Cyprus is considering the possibility to set up an investment bank aiming at attracting possible German assistance to Cyprus, Government Spokesman Christos Stylianides has said.
Responding to a question, following a Council of Ministers meeting, Stylianides said the government is considering all possibilities, which could increase liquidity to the Cypriot economy, which received a major blow following a €10 bailout agreement, reached with the Troika of the European Commission, the European Central Bank and the IMF last March, which featured haircut on uninsured banking deposits as well as capital controls which hampered financial activity.
Noting that there are examples such as Spain where following German financial assistance a special bank has been established to service a German loan with favourable terms and particularly interest rate and repayment period, Stylianides added that “the government is ready to examine all possibilities.
He revealed that this possibility has been discussed during a meeting between Cyprus President Nicos Anastasiades and German Chancellor Angela Merkel, noting however that this issue is still been examined.