Nicosia (dpa) - Cypriot President Nicos Anastasiades blocked the
sale of the Greek branches of Cypriot lenders on Sunday, after
negotiations between the country's creditors reached a deadlock.
Cypriot bank officials told dpa that Anastasiades made a stop-over in Athens on his way to Brussels to stop the sale, which would have off-loaded more than 5 billion euros of bad assets onto the Bank of Cyprus.
Negotiations between Cypriot officials and its potential creditors reached a deadlock late on Saturday because of the demand by the International Monetary Fund (IMF) for the country's largest lender, the Bank of Cyprus to take on the assets of the second largest lender, Laiki.
The IMF said the Bank of Cyprus had to absorb the good assets of Laiki but also take on its 9-billion euro debt as well.
On Friday, parliament had voted for Laiki to be split into a good and bad bank.
Most Popular Stories
- Toxic Algae Threatens Florida Fishing, Tourism
- Eva Mendes Gives Birth to a Baby Girl
- Hispanic Groups Lead Voter Registration Drive
- Fed Signals It Will Keep Key Rate at Record Low
- Plus-Size iPhones Live Up to The Hype
- FedEx Adding 50,000 Holiday Jobs
- Stocks Rise Before Fed Statement
- Occupy Wall Street Buys Up Student Debt
- Cool Features on Today's New iOS 8
- Kohl's Hiring 67,000 for the Holidays