Cypriot Banks In Greece Open March 26

Branches of Cypriot banks in Greece that have been closed since March 25 to prevent withdrawals until the island’s goverment finalized a bailout with international lenders, will open as normal on  March 26 following the agreement between their parent companies, Bank of Cyprus and Cyprus Popular Bank (CPB,) and their new owner, Piraeus Bank
Piraeus will become Greece’s second-biggest lender (behind National) after absorbing the branches, assets and portfolios of BoC and CPB in Greece plus the 29 branches of Cyprus’s third-largest bank, Hellenic, according to the agreement reached in Nicosia.
Despite temporary problems that the delegation of Piraeus officials faced in their negotiations with the Cypriot lenders, the deal was concluded after the Eurozone decision for the Cyprus bailout.
The agreement allegedly safeguards all deposits at the three Cypriot banks’ Greece-based branches, whose deposits will not be subject to a haircut, even those over 100,000 euros ($130,000) as is happening in Cyprus, the Greek government said. There was no word on whether withdrawals would be limited as in Cyprus.
The branches will be recapitalized with 1.5 billion euros ($1.92 billion) before Piraeus absorbs them into its group. The deal is also pending the formal approval by the Greek and European regulatory authorities.

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