The Central Bank of Cyprus announced its decision to reduce the minimum liquidity ratio in Euro denominated currency from 25% to 20%. This change will result to a release of ?400 million additional liquidity for Marfin Popular Bank.
At the same time, the Central Bank of Cyprus submitted a draft plan for the liquidity requirement in foreign currencies (all non-euro currencies). The most important modification of this plan is the reduction of the minimum liquidity requirement from 75% to 70% for all foreign currency in Cyprus.
The aforementioned decisions subject to the latter's approval are expected to create euro 600m additional liquidity for Marfin Popular Bank, which can be used for further expansion of the Bank's loan book.