Cyprus bailout plan revised to reduce burden on smaller account holders

Protesters hold up their hands as they protest outside the parliament in capital Nicosia, Cyprus, Monday, March 18, 2013. AP Photo/Petros Karadjias

NICOSIA, Cyprus Cypriot finance officials are revising a planned financial bailout to relieve small account holders from having to pay a charge on their savings in order to secure an international rescue of the country's troubled banks.

Under a new draft bill discussed in Parliament's finance committee Tuesday, deposits below euro 20,000 ($25,900) would be exempt from any charge. Those between euro 20,000-euro100,000 would have a 6.75 percent levy imposed, and those above euro100,000 would have a 9.9 percent charge.

European officials have said euro5.8 billion of the euro15.8 billion rescue package must be raised by Cyprus.

The country's central bank governor recommended that no levy be imposed on accounts below euro100,000 the amount that is insured by the government.

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