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Cyprus Bailout Likely to Be Close to 10 Billion Euros

Friday, 15 Mar 2013 | 11:50 AM ET
Cyprus, Episkopi Bay
Maurice Smith | Photononstop | Getty Images
Cyprus, Episkopi Bay

The size of an international bailout for Cyprus is likely to be close to 10 billion euros ($13 billion), euro zone officials with insight into negotiations on the package said on Friday.

The bailout for the Mediterranean island, which applied for help in June 2012, was initially estimated at up to 17 billion euros — almost as much Cypriot annual output.

But it is likely to end up much lower thanks to various tax measures that Cyprus is likely to impose to boost its revenues.

Officials said earleir this week the bailout was more likely to end up in the 10 billion to 13 billion euro bracket, but the chairman of euro zone finance ministers, Jeroen Dijsselbloem, told Dutch parliamentarians this week he would like to see the package close to 10 billion euros.

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