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Sir Harry Smith

Sir Harry Smith Community College

  • Financial problems for Cyprus...

    Written by SHS Reporters: Amber, Daniel & Georgia
     
    Today it was announced that the Cypriot banks will be closed until Tuesday 26th March 2013. This is because the Cypriot  banks want to take 6.75% of everybody’s savings if they have over 20,000 euros in their account (a total of £17,125.10 ). The only way that Cyprus can do this is with no interference is to close all the banks so that people cannot take their money out, but because of the outrage by citizens in Nicosia, this plan was scrapped.
     
    Cypriot people are getting tired of the delays and are struggling to pay for things such as food and bills. Cyprus and Russia are allies and Russia has said that they might give Cyprus some money. The Russians are still waiting for money that they gave to Cyprus two years ago but the money Cyprus has asked for is an extension of the loan.
     
     Cyprus has been thinking of leaving the EU because that will cut some of the costs. If they do, it will cause a problem for the UK because the UK sells most of their produce to the EU countries. If they leave, the UK will lose some of its trade. Many young people do not know what the EU is, do you? It stands for the European Union, which at present consists of 27 countries. The total includes Bulgaria and Romania, who were the most recent countries to join in 2007.
    Furthermore, in the European Union your country has to agree to a set of rules but in return you do receive some benefits. Our taxes go towards the up keep of the EU and it helps improve lives within the EU. This is especially important for the countries not as wealthy as our own such as Cyprus, who joined in 2004. Also the money helps businesses thrive and sell goods to other countries.
     
    The EU enlargement happened in 2007 when the EU grew from 15 members to 25. This was important because it was the biggest rise in countries to join the EU. Moreover, there were lots of reports and doubts about whether or not the rise would benefit the UK. This happened on 1st May 2004.