Monday, March 25, 2013

Cyprus central bank to impose capital controls

From left, French Finance Minister Pierre Moscovici, Managing Director of the International Monetary Fund Christine Lagarde and German Finance Minister Wolfgang Schaeuble speak with each other during an emergency eurogroup meeting in Brussels on Sunday, March 24, 2013. The EU says a top official will chair a high-level meeting on Cyprus in a last-ditch effort to seal a deal before finance ministers decide whether the island nation gets a 10 billion euro bailout loan to save it from bankruptcy. (AP Photo/Geert Vanden Wijngaert)

From left, French Finance Minister Pierre Moscovici, Managing Director of the International Monetary Fund Christine Lagarde and German Finance Minister Wolfgang Schaeuble speak with each other during an emergency eurogroup meeting in Brussels on Sunday, March 24, 2013. The EU says a top official will chair a high-level meeting on Cyprus in a last-ditch effort to seal a deal before finance ministers decide whether the island nation gets a 10 billion euro bailout loan to save it from bankruptcy. (AP Photo/Geert Vanden Wijngaert)

Protesters hold a banner that reads "Hands off Cyprus" during an anti-bailout rally outside European Union house in capital Nicosia, Cyprus, Sunday, March 24, 2013. After failing for a week to find a solution to a crisis that could force their country into bankruptcy, Cypriot politicians turned to the European Union on Sunday in a last-ditch effort to help the island nation forge a viable plan to secure an international bailout. (AP Photo/Petros Karadjias)

Students hold placards the ones on the right reads in Greek "we don't sell out "during a parade for Greek independence day celebrations at the southern port city of Limassol, Cyprus,Monday, March 25, 2013. Cyprus secured what its politicians described as a ?painful? solution to avert imminent bankruptcy, agreeing early Monday to slash its oversize banking sector and make large account holders take losses to help pay to secure a last-minute euro10 billion (US$13 billion) bailout. (AP Photo/Pavlos Vrionides)

Protesters chant slogans after the end of a parade for Greek Independence Day celebrations in capital Nicosia, Cyprus, Monday, March 25, 2013. Cyprus secured what its politicians described as a ?painful? solution to avert imminent bankruptcy, agreeing early Monday to slash its oversize banking sector and make large account holders take losses to help pay to secure a last-minute euro10 billion (US$13 billion) bailout. (AP Photo/Petros Giannakouris)

An elderly woman sells Greek, Cypriot, and EU flags before the start of a parade for Greek Independence Day celebrations in capital Nicosia, Cyprus, Monday, March 25, 2013. Cyprus secured what its politicians described as a ?painful? solution to avert imminent bankruptcy, agreeing early Monday to slash its oversize banking sector and make large account holders take losses to help pay to secure a last-minute euro10 billion (US$13 billion) bailout. (AP Photo/Petros Giannakouris)

NICOSIA, Cyprus (AP) ? Cyprus' president says the central bank will impose some limits on bank transactions on Tuesday, when most of the country's financial institutions reopen for the first time in over a week.

All banks except the Bank of Cyprus and Laiki are due to reopen on Tuesday morning. President Nicos Anastasiades did not specify what limitations would be imposed on transactions.

He said it was a "very temporary measure, which will gradually be relaxed."

The country's banks have been closed while politicians set up a plan to secure funding for an international bailout, after lawmakers rejected an initial scheme that would have seized up to 10 percent of people's accounts.

A deal securing the bailout was reached early Monday.

Associated Press

Source: http://hosted2.ap.org/APDEFAULT/cae69a7523db45408eeb2b3a98c0c9c5/Article_2013-03-25-Cyprus-Financial%20Crisis/id-61be277f856347beb8c2c131fa3a9c50

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