Euro Zone

The government will stick firmly to a barrage of austerity measures, Chancellor of the Exchequer George Osborne insisted in a budget that also slashed economic growth forecasts, while offering plans to boost the weak economy as the eurozone crisis reignites.

Britain will stick firmly to a barrage of austerity measures, finance minister George Osborne insisted in a budget that also slashed economic growth forecasts, while offering plans to boost the weak economy as the eurozone crisis reignites.

Most European stock markets rebounded on Wednesday following two days of losses caused by Cyprus' bailout drama.

US government-controlled mortgage giant Freddie Mac has sued more than a dozen of the world's biggest banks over losses from the alleged rigging of the Libor interest rate.

Cyprus closed its banks this week to avert a run on savings and secure a bailout for its near-bankrupt economy, but the move has dealt another blow to companies already hit by the global financial crisis.

Britain will stick firmly to a barrage of austerity measures, George Osborne insisted Wednesday in a budget that also slashed economic growth forecasts, while offering plans to boost the weak economy as the eurozone crisis reignites.

Debt-hit Cyprus was scrambling Wednesday to secure funding for its banks after lawmakers rejected the terms of an EU bailout deal, soliciting Russia, the church and state institutions for cash.

Global crude oil prices bounced back on Wednesday after eurozone finance ministers and the European Central Bank (ECB) vowed to support Cyprus as a crucial bailout deal stood on the brink of collapse, analysts said.

Asian markets were mixed on Wednesday after Cypriot lawmakers comprehensively rejected a plan to tax savings as part of a crucial bailout deal.

The eurozone's current account surplus narrowed to 14.8 billion euros ($19.1 billion) in January from 16.0 billion euros in December, European Central Bank data showed on Wednesday.

A Royal Air Force plane has been sent to crisis-hit Cyprus carrying one million euros in emergency loans for British military personnel, the Ministry of Defence said.

Cypriot President Nicos Anastasiades has called an emergency meeting of party leaders Wednesday in a frantic search for a viable plan B after MPs rejected the terms of an EU bailout aimed at saving Cyprus from bankruptcy.

The government sent a Royal Air Force plane to crisis-hit Cyprus on Tuesday carrying one million euros in emergency loans for British military personnel, the defence ministry said.

Eurozone finance ministers said Tuesday they still stood ready to help Cyprus after the island's parliament voted down a debt bailout accord which included an unprecedented bank deposit levy.

Angry MPs on Tuesday rejected a divisive levy on bank accounts as part of a bailout aimed at saving Cyprus from bankruptcy, decrying as "blackmail" the EU-IMF deal that now lies in tatters.

Thousands of demonstrators burst into cheers and applause as their MPs on Tuesday flatly voted down a painful EU bailout plan aimed at rescuing Cyprus from bankruptcy.

Angry MPs on Tuesday rejected the terms of a bailout aimed at saving Cyprus from bankruptcy, decrying as "blackmail" a deal that had been reached with a troika of lenders that now lies in tatters.

Furious MPs took turns in parliament Tuesday to rail against the harsh terms of a bailout aimed at saving Cyprus from bankruptcy, decrying the eurozone "blackmail" as the deal hammered out at the weekend appeared to be unravelling.

Europe's main stock markets suffered further losses and the euro slid on Tuesday as Cyprus' international bailout appeared close to unravelling.

The speaker of the Cypriot parliament on Tuesday urged MPs to say "no to blackmail" in a vote on a eurozone bailout aimed at saving the Mediterranean island from bankruptcy.