News Summary: Germany balks at bailing out Cyprus

Updated at: 01/18/2013 1:07 PM
By The Associated Press

CYPRUS BAILOUT: When it came to helping out Greece, Ireland and Portugal, Germany grudgingly went along with its European partners and backed hundreds of billions in rescue loans. But now that tiny Cyprus is in trouble, German politicians appear even less eager to help.

TOUGH SELL: For Chancellor Angela Merkel’s government, the bailout for the nation of some 850,000 people is proving to be the most difficult rescue loan package yet.

THE BACKGROUND: Germany’s lawmakers are balking at helping out a country they see as a haven for Russian tax evaders and money launderers run by a government that isn’t fully committed to financial and structural reforms.

(Copyright 2013 by The Associated Press. All Rights Reserved.)