Merkel annoyed with Cyprus "test" of Europe

German Chancellor Angela Merkel has said that she is annoyed that Cyprus has not contacted the Troika and that it is not acceptable for the island to "test" Europe. Merkel has said that hitting pensions must not be part of the plan, but widespread restructuring of banking in Cyprus is required.

Laiki Bank, which will be reorganised into into good and bad banks, has seen its employees take to the streets to protest. The bank's employees representative has called on the Cypriot government to accept plans for a bank levy to tap depositors. This measure has already been rejected by Cyprus' parliament. It might be too late for the island.