Cyprus further eases restrictions on capital transfer

Cypriot authorities further eased restrictions on capital transfer out of the country, according to a decree to come into effect on Monday.

The decree, to be valid for three weeks, allows individuals to transfer up to 1 billion euros (1.05 billion U.S. dollars) per month, up from 50,000 euros.

But travellers cannot physically transfer more than 10,000 euros per trip abroad.

The latest relaxing of capital control lifts almost all restrictions introduced in March, 2013, as part of a recapitalization scheme.

Cyprus was offered a 10-billion-euro bailout by the Eurogroup and the International Monetary Fund, but was forced to cut down the size of its banking system which was seven times larger than its annual economy.

The decree, issued by Finance Minister Harris Georgiades, will be reviewed in the first week of April.

Central Bank of Cyprus governor Chrystalla Georghadji said last week that all capital controls are expected to be lifted before the end of the first quarter of this year. Endit