Cyprus' parliament to fast-track austerity measures

Nov 30, 2012, 12:49 PM EST
A woman buys goods at a open air market on November 24, 2012 in Nicosia. The European Commission, European Central Bank and International Monetary Fund said the day before in a statement there had been 'productive discussions' with Cyprus on the 'policy building blocks of a macroeconomic adjustment programme.' Cypriot President said his team and the so-called troika had 'reached a convergence on the proposals which will formulate the loan memorandum between Cyprus and the European Stability Mechanism (ESM).
AFP/Getty Images

NICOSIA, Cyprus (AP) — Cyprus' finance minister is urging lawmakers to approve a raft of spending cuts and tax hikes agreed with international creditors by Dec. 13, when the other 16 EU countries that use the euro are expected to discuss a bailout deal.

Vassos Shiarly says the only element left to determine in the bailout accord with the 'troika' of the European Commission, the European Central Bank and the International Monetary Fund is how much cash Cypriot banks need. The banks need to replenish their reserves after taking huge losses on bad Greek debt and loans.

Shiarly says Friday that a preliminary figure will be issued on Dec. 7 and the formal sum will be known by mid-January.

Cyprus' Central Bank Governor Panicos Demetriades says that amount won't exceed 10 billion ($12.99 billion).

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