The president of Cyprus said the risk of bankruptcy has been contained and the country has no intention of leaving the euro.
Conservative leader Nicos Anastasiades spoke Friday, one day after banks reopened following an almost two-week closure aimed at averting a run on deposits that could have derailed the country’s banking system, Reuters reported.
The country’s banks were shuttered while the government negotiated a $13 billion international bailout. They reopened Thursday, but with severe restrictions: Customers are limited to 300 euro withdrawals per day and are prohibited from cashing checks. People leaving Cyprus will be allowed to take no more than 1,000 euros with them.
Anastasiades said the restrictions would be gradually lifted. He gave no time frame.
The country’s foreign minister, Ioannis Kasoulides, said most restrictions would be lifted within one month.
The government initially said the controls would remain in place for a week, subject to review. Economists say they will prove hard to lift as long as the economy is in crisis.