ASSESSMENTS

A Bailout for Cyprus?

Jul 28, 2011 | 20:01 GMT

ANDREAS LAZAROU/AFP/Getty Images

Summary

A grass fire in Cyprus triggered an explosion July 11 that shut down the country's main power plant. With roughly half its electricity offline and the budget deficit certain to climb, Cyprus may need an EU bailout. But because of its relatively low national debt and small economy, any financial help from Brussels would be both manageable and temporary.

An electricity crisis in Cyprus could force the country to seek a European bailout, but there is no reason to expect the government will need prolonged financial help. (With STRATFOR graphic)...

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