Cyprus lifts restrictions on another foreign bank

Cyprus ends capital controls on international clients of Beirut-based BankMed

Associated Press

NICOSIA, Cyprus (AP) -- Cyprus has lifted restrictions on money withdrawals and transfers for international clients of Beirut-based BankMed.

A Finance Ministry decree issued Friday raises the number of exempted foreign banks to 15, although limits, such as a 300 euro ($385) daily withdrawal cap, still apply to clients residing in Cyprus.

Cyprus enacted the controls in March to prevent a bank run after a 23 billion euro ($30 billion) rescue package it agreed with its euro area partners and the International Monetary Fund forced depositors with over 100,000 euros in the country's two biggest banks to take major losses on their savings.

Cypriot authorities have eased restrictions over the last two months and say they will fully lift them once confidence in the banking system is restored.

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