Cyprus hurries to renegotiate controversial bailout

Cypriot officials are attempting to renegotiate the terms of its €10bn bailout to limit the pain for small account holders, according to reports.

The island agreed a controversial bailout deal over the weekend that will see it seize €5.8bn in local bank deposits, a move which sparked surprise across the continent. But the plan, which involved a 9.9% levy on deposits over €100,000 and a 6.75% levy on deposits below that level, is now being reconsidered, reports suggest. Policymakers are now considering lessening the burden on small deposit holders, with international lenders pushing for an exemption for those with less than €100,000. Cypriot officials remain wary of increasing the levy on large deposits, however, for fear of ...