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Cypriot govt endorses terms of loan agreement with Russia

Russia is issuing a loan of 2.5 billion euros maturing in four and a half years and paying an interest of 4.5% annual

NICOSIA, October 6 (Itar-Tass) — Government of Cyprus on Wednesday endorsed the terms of a laon that Russia will issue to the Republic of Cyprus shortly, Stefanos Stefanou, the government's official spokesman said.

The cabinet of ministers instructed the Ministry of Finance to take all the steps towards effectuating the agreement on both sides as early as possible, he said.

Russia is issuing a loan of 2.5 billion euros maturing in four and a half years and paying an interest of 4.5% annual. Along with this, the Cypriot government will have an opportunity of an early repayment without any sanctions.

The implementation of this agreement will help the republic to cover short-term and medium-term financial needs and will be combined with the government's own measures to ensure financial stability, Stefanou said.

It will help Cyprus restore credibility among foreign investors, he said, adding that the authoriities voice gratitude to Russia for the decision to issue the loan.

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