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Us data talk about the -- situation we liking -- market analyst at BGC partners over London.
And Mike this is the first time that people are being asked to participate in a bail out this way why now.
Well on the Cyprus is a special case and as much as -- banking sector was an enormous relative to the size of its economy was approaching 800% to GDP.
And it's this site has been -- -- Forced to borrow the total of banks.
From the EU fifteen point eight billion -- to put debt to GDP at something like a 180%.
So they have to -- the cash from somewhere that what about bond holders of sub debt holders in the banking sector so basically they took the money.
From depositors even then a quick number crush this morning I'm not even sure -- -- sustainable for Cyprus map.
And might we were talking to Chris speech -- last -- -- stress that this is a one off deal other countries don't have to worry about this starting a new precedent.
Do you agree with that.
Now annoyance -- -- and as I said I think that those that dislike the situation is gonna have to be revisited.
You know over the next eight year old to I think you know even -- the first time they've gone ahead with what Michael Palin it sounds like -- a positive thing.
But so that would -- the time that Spain had its bank restructuring its bailout -- -- in September last year.
That was a proposal on the table then that -- taken hits so I think this is going to be you know a slow -- -- the back of people's minds -- you can see the site of contagion.
In today's equity and bond markets across Europe.
-- comment -- my if you had -- with this sort of fear in the -- had used up people vote in -- And other countries from just running on the banks are pulling their money yeah.
What economy -- I mean unless you're witty to put a net capital controls which I believe would be changed the European single market.
It's that's that's that's a risk you have to run probably you have to say they generally speaking -- bank deposits -- A lot -- everybody else is what -- -- quite sticky.
You know it takes a lot for residents to actually -- that funds but of course in -- case that you know we think that.
At least 40% of the deposit pace is these these people like Russians you know but hopefully get a -- -- -- -- -- tax -- So you know maybe Cyprus -- going to Steve's sort of a run.
When they get access to the bank accounts which -- shuttle tomorrow.
That's my anger at BDC bars we'll see out all plays out tomorrow on the banks reopen again Mike thank you.
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