In the past 2 years, we have all seen the turmoil in the Eurozone and it has also affected stocks markets in Asia as well. Portugal, Italy, Greece and Spain (PIGS) are still the main focus as the Eurozone tries to tackle the crisis. What all of these countries have in common are extremely high debts levels which are unsustainable without a bailout.

Why do they have so much debt? There are many reasons for it, including overbuilding of mega projects and infrastructure without justifying the demand, corruption, bloated public workforce, high amounts of social welfare which may lead to an unproductive workforce and more. So far they have all engaged in austerity measures, or cuts in fiscal spending to get bailout funds from other Euro nations.

The latest news however is nothing short of shocking. Cyprus, a Mediterranean island are going to take funds from depositor’s bank accounts to fund the ...