Russia in frame for Cyprus rescue

Cyprus is keeping its options open on whether to apply for a European Union bailout to help recapitalise its second-largest bank but has yet to make any application, its government said yesterday. Russia was yesterday put in the frame as the source of a possible bilateral bailout for the country. Sigma, a private TV station, reported that Cypriot President Demetris Christofias had paid an unannounced visit to the Russian embassy. Late last year, Cyprus secured a €2.5bn bilateral loan from Russia to help it refinance debt and plug deficits in 2012. Cyprus must recapitalise its second-largest lender, Cyprus Popular Bank, by a 30 June regulatory deadline.