BensGrandad
New member
How will the money problems in Cyprus affect the general living and more important for us the tourists. I am going there in June so obviously concerned about prices the EU etc.
You may well be right BG, it will change the place though, already far too many Russians there, wonder what effect it will have on the expat community, over 25k Brits there alone.
The Government has just voted against the bailout rules set down by troika in the last hour. They are currently looking into other solutions which don't involve steeling our savings.
Tourism forecasts for this season are up and many plans are in place to help tourists avoid getting ripped off. We've learned from our mistakes from making a quick buck from overcharging and finally the government has realised how important revenue is from this sector so you have nothing to worry about.
Seems like the CY government has voted against the levy anyway. The talk is the banks will now go bust, how will that affect the depositors €10K or €100K, I doubt it will be any better for them. Now it is a problem for the public, whereas previously it wasn't.
I would agree that they seem to be moving away from European tourists towards Russian but they do not spend the money in the bars restaurants etc that the Europeans do, only it seems in the strip joints.
well, in theory at least, those with under 100k will be guranteed their cash is safe. the risk is on those with more, but of course if there's too much of those deposits that the bank cant write off and the Cypriot government cant back up (which it cant as it skint), the banks go bust, the <100k depositors get first dibs sharing whatevers left, or the ECB/Bundesbank bail out the whole lot. which was exactly what they wanted to avoid. anyone could see this is where this course of action would lead, people are calling it a black swan but any analysis would have seen a mile away.
If the government want to take your savings they will, it could happen here. They will rifle bank deposit boxes and steal assets if it suits them
Unfortunately, for many Brits, Cyprus has been spoiled by overdevelopment, and high prices.
Shame, because it's a beautiful place, with really friendly people. We spent many happy holidays there, when Protaras was a tiny village, without the drive thru McDonalds etc...
Too many Russian tourists was one of the reasons we stopped going there.
They really have to be the rudest race I have ever met
of course, but in doing so trash the economy so its pointless (well, unless going for the full socialist revolution, but that requires a bit of popular support). there will be a run on the cypriot banks, and the irony is those with the most will simply do so electronically while the poor Lucas will be queuing up. not sure this is quite what they wanted in Greece and Spain, its what they've spent 4 years trying to avoid. depends on how "they" are, some have long advocated bankruptcy and recovery that way.