Russia will lend 2.5 billion euros to Cyprus. “The agreement was signed”, - government spokesman of the Republic of Cyprus Stefanos Stefanou said on Monday, 7^th October.

On Friday 26 August, the Cyprus Parliament has voted the first package of austerity measures in the form of tax changes in order to improve Government finances and cut the budget deficit.

Cypriot lawmakers have approved the first of two sets of austerity measures with significant alterations, as part of the government's efforts to agree credible plan to reduce the country's deficit to avoid an EU-funded bailout and calm bond markets.

Cypriot Finance Minister, Kikis Kazamias has urged the adoption of proposals to rein in the country's deficit to avoid a European Union bailout.

Luxembourg's Finance Minister Luc Frieden recently conducted an official visit to Cyprus at the invitation of his Cypriot counterpart Charilaos Stavrakis, with the talks focussing on strengthened fiscal cooperation by means of a future bilateral tax agreement.

New penalties for UK Taxpayers who fail to pay in time