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€500m withdrawn from co-op in one week

July 7, 2018 at 12:09pm
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A mini bank run on the Cyprus Co-operative Bank has led to the withdrawal of €500m in the past week, with all eyes on the House plenary on Sunday that will vote on state guarantees for Hellenic Bank’s deal with the CCB and changes to the NPls framework.

The €2.6b in state guarantees to Hellenic for potential losses, integral to the agreement with the CCB to go ahead, is expected to secure a majority  in the House.

The other bills on a tougher legislative framework on NPLs have been under scrutiny by the House Finance Committee with Opposition parties seeking to secure a number of amendments  which could determine the fate of the package.

DIKO last night decided to vote in favour, while reiterating calls for  resignations. Although it did not specify, it said that those responsible at the political and supervisory level for ‘blackmail of society” should go.

The past week has been bad for the co-op which bled deposits of some €500m, bringing its cash reserves to some €1.1b.