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Old 03-26-13, 10:27 AM   #7
Bilge_Rat
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Join Date: Apr 2002
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Quote:
Originally Posted by Jimbuna View Post
Tighter controls including weekly limits on cash withdrawals and export limits on Euros are being introduced.

http://www.bbc.co.uk/news/business-21936554
What did they expect? the Banking system in Cyprus is dead. Everyone will pull all their cash out as soon as they can.

I have some clients that have had cash frozen in Cyprus, not Russians, but legitimate businesses. Many Canadian businesses use Cyprus companies when investing in Europe because of the favourable tax treaty networks. Now, they are all planning to completely shut down and pull all of their operations from Cyprus. As one said, how can you ever trust the Cypriot government again?

In a more worrying development, many are thinking of pulling out of Europe altogether since if the ECB does this in one EU country what garantee is there that any European Bank is safe?
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