Deposit outflows from banks in bailed-out Cyprus down to lowest level in year

NICOSIA, Cyprus – Cyprus’ central bank says that deposit outflows from the bailed-out country’s banks have slowed to their lowest level in 10 months.

Figures released Thursday show overall deposits at the end of October to be at 47.3 billion euros ($64.31 billion), just 163 million less than the previous month.

Another encouraging sign was that deposits from non-EU country residents increased to 12.1 billion euros ($16.45 billion), up by 406.6 million euros from a month earlier.

That’s the first such increase since March, when Cyprus agreed on a painful rescue deal with other eurozone countries and the International Monetary Fund.

The agreement sanctioned a grab from the savings of uninsured depositors in Cyprus’ top two banks. To prevent a run, authorities imposed capital controls that have since been partially relaxed.