Cyprus in $300 mln Eurobond issue

The government has asked parliament to approve the borrowing of up to $300 mln (CYP 152 mln) from abroad, to cover the shortfall in the current account from 1996 after the decline in tourism ad increase in imports, a drop in exports and higher defence spending, according to the 26, 1997.

In a letter to House president Alexis Ghalanos, Finance Minister Christodoulos Christodoulou said “the foreign exchange reserves are at such a point which warrants their strengthening from such an issue.” Total public foreign debt will for 997 will now reach CYP 534 mln, or 12.3% of GDP.

The Finance Ministry is paving the way for drastic changes to the Income Tax law in an effort to give a much-needed boost to the Stock

Exchange boost:

on March

Exchange.

Investors

sue:

Angry investors are suing Paneuropean Insurance Co. for damages of up to CYP 250,000 in an ongoing dispute over Paneuropean warrants that expired last June, but failed to be converted into partly-paid shares.

Leading dairy industries will refuse all milk deliveries from the Milk Industry Organisation in a standoff with parliament over its insistence not to include dairy producers on the Organisation’s board.

No milk, no cheese: