On March 25, Cyprus agreed to a €10 billion bailout deal that will devastate its financial-services sector—responsible, along with the much smaller tourism industry, for 80 percent of the nation’s gross domestic product and 72 percent of its employment. For Cyprus’s 800,000 citizens, the sense is that the nightmare has just begun.
In Nicosia, Demetra Kattou, a 47-year-old teacher, and her husband, bank employee Panbos Kattos, 52. They are afraid of losing their jobs. Kattos says, “I can't find another job at my age.”