EU either bail them out with a trivial sum or risk catastrophic bank runs that may spread.
They can risk it by letting Cyprus fail assuming it is too small to matter, but that's a gamble I think the EU is not willing to attempt.
Oh, and it is interesting that the original plan to take money from all the savings accounts has been unanimously rejected, even by the people who created the plan. So Cyprus politicians essentially realised they messed up and is back-peddling as fast as they can.
But the damage is done. There will be a bank run, the week long banking holiday and counting, makes sure of that.
Last edited by Vallen Chaos Valiant; 2013-03-22 at 10:28.
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