Published March 24, 2013
NICOSIA, Cyprus – Cyprus' central bank has imposed a daily withdrawal limit of 100 euros ($130) from ATMs of the country's two largest lenders, Bank of Cyprus and Laiki, to prevent a bank run by depositors worried about their savings.
The limit went into effect Sunday.
Laiki is to be restructured as part of a plan for Cyprus to raise enough funds to allow it to qualify for an international bailout. The bank had already imposed a limit of 260 euros earlier in the week after its ATMs were swarmed by alarmed customers. Bank of Cyprus also is likely to be involved and big savers in both could lose a portion of their money.
All Cypriot banks have been shut for the past week, but ATMs have been disbursing money.