Gazprombank initiates Cyprus restructuring plan

Russia’s Gazprom has not offered the Republic of Cyprus financial assistance in restructuring the country’s banks in exchange for the right to gas production in the exclusive economic zone of Cyprus. Gazprombank initiated this offer, a spokesman for the gas giant told Tass. Itar-Tass has failed to get an immediate commentary from Gazprombank as of yet. Cypriot Sigma TV reported on Monday that Gazprom had offered a plan, in which the company will undertake the restructuring of the country’s banks in exchange for exploration rights for gas in Cyprus’ exclusive economic zone. This scenario will make it possible for Cyprus not to impose levies on bank deposits up to 9.9 percent in accordance with a loan agreement with the European Union. According to Sigma TV, the proposal that came to the office of President Nicos Anastasiades late on Sunday, envisages Gazprom’s substantial control over the country’s gas resources. It says referring to a source close to the Cypriot president that Anastasiades is not going to discuss that plan as he seeks the solution to the problem within the framework of the European Union. Earlier reports said 12 promising blocks with oil and gas reserves were discovered on the Cypriote shelf. The anti-crisis program for Cyprus passed in Brussels on Saturday envisages a ten-billion-euro rescue package, as well as the imposition of one-time levies on bank deposits for all depositors of the country’s banks. The originally proposed levies on deposits are 6.75 percent for accounts under 100,000 euros and 9.9 percent for accounts exceeding this sum.