NICOSIA, Cyprus - International creditors have lauded Cyprus for meeting the terms of its financial rescue program so far, but say the country cannot afford to slow down its reforms to restore market confidence.
International Monetary Fund official Delia Velculescu said Wednesday that Cyprus has made "good progress" in meeting fiscal targets outlined in its bailout deal.
However, lingering uncertainty over the economy means authorities mustn't waver in their plans to streamline the public sector, improve tax collection and sell state companies.
Cyprus this year forced massive losses on uninsured depositors in its two largest banks to clinch a 10 billion-euro loan from the European Commission, the European Central Bank and the IMF.
Cyprus' economy is projected to shrink by a combined 13 per cent of gross domestic product this year and next.
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