NICOSIA - President Anastasiades has told Swedish TV that he does not expect the House to approve a bill allowing a levy on bank deposits.
The Finance Ministry earlier announced changes to the planned levy on deposits in Cyprus bank accounts as part of the bailout plan for the island.
Under the new changes, there will be no levy on deposits up to €20,000. From €20,000 to €100,000 the levy will be 6.75%. Above €100,000 the levy will be 9.9%. The levy will be based on accounts as they stood on March 15.
In return depositors will be given shares convertible into bonds secured by anticipated revenue from the Cyprus gas reserves.
The House Finance committee has now convened to discuss the matters.
Central Bank Governor Panicos Demetriades was quoted by the Associated Press as saying that there should be no levy at all on deposits under €100,000. He also said he expected around 10% of deposits to be withdrawn when banks reopen.