Pimco representatives to meet Cyprus Popular Bank and Bank of Cyprus

According to CNA sources, Pimco representatives will discuss with the Banks’ leaderships issues regarding loans which had been given by the two Banks to the construction industry.

Pimco representatives are on the island to participate in a meeting of the Steering Committee on issues related to Pimco’s estimations as regards the total amount of the Cypriot Banks’ capital needs.

The Steering Committee oversees the due diligence review on the Cypriot financial system carried out by Pimco. The Steering Committee includes representatives from the European Commission, the European Central Bank, the European Stability Mechanism, the International Monetary Fund, the European Bank Authority, Cyprus Finance Ministry, the Central Bank of Cyprus and Cyprus Authority for the Supervision and Development of Cooperative Societies.

According to CNA sources, the representatives of Troika in the Steering Committee requested on Tuesday from the Cypriot Banks data about loans given to the construction industry.

That data was requested from the Cypriot Banks during the hard negotiations, which took place between the Cyprus Authorities’ and Troika’s representatives in the Steering Committee on Pimco’s methodology for the total amount of the Cypriot Banks’ capital needs, based on the basic, but mainly on the extreme scenario.