Fin Min Shiarly wants to avoid tough measures likely to be handed out by EU chiefs in exchange for a bailout it requested in June, but admits there are considerable differences on some issues remaining as Troika officials wrap up a 2nd visit to Cyprus. Cypriot officials feels such harsh measures would likely trigger social and industrial unrest.
Measures include cutting state payrolls by around 15%, shaving 10% off welfare benefits, privatization of semi-governmental bodies and raising VAT which has already been hiked to 17% from 15%. Troika is apparently looking at an increase to 20%.
EU, ECB and IMF officials are scheduled to returnto Nicosia in September.
More… ekathimerini.com
