Cyprus central bank governor - Ukraine crisis threatens return to growth

NICOSIA (Reuters) - Any escalation in the Ukraine crisis poses a threat to Cyprus's economy, the outgoing governor of the country's central bank said in an interview, noting that he expects the bailed-out euro zone member to return to growth in 2015.

Panicos Demetriades, who participated in talks which saved Cyprus from bankruptcy a year ago, said lenders underestimated the resilience of the island's economy, one of the smallest in the 17-member currency zone. He also said he anticipated capital controls could be fully lifted this year.