The United States on Monday called for a “responsible and fair” resolution of the Cyprus bank rescue, amid turmoil over a controversial proposal to tax savings deposits.
“It is important that Cyprus and its euro area partners work to resolve the situation in a way that is responsible and fair and ensures financial stability,” the Treasury said.
It added that US Treasury Secretary Jacob Lew has spoken with his European counterparts about the situation.
Cyprus announced Saturday it would collect a one-time levy on bank deposits to help pay for the 10-billion-euro ($13 billion) bailout sponsored by the European Union, the European Central Bank and the International Monetary Fund.
The decision sparked protests on the Mediterranean island and stoked fears that it would ignite a run on eurozone banks and set off a new financial crisis.
The White House had said earlier it was monitoring the situation.
“Our general proposition is that we… believe it’s very important for Europe to take steps necessary, as they have been, to both grow and deal with sovereign debt issues,” White House spokesman Jay Carney said.
US urges 'responsible and fair' Cyprus bank rescue
