Cyprus sees smooth euro adoption

NICOSIA, Jan. 3 (Xinhua) -- The adoption of the euro in Cyprus as of New Year's day has been proceeding smoothly with only a few incidents of undue price increases reported, the European Commission said in a statement released on Thursday.

Since Jan. 1, Cyprus embraced the common currency as its legal tender with another Mediterranean island state Malta.

According to a survey conducted for the European Commission, on Jan. 2, Cypriot retailers gave change exclusively in euro in 92 percent cash transactions.

Asked about which currency Cypriot people had in their wallets and purses on Jan. 2 , 12 percent respondents had only euro banknotes, while an additional 31 percent were carrying 'mostly' euro banknotes.

The European Commission survey also found that 28 percent of the Cypriots said they had paid in euro when doing shopping, while68 percent still used the national currency Cyprus pound, which is acceptable till the end of January.

Regarding the conversion of prices into euros, so far only a few limited incidents of undue price increases have been reported in both Cyprus and Malta.

Problems such as shortage of free euro converters and ill-prepared shops were reported in Cypriot media. Long queues at banks were witnessed in the capital city Nicosia.

While all 550 ATMs in Cyprus have been successfully converted to dispense euro banknotes, pay machines at petrol stations posed another problem and need perhaps two more weeks to be solved.

Some 430 parking meters in Nicosia also encountered problems and had to be covered up. Motorists may not complain but welcome the situation as they can enjoy free parking for now.