Cyprus bailout delayed by two more months amid wrangling

A BAILOUT for Cyprus has been delayed at least two months amid wrangling over how the country’s debt-laden government could afford it.

Cypriot leaders claim the setback is because a review of its banking sector’s capital needs is not yet finished.

But Germany is also balking at the prospective deal, claiming not enough is being done to curb Russian money laundering within the Cypriot banking system.

German paper Handelsblatt reported that Eurozone finance ministers refuse to sign off the deal until elections have taken place next month, when the communist president, Demetris Christofias, will have departed.

A definitive result had been expected by 18 January but is now not expected until late March.