Cyprus a corporation tax ally for Ireland

Ireland has an ally in refusing to increase its low corporation tax rate, with Cyprus insisting it must not be forced to raise its rate as a condition of its bailout.

The country has announced it had secured an offer of €5 billion from Russia which their finance minister, Vassos Shiarly, said they were considering. They got €2.5bn last year from Moscow at 4.5% over four and a half years.

Some reports say they need at least €10bn to repair their damaged banks. The troika finished its preliminary visit to Nicosia yesterday and on Tuesday EU finance ministers will discuss their report before making an offer.