Cyprus Bailout | Charities and Educational Institution Suffer Haircut

haircutCyprus Bailout | Charities and Educational Institutions Suffer Haircut

Previously it had been thought that Charities, Insurers and Educational Institutions would escape having their deposits used as part of the south’s bailout. This now appears not to be true and that a 27.5% levy will be applied to their deposits above €100,000 at the affected banks.

The implication of this cut is unknown, apart from the cut to charity funds hitting some of the weakest in society. Many of those hit are complaining that they had a feeling that banks were having problems but when they tried to withdraw their funds, before the bailout, they were prevented from doing so. Those who accepted this refusal ended up losing money while those who persisted managed to save themselves from the disaster to come.

When it comes to trying to apportion blame it has always to be remembered that when you point a finger, three fingers point back at you.

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