Parliament in Cyprus on Tuesday overwhelmingly rejected a bill aimed at charging steep levies on bank deposits.

None voted in support. Thirty-six deputies in the 56-seat parliament voted against the bill, while 19 abstained, Ria Novosti reports.

The bill rejected Tuesday envisioned a levy of 6.75 percent on deposits of less than 100,000 euros ($128,950) and of 9.9 percent on larger deposits. The proposal to dip into bank savings to boost the government’s coffers provoked intense anger among the Cypriot population and foreign account-holders based abroad, but its failure now leaves Cyprus closer to effective bankruptcy.

As expected, the negotiations on the financial future of Cyprus will continue on Wednesday. President Mr. Nikos Anastasiadis convene an emergency council of party leaders. New talks between Mr. Anastasiadis with German Chancellor Angela Merkel are expected.

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