The Eurogroup welcomes the request of the Cypriot authorities for financial assistance from euro area Member States in view of the challenges that Cyprus is facing, in particular due to distress in the banking sector and the presence of macroeconomic imbalances. The Eurogroup acknowledges that an adjustment programme seems warranted at this stage and considers responding favorably to it. The Eurogroup also welcomes the request of Cyprus for financial assistance from the IMF, which in turn would be considered in line with its internal procedures. Ministers invite the Commission, in liaison with the ECB, and the Cypriot authorities and the IMF to agree on a programme, including the financing needs, and take appropriate action to safeguard financial stability, in light of the current very challenging external environment and spill-over effects from sovereign market turbulence.
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