Press Release

Back21/03/2013

Statement by the Conference of Presidents on the Cypriot banking sector.

 


Following the Open Conference of Presidents meeting in the European Parliament on 20 March 2013 on the outcome of the Spring European Council where the issue of the Cypriot banking sector was raised, European Parliament President Martin Schulz, on behalf of the majority of political group leaders in the European Parliament Conference of Presidents - Joseph Daul (EPP), Hannes Swoboda (S&D), Guy Verhofstadt (ALDE), Rebecca Harms and Daniel Cohn-Bendit (Greens/EFA), and Martin Callanan (ECR), made the following statement:

"On the Cypriot banking issue, the Conference of the Presidents is deeply concerned and takes the position that deposits of less than €100,000 should be exempt from any levy. A fairer and sustainable solution for the Cypriot people must be found. We need a European solution to the Cyprus problem, not an external one. Ordinary people's savings should not be used to bail out the banking sector.

The Eurozone banking system is undergoing a radical overhaul with the establishment of a banking union and a single supervisory mechanism. The situation in Cyprus underlines the need for these to be put in place as soon as possible. Direct EU supervision over Eurozone banks will be key in ensuring that crises similar to the one in Cyprus are avoided.

We regret the lack of transparency and democratic accountability in the original solution proposed by the Commission, IMF and the ECB for Cyprus. Eurozone finance ministers also must take responsibility for this original solution for the Cypriot banking sector. The proposed solution was taken behind closed doors in the early hours of the morning without proper reflection on the consequences for ordinary people. Yet the 'blame-game' on whose proposal this was only serves to undermine confidence in the EU."

For further information:
Pedro López de Pablo, Head of the EPP Group Press and Communications Service, Tel: +32-475-493352


Notes to Editors:
The EPP Group is by far the largest political group in the European Parliament with 270 Members and 3 Croatian Observer Members.