As banks opened their doors Thursday for the first time in nearly two weeks in Cyprus, the odyssey over the nation's financial crisis and ensuing bailout took its newest turn. If you haven’t followed the economic drama in this Mediterranean island, here’s a recap of how Cyprus came to preoccupy the Eurozone.
June 25, 2012: Cyprus seeks a bailout after suffering heavy losses. Its banking sector was hit by the economic crisis in Greece; Cypriot banks had made loans to Greek borrowers that were worth 160% of the island's gross domestic product, according to the International Monetary Fund.
Nov. 23: The European Union reports progress toward a deal with Cyprus.
March 16, 2013: The EU and the IMF agree on a bailout for Cyprus, but hitch the deal to Cyprus raising billions of dollars of its own money by levying taxes on bank deposits -- a deeply controversial idea. Wealthy Russians who banked in Cyprus were among those infuriated by the plan. Banks are closed.
March 19: Cypriot lawmakers reject the bailout plan. Before the vote, the deal was revised to spare deposits under $26,000 from the tax, while imposing a onetime tax of 6.75% on savings of $26,000 to $130,000 and taxing higher savings at 9.9%. The idea still fails to sway opposition politicians.