Cypriot draft bill drops levy on deposits below 20,000 euros

A draft bill the Cypriot government submitted to parliament on Tuesday scraps a controversial levy on bank deposits for amounts below 20,000 euros ($25,920).

The draft, seen by Reuters, sets a zero percent levy on deposits of up to 20,000 euros, a 6.75 percent rate for amounts between 20,000 and 100,000 euros and maintains a 9.9 percent tax on all deposits above that level.

($1 = 0.7717 euros)

(Reporting by Karolina Tagaris; writing by Harry Papachristou)