NICOSIA Nov 16 International lenders
negotiating a bailout with Cyprus have demanded it make spending
cuts worth 1.2 billion euros, state TV RIK said on Friday,
The European Commission, European Central Bank and
International Monetary Fund had previously sought spending cuts
in Cyprus of 975 million euros.
Their demand for deeper cuts came as the statistics service
said Cyprus's public deficit rose to 3.2 percent of gross
domestic product in the first nine months of the year, up 0.5
percentage points from the same period last year.
State television also cited the country's central bank
governor, Panicos Demetriades, as urging the state to do
everything possible to support the banking system.