VELCULESCU: Like Icarus, Cyprus flew too close to the sun

According to the sources she was speaking on Monday during an IMF board meeting which looked into the report of its mission's last visit to Cyprus towards the end of July, which is expected to be published on Wednesday.

Cyprus Dutch representative to the board Menno Snel replied that contrary to Icarus Cyprus has managed to float. He also likened Icarus` father, Daedalus, to the IMF, noting that in Icarus` case he did not heed his father`s advice, while in Cyprus` case, the IMF did not do as much as it should to avert the crisis.

Velculescu is being replaced by American Mark Lewis.

The same sources say that the IMF's report focused more on the risks ahead and on what needs to be done rather than on the progress achieved so far.

The report, they say, presents an account of how the crisis came about and refers to the policies implemented as part of the adjustment programme, as well as what should be done.

Board members are said to have also discussed the pending matter of the legislative framework on foreclosures which as they pointed out needs to be settled in order for Cyprus banking sector's non performing loans to be managed and for the adjustment programme to continue on track.

The IMF`s mission on the 6th review of Cyprus adjustment programme is not expected to travel to Cyprus before the beginning of 2015. However, a small technical team will visit Cyprus around November 10th to review pending or other matters related to prior actions.

Cyprus agreed on March 2013 with its international lenders collectively known as the Troika (EC, ECB, IMF) a €10 billion bailout. So far the country has received five tranches amounting to 5.77 billion from the EU and the IMF.