Cyprus Exempts Capital Controls on 2 Lebanese Banks
Cyprus authorities have dropped controls on money transfers and withdrawals for international clients of four foreign banks with branches or subsidiaries in the bailed-out country.
The Finance Ministry said in a statement Friday that the exemption extends to the Cyprus branches of Lebanon's BLOM Bank, the Lebanese and Gulf Bank, Russia's OJSC Promsvyazbank and Russian Commercial Bank.
However, limits which include a daily withdrawal cap of 300 euros still apply to the banks' domestic clients.
Cyprus imposed the limits in March to prevent a bank run after it agreed on a 23 billion euro ($30 billion) bailout deal with its euro partners and the International Monetary Fund.
The deal's terms demand that large depositors in the country's two biggest banks take substantial losses on their savings.
Source: Associated Press
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