Lines formed at many ATMs as people scrambled to pull their money out after word that the €10 billion ($13 billion) rescue package Cyprus agreed with its euro area partners and the International Monetary Fund included one-off levy on deposit, an unprecedented step in the eurozone crisis.
"Politicians and senior bank bosses have covered each other's backs for years, now it's ordinary people who are paying the price and are being punished," said Christos Demetriades, 58, milling outside a shut Nicosia cooperative bank branch.
Cypriot and European officials feared that forcing depositors take a hit would undermine investors' confidence in Cyprus and other weaker eurozone economies and even possibly lead to bank runs.
Cyprus has become the fourth euro area country to get a rescue package to save its banks that took massive losses because of their exposure to toxic Greek debt.
"Politicians and senior bank bosses have covered each other's backs for years, now it's ordinary people who are paying the price and are being punished," said Christos Demetriades, 58, milling outside a shut Nicosia cooperative bank branch.
Cypriot and European officials feared that forcing depositors take a hit would undermine investors' confidence in Cyprus and other weaker eurozone economies and even possibly lead to bank runs.
Cyprus has become the fourth euro area country to get a rescue package to save its banks that took massive losses because of their exposure to toxic Greek debt.
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