A loan worth 2.5 billion euros that Russia recently extended to Greek Cyprus might not be enough to save the debt-stricken economy, a national daily reported Oct. 7.
“The Russian credit will not be sufficient enough to secure [the Greek] Cyprus economy,” said daily Politis, adding that the measures to slash public spending had been far from effective in practice.
The paper also said the Greek Cypriot government needed approximately 350 million euros to pay its debts and an additional 200 million euros to pay salaries by the end of the month.
Noting rating company Standard & Poor’s recent announcement that it would re-evaluate Greek Cyprus’ economic situation, Politis said the unemployment rate had jumped by 157 percent in the last three years.
Unemployment peaked at 29.93 percent in September, according to reports.
The International Monetary Fund will announce a report on the Greek Cypriot economy on Oct. 12 following a series of meetings with officials at the Central Bank, businessmen and representatives of employment organization.