Cyprus Postmortems: Part II
by Stephen Lendman
Cyprus shows the euro project failed.
On March 28, Cyrus Mail said banks opened for the first time in almost two weeks. They did so at midday local time. Cypriots face draconian restrictions. How they'll react remains to be seen.
Capital controls limit withdrawals, restrict non-cash transactions, freeze check cashing, and convert checking accounts into fixed-term deposits.
Finance Minister Michalis Sarris "signed into law a temporary decree." It caps cash withdrawals "per person per bank at 300 euros."
It "effectively ban(s) cheques and control(s) cash outflows from the country."
It permits only 1,000 euros per person to travel abroad per trip. Higher amounts require special approval.