Euro ministers bid to resolve Cypriot crisis

Eurozone finance ministers agreed last night to allow Cyprus reduce the amount of money they take from small savers, but many believe the damage has already been done to the euro.

The Cypriot parliament refused to vote for the bailout deal when they met in special session in Nicosia yesterday, and will keep financial institutions closed until Thursday to prevent a run that could destroy their fragile banks.

Investors feared forcing savers in even one country to shore up banks set a dangerous precedent that would reignite the crisis and saw the value of the euro falling and stocks hit globally.