Cyprus saved – but for how long?

Far from securing Cyprus's future, the last-minute bail-out deal may have sealed the country's fate.

Europe finally agreed a rescue package for Cyprus early this week but only after almost letting a tiny peripheral economy shatter the monetary union, says the Financial Times. Emergency support for Cyprus's bust banking system, which has also bankrupted the government, was due to run out not long after the deal was secured.

A default and a messy euro exit have been averted, and the package has dealt with "the most egregious errors" of the previous one, says Economist.com's Charlemagne blog. Cyprus has been trying to raise around €6bn itself and thus unlock €10bn of European cash.

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