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6 May 2013
Russia extends loan to Cyprus
FXstreet.com (Barcelona) - A Troika document released today reveals that Russia has agreed to a two-year extension on its loan to Cyprus. It has also decided to reduce the interest by 2%.
The EU, ECB and IMF officials stated that Cyprus had fulfilled all the requirements for the release of the first tranche of the 10 billion euro bailout, with which the international lenders will proceed in May. The loan extension from Russia provided additional financial support for the distressed island.
According to the document: "Reassurance has also been obtained from the Cypriot authorities that formal agreement has been reached between the Republic of Cyprus and the Russian Federation on an extension by two years of the maturity for the Russian loan, which will be reimbursed as of 2018, and a reduction of the interest rate from 4.5 percent to 2.5 percent."
The EU, ECB and IMF officials stated that Cyprus had fulfilled all the requirements for the release of the first tranche of the 10 billion euro bailout, with which the international lenders will proceed in May. The loan extension from Russia provided additional financial support for the distressed island.
According to the document: "Reassurance has also been obtained from the Cypriot authorities that formal agreement has been reached between the Republic of Cyprus and the Russian Federation on an extension by two years of the maturity for the Russian loan, which will be reimbursed as of 2018, and a reduction of the interest rate from 4.5 percent to 2.5 percent."