Capital flight continues as savers flee Cyprus banks

Capital flight continues as savers flee Cyprus banks

 Savers are continuing to desert Cypriot banks, according to monthly data published by the European Central Bank (ECB) on Wednesday (29 May).
Private bank deposits in Cypriot banks fell by 7.3 percent in April to €41.3 billion, on top of a 4 percent fall in March.
The continued flight of capital from Cyprus in April came in the aftermath of a clumsily agreed bailout in March which initially threatened to impose levies on almost all bank savings.
The first bailout package agreed by eurozone finance ministers in the Eurogroup would have imposed a 6.75 percent levy on all deposits worth between €20,000 and €100,000 - a clear breach of existing EU law which protects savings worth up to €100,000.