequence of bail-outs, as the rest of the eurozone finds itself obliged to pick up the annual bill for Cyprus continuing to live beyond its means.

  8. avatar McQueue Says:
    June 11, 2013

    Good to hear you all love it; that sure saves a lot of time and effort with referenda and so on - well done, JC, you are so admirable and yes, terribly rude of us to discuss anyone but ourselves, how very impudent of us.

  9. avatar haphaestus Says:
    June 11, 2013

    jctrichet5, how much are your masters in brussels paying you. Change your name to Judas5, it would be more appropriate, but your fate will remain the same.

  10. avatar Lyree Says:
    June 11, 2013

    1. Sorry who voted for the Euro again? Because here in the UK we haven't had a say on any EU matters since 1975, so forgive us if we're somewhat annoyed.  Also you're comment about bashing someone else's country is sheer hypocrisy.

    2. The Pound devalued against the Euro because it was a new currency and the markets fluctuated to accommodate it's value.

    3.  Ireland had GDP growth of ~1%? Is that supposed to be impressive? Greece had GDP growth of -6.9% in 2011. Spain and Greece have unemployment rates of in excess of 25% - the Euro is toxic to these countries. 

    4. No more trading of the Euro in London? Are you for real? Currencies are traded all over the world, London is just a bigger financial hub than anywhere else in Europe, something which the other European countries hate - I may also add that the suggested Tobin tax and implemented banker's bonus caps are direct attacks against the City of London. 

    6. Oh boy, firstly the Queen is the head of state and represents tradition whilst holding no power. Secondly, the house of lords only has the ability to read and if necessary hold up legislation, not pass it. Thirdly, the Bank of England isn't an independent institution just ran by a Governor. And finally, we voted for the Conservative party back in 2010, so around three years ago. The EU however, we voted for back in 1975, when it wasn't even called the EU.

    7. The last remnants of the Empire went decades ago in a peaceful manner, I believe it's France that has been intervening in it's colonial past, not Britain. I also believe that it was our Prime Minister, David Cameron, who successfully halted the budget expansion of the EU - and yet we have no say according to you!

    8. The EU countries are floundering, the Netherlands has had a triple dip recession, the UK has not. Only Germany is keeping it's head above the water and that's thanks to the Euro. A Euro which is weak for Germany so it can export vast amounts of it's goods, and too strong for south Europe to compete with it.

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