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Analysis

German musings: Is Cyprus too small for a bailout?

German politicians have a jaundiced view of Cyprus. Apart from associating it with money laundering and tax dumping, they are now wondering whether it is big enough to be worth bailing out.

The new catchphase is "systemically relevant" or whether a country's financial problems are large enough to pose a risk to the eurozone as a whole.

"Negotiating tactics", say EU diplomats. "Legal precondition," counters the German government. According to the legal base governing the eurozone ...

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