A week after the EU and the IMF announced their bail out plan for Cyprus, it is now clear how little consideration was given to the knock on implications of the proposals. Even if they are never implemented, the ideas put forward might change the behaviour of those with funds in banks across southern Europe. But the proposals will have still wider implications – not least for Europe’s energy security.
The Russian reaction to the proposed bank deposit levy had been predictably furious. Surely someone in Brussels or Berlin could have foreseen what would happen? Did no-one realise that a good proportion of the Russian money in Cyprus belonged to people rather close to the Kremlin? Read more