Cyprus depositor threat is a catastrophe for EU
Published 20/03/2013 | 17:00
The Cypriot parliament has now thrown the ball back to the EU with its rejection of the bailout. It has also opened up the door to the Russians to get involved in the EU's internal problems by sending a delegation to Moscow. The Russians may still come out of this with a charge over Cypriot gas reserves in return for a taking equity in the bust Cypriot banks.
The EU now has to go back to the drawing board and come up with a better deal for Cyprus or else face political, diplomatic and economic defeat. If the Cypriots get a better deal from all this, many here will argue that their tactics of saying no will have served them better than our stragety of being the "best boy in the class".
And all this carnage suffered in order to protect the euro, for which our political leaders are prepared to destroy trust within the EU both between countries and between the people and the State.