Some Savers in Cyprus May Lose 60 Percent

IMo, they are at least three issues with Cyprus: donor fatigue, even though the amount is tiny relatively speaking.

EU hates small islands that act as money laundering /low tax heavens.

Lastly, this: "In 2004, Greek Cypriots again defied international expectations when they voted down a United Nations-backed reunification plan they believed was unfairly weighted against them.

A few days later, the island joined the European Union and some EU leaders were left fuming at what they saw as Greek Cypriot deceit for promising to sign up to a peace deal in exchange for EU membership.

Nearly a decade later and European acrimony at the Cypriot "no" hasn't entirely dissipated. German Finance Minister Wolfgang Schaueble told the Sunday edition of German newspaper Welt am Sonntag that "Cyprus was admitted to the EU in hopes that the plan of then-U.N. Secretary General Kofi Annan to overcome the (island's) divide would be honored."

"I interpret (that) as indicating a sense of vindictiveness rather than rational, result-oriented thinking." said University of Cyprus Associate Professor Yiannis Papadakis. http://hosted2.ap.org/OHCAN/CREPnewswire/Article_2013-03-30-...