NICOSIA: Cyprus eased controls on capital outflows yesterday, in another step toward scrapping draconian measures imposed last year to avoid a run on banks.
Businesses will now be allowed to transfer up to ¤2m ($1.6m) abroad per transaction without approval, up from one million euros previously, the finance ministry said. Transactions exceeding two million euros will require approval.
Individuals will be able to transfer ¤10,000 out of the country each month, double the previous figure. And those travelling abroad can now carry twice as much cash with them — ¤6,000 — per journey.
The authorities closed the banks for two weeks in spring 2013 as they put the final touches on a ¤10bn bailout by the European Union and the International Monetary Fund.
They imposed a raft of measures on domestic and international capital movements when the banks reopened.
All domestic capital restrictions were lifted in May, a prohibition on opening bank accounts being the last one.
MILAN: Italian luxury group Prada said yesterday its nine-month profit dropped by 27.6 percent to ¤319.3m ($394.9m) due to challenging market conditions but expressed confidence in the medium-term outlook for the sector.
Sales at the group which also includes brands Miu Miu, Church’s shoes and Car Shoe dipped 0.9 percent to 2.55 billion euros in the nine months to the end of October in its non-standard reporting year.
Prada said the period was “characterised also by unfavourable exchange rates trend for most of the nine months period and spoilt by some still enduring geo-political issues” in an earnings statement. Chief executive Patrizio Bertelli said 2014 turned out to be more challenging than expected.
“On top of the ongoing difficult international economic environment, the luxury goods market is undergoing a certain readjustment, the extent and nature of which is not yet entirely clear,” said Bertelli.
However he expressed confidence in the medium-term growth outlook, which combined with the company’s efforts to increase efficiency and the performance of its stores should help ensure Prada achieves satisfactory levels of profitability.AFP
