The trio of potential international creditors of Cyprus (the European Union, the European Central Bank and the International Monetary Fund), according to unofficial data, rejected the plan of the Cypriot authorities to create a Solidarity Investment Fund, secured by pension reserves and future income from natural gas production. The Greek newspaper Kathimerini reported that the President of the Republic, Nikos Anastasiades, held talks on this issue with representatives of the Troika this morning and, apparently, did not receive a positive response.

Photo: Global Look Press

Let us recall that the plan to create a solidarity fund was put forward the day before by the leaders of political parties in Cyprus. According to this plan, the fund will raise funds on the market secured by state assets, pension reserves, property of the Cypriot Orthodox Church and future income from exploration and production of natural gas on the island shelf.

Today, the head of the European Commission, Jose Manuel Barroso, during a joint press conference with Russian Prime Minister Dmitry Medvedev , said that the European Union (EU) has not yet received a final proposal from the Cypriot authorities to save the country’s economy.

“The Cypriot authorities have communicated the need to develop an alternative solution, but the latest information I received is that they are not yet ready to formulate a final proposal, we have not received it yet,” he said, noting that the European Commission is ready to consider this decision and will try to do everything possible to resolve the situation in Cyprus.

In addition, J.M. Barroso emphasized that it is Cyprus and the Eurogroup that must make the final decision on methods to save the island’s economy.

In turn, D. Medvedev said that Russia will be able to return to the issue of resolving the financial problems of Cyprus after a final scheme for supporting the republic from the European Union has been worked out.

“Only in this case will Russia be able to join this process,” Dmitry Medvedev said, emphasizing that the Russian Federation “has not closed the door” in discussing its participation in the rescue of Cyprus.

The Troika rejected Cyprus' proposals