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  • Deposits over €100K at the Bank of Cyprus will be taxed at 62.5%, sources tell Reuters. The figure is far greater than officials originally indicated. Customers will get 37.5% of their deposits over the €100K threshold in bank shares while the remainder of their cash "may never be paid back."  [View news story]
    I honestly cannot understand how some people form an opinion about a country they (most probably) never heard of, only by listening to the media and reading what the Germans feed the news. First of all, most of these (>100k) accounts that are cut are also pension funds and charity funds. These are the "rich guys". Second, Cyprus economy is based more on providing services, due to its friendly corporate environment. I don't understand what do the "hard working" europeans expect from the countries of the South, since their centralized and German-controlled policies have made it impossible to compete with them in all industries. It is obvious that they just want it all. This is why German banks are now begging the "dirty" Russian funds to flow to their system. Lastly, you should be more careful when talking about a country you barely know. Cyprus is a country half-occupied by turkey. 40 years ago it suffered an invasion and since then some people are waiting to go back to their homes. Nevertheless, after the war Cypriots worked hard and managed to have a prestigious and strong economy that (sadly) entered the eurozone WITHOUT any funds from the EU (Cyprus were among the countries that contributed to EU). The only problem was that the banking system grew up too large for the "small" Cyprus economy. This still would not be a problem if the "hard-working" europeans did not force the Cypriot banks EUR4.8 bln losses (amount of their recapitalization) on the Greek gvt debt by forcing them to participate in the disastrous PSI. I can write for hours but this is not my intention. At least, before expressing your opinion do some research and don't just believe whatever information they feed you.
    Apr 1, 2013. 06:00 AM | 3 Likes Like |Link to Comment
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