Cyprus Requests Aid from European Bailout Fund

Cyprus formally requested aid from Europe’s bailout fund Monday as it scrambles to shore up its banking system that has been hurt by Greece’s debt crisis.
“The government of the Republic of Cyprus has today informed the appropriate European authorities of its decision to submit to euro area member states a request of financial assistance from the EFSF/ESM,” the Cyprus government said in a statement.
“The purpose of the required assistance is to contain the risks to the Cypriot economy, notably those arising from the negative spill-over effects through its financial sector, due to its large exposure in the Greek economy,” the statement added.
The request, which has been expected for several weeks, means that Cyprus will be the fifth euro zone country to seek aid.
(source: Dow Jones)