The saga continues… No deal yet on Bank of Cyprus haircut

Despite a flurry of reports over the weekend, no agreement seems to have been reached on the rate of the haircut on Bank of Cyprus deposits exceeding 100,000 euros, with reports ranging from 45 to 47.5%.
The government wants a smaller haircut and the Central Bank of Cyprus is pushing for harsher measures.
The official Cyprus News Agency quoted Finance Ministry sources as saying that negotiations with the Troika delegation (European Central Bank, European Commission and IMF) have now moved from the Finance Ministry to the Central Bank.
The same source said that there is no agreement between the government and the international lenders and that the figure of 47.5% reported earlier was not accurate.
According to the bail-in agreement, large depositors were subject to a 37.5% haircut and the remaining 22.5% was held in reserve until a final audit of the unified Bank of Cyprus was concluded by KMPG, after which the balance would also be converted to any one of the four classes of new shares to be issued.
A further 30% was ordered frozen by the Central Bank, in addition to the strict capital controls, resulting in many businesses losing access to vital capital, making the impact of the economic crisis since March even harsher.
The Troika mission arrived in Cyprus on July 17 to assess the implementation of a Memorandum of Agreement, the basis of the 10 bln euro rescue programme, and departs from the island at the end of July.