US comments on Cyprus’ request for bailout

Asked if there is any concern that IMF commitments made at the G20 or the commitments to the IMF bailout are insufficient or might be insufficient if more smaller countries continue to request bailouts, after Cyprus` requesting a bailout, Carney replied: " I would refer you to the Treasury Department for an answer regarding Cyprus, and remind you that our position on the IMF is that we’re not making any additional commitments — the United States is not.”

However, he continued, “obviously the IMF plays an important role in this process. But the Treasury Department may have a fuller response with regards to Cyprus."

Cyprus informed on Monday the appropriate European Authorities of its decision to submit to euro area member states a request of financial assistance from the EFSF/ESM.

An official announcement said the purpose of the required assistance is to contain the risks to the Cypriot economy, notably those arising from the negative spill over effects through its financial sector, due to its large exposure to the Greek economy.