Cyprus will not leave the European single currency and bank controls will be lifted in future, according to the country’s President Nicos Anastasiades. The president’s comments come after 10bn euro (£8.45bn) bailout deal with the EU and IMF. Nicos Anastasiades, however, refrained from specifying the time frame for the lifting. Cyprus banks opened on Thursday for the first time in nearly two weeks amid severe new rules imposed as part…

Cyprus bailout deal has become a reality with the country securing a 10bn euros (£8.5bn) EU bailout which will effectively save the country from bankruptcy and help its banking system stay afloat. In return for the rescue funds, Cyprus must restructure its banking sector under an EU-IMF plan approved by eurozone ministers earlier today. The Cyprus bailout deal will see the closure of country’s second-largest bank, Popular Bank of Cyprus,…

Cyprus Popular or Laiki Bank has imposed cash withdrawal restrictions to prevent it from going bust as angry customers queued up at ATMs to withdraw cash. The cash withdrawal restriction means that customers will not be able to withdraw more than 260 euros (£221) a day from cash machines, as MPs ask for more time to reach a deal to save Cyprus economy. With banks closed until next week in…

Cyprus bailout has sent stocks across the world crashing down and led to a rise in the borrowing costs. The UK stock market followed other European stock markets lower when trading began in London, falling 1.6% in the first few minutes to 6,390, as investors tried to absorb the impact of this bailout. While Asian market was first to succumb to a fall with the Nikkei in Japan closing 2.7%…

Eurozone recession is said to continue throughout 2013, and growth is not expected to return until 2014, the European Commission said, painting a bleak picture for the year. The Commission also reversed its prediction for an end to recession this year, blaming a lack of bank lending and record joblessness for delay in the UK economy’s recovery. The eurozone, which encompasses 17 nations and generates nearly a fifth of global…

The eurozone crisis intensified as Spanish economy fell deeper into recession in the fourth quarter of 2012 as budget cutbacks and increased unemployment forced households to cut spending, it emerged today. Spain, the eurozone’s fourth largest economy, reported that its GDP fell 0.7% in fourth quarter of 2012, which was more than double the rate of contraction in the previous quarter, and worse than the predicted 0.6% drop by Bank…

Unemployment across the 17-nation eurozone scaled new heights in July with 18 million or 11.3%, the highest since the launch of Europe’s monetary union in 1999, according to Eurostat, the European Union’s statistical office. The statistics reveal that 22.6% of unemployment was seen among under 25s. The total number of people who turned jobless in July increased by two million, as compared to the same period last year. The sharp…

As revealed by the latest statistical reports, the rate of unemployment in the eurozone has risen to a record high in May amid an increasingly weakened manufacturing sector. Figures churned out by EU statistics body Eurostat, a staggering number of 17.56 million people do not have any jobs at the moment, which amounts to an unemployment rate of 11.1%. Experts say the latest data represent a bleak picture for the…

Unilever has announced the closure of sites in England and Wales, causing 800 layoffs, as the company suffered under “very tough” economic conditions owing to the ongoing eurozone crisis. The British-Dutch business behind the Pot Noodle and PG Tips brands has decided to close factories in Swansea and Slough, a distribution site in Bridgend, south Wales, and an office in Ewloe, north Wales. The company plans to offset with an…

Spain becomes the fourth nation in Europe to seek bailout on Saturday when European policy leaders will agree upon a package to save its crippled banking sector. The move came less than 24 hours after the ratings agency Fitch slashed Spain’s credit worthiness by three notches to just above junk status and warned that its estimate of the cost of a bank bailout had doubled to €60 billion (£49 billion)….