Word of the year

Cyprus's Central Bank governor on Wednesday said this year's recession on the bailed-out island could be shallower than the 4.2 percent decline anticipated by its international lenders.

The German Finance Ministry attempted on Monday to play down comments by Finance Minister Wolfgang Schaeuble that Greece would require a third bailout.

Schaeuble had suggested in an interview with Focus magazine that Greece would need assistance of less than 10 billion euros in the years to come.

Right-wing, anti-bailout party Independent Greeks saw its parliamentary group shrink to 14 on Thursday after MP Vassilis Kapernaros said he would stand as an independent, citing a lack of support from the party for his candidacy as Athens mayor.

By Alexis Papachelas

By Chryssa Liaggou

Public Power Corporation is planning to tap the markets after Easter with the issue of a corporate bond to draw 500 million euros.

The Energy Ministry is also eagerly awaiting the issue, as it is hoping it will enable the full clearance of electricity market debts, which according to the bailout agreement is due by end-2014.

Greece's bank bailout fund received bids from anchor investors, including Canada's Fairfax (FFH.TO) and York Capital, for a big chunk of Eurobank's (EURBr.AT) 2.86 billion euro share offering, a senior banking source close to the talks said on Tuesday.

Cyprus abolished maximum daily cash withdrawal limits from bank accounts on Friday, a year after it imposed capital controls to prevent economic meltdown and a flight of cash under the terms of a painful international bailout.

[Reuters]

Politics meets economics amid talks with international lenders.