Cyprus will return to financial markets before the end of its bailout programme in 2016 and should require no more funds from international lenders, President Nicos Anastasiades told a German newspaper on Friday.
"I am certain that before the end of the programme in 2016 we will be able to go to financial markets again," Anastasiades was quoted as saying by German daily Handelsblatt.
"I hope we will see first signs of a turnaround in the second half of 2014," he added.
Cyprus became the fifth euro zone country requiring international rescue earlier this year.
Its banks exposed to Greece, it was teetering on the brink of a financial meltdown, hammering large depositors at the island's two largest banks with losses and prompting a 10 bln euro ($13.22 bln) bailout package in March.
Lenders from the European Union, the European Central Bank (ECB) and International Monetary Fund (IMF), known as the troika, expect Cyprus' 17-bln-euro economy to contract by 8.7% this year and 3.9% in 2014.
"If we stick to budget discipline and use our possibilities, we won't need further loans," Anastasiades said, adding that the danger of sovereign bankruptcy was now finally averted.
Under the bailout terms, Cyprus shut down one insolvent bank, Popular Laiki, and forced depositors of over 100,000 euros to contribute towards recapitalising a second, Bank of Cyprus through a bail-in programme.
Addressing an event at the Presidential Palace for the Cyprus Scouts Association for the “Scouts of the Republic” award, President Anastasiades said that the problems that “we inherited are not recent but are the repercussions of long term mistakes that we need to put right and give a new outlook to all sectors and prove that we can overcome obstacles”.
“I want to assure you that we can do this because we have the new generation that needs work and guidance to provide a new perspective to tomorrow’s Cyprus, through determination, hard work, meritocracy, proper planning and effectiveness”, the President pledged.
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