Barroso: EU Will Show Solidarity with Cypriot People

European Commission President Jose Manuel Barroso has issued a statement saluting the bailout deal reached between Cyprus and the EU, and pledging solidarity with Cypriots.

"We want to alleviate the social consequences of the economic shock by mobilizing funds from EU instruments and by supporting the Cypriot authorities' efforts to restore financial, economic and social stability," said Barroso.

"We will bring in further expertise to facilitate the emergence of new sources of economic activity. The EC stands by the Cypriot people," added the EC President.

Barroso stressed that the developments have reconfirmed the EU's fundamental readiness to work together and not leave a member state to face its hardships on its own.

He also announced the creation of a so-called Task Force for Cyprus by the EC to offer technical assistance to national authorities in Cyprus to rein in the financial crisis.

"The challenges for Cyprus are immense, but Cyprus can count on the European Union to support it," stressed Barroso.

The EUR 10 B bailout for Cyprus will be issued conditional on restructuring certain Cypriot banks and a one-time levy on deposits over EUR 0.1 M.