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ECB urges Cyprus to ease up on central bank chief

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(Globalpost/GlobalPost)

ECB chief Mario Draghi has written to the president of Cyprus, urging him to let the embattled head of the national central bank get on with his job, a source close to the matter told AFP on Friday.

"There is a letter which requests respect for the Cypriot central bank's independence and to refrain from bringing pressure" to bear on its governor Panicos Demetriades, the source said.

The ECB declined to comment.

Demetriades has been in the midst of a storm since a near collapse of the Cypriot banking system required an international rescue plan that includes drastic measures such as the closing of the country's second biggest bank, Laiki.

A Cypriot parliament ethics committee decided Wednesday to investigate the record of Demetriades since he took over as head of the central bank in May 2012 to determine if he had acted in the general interest, the Financial Times reported.

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http://www.globalpost.com/dispatch/news/afp/130412/ecb-urges-cyprus-ease-central-bank-chief