Reuters

Iceland PM contemplates adopting the Euro €

Posted 30/11/2008 - 02:14 by steveejeb

2008-11-30 (All day)

REYKJAVIK (Reuters) - Iceland is prepared to consider a variety of options to solve its currency problems, including the possibility of adopting the euro without joining the European Union, Prime Minister Geir Haarde said Saturday.

0
Your rating: None

German banks plan Iceland loans consortium: paper

Posted 30/11/2008 - 02:04 by steveejeb

2008-11-30 (All day)

FRANKFURT (Reuters) - German banks plan to forge a creditors' consortium to help them recoup the outstanding debts of Icelandic borrowers, a German magazine reported without naming its sources.

The proposed consortium would restructure the loans owed by Iceland's banks Kaupthing (KAUP.IC: Quote, Profile, Research), Glitnir and Landsbanki, forgoing some claims and giving them more time to repay, the magazine Der Spiegel reported in an article provided to Reuters before publication on Monday.

The German banks have had initial talks with Icelandic regulators and lawmakers over the matter, the magazine added.

German banks gave most to Icelandic borrowers and were owed $21 billion before the recent financial storm swept markets, figures released by the Bank for International Settlements showed last month.

(Reporting by Ludwig Burger, editing by Anthony Barker)

0
Your rating: None

Government may review relationship with Isle of Man

Posted 23/11/2008 - 15:53 by sami

2008-11-23 (All day)

Not completely bad news...

"I'm obviously very concerned about this. The Isle of Man is not within our jurisdiction for regulation," Brown said in an interview with the BBC when asked about the plight of investors worried about their savings there.

"This is now a matter that the international authorities are dealing with. We are talking to the International Monetary Fund ... about the repayment of debts that these banks have entered into," he said.

4
Your rating: None Average: 4 (1 vote)

Belgian PM sees potential buyers for Kaupthing arm (Kaupthing Bank Hf)

Posted 21/11/2008 - 17:01 by steveejeb

2008-11-21 (All day)

Belgian Prime Minister Yves Leterme said on Friday several parties were interested in buying the Luxembourg arm of troubled Icelandic bank Kaupthing , offering hope to Belgians with savings there. "There are several serious takeover candidates for Kaupthing Bank (Luxembourg) but we must remain cautious," Belgian Prime Minister Yves Leterme told a news conference after meeting a group of Belgian savers.....

0
Your rating: None

Belgian PM sees potential buyers for Kaupthing arm (Kaupthing Bank Hf)

Posted 21/11/2008 - 16:57 by steveejeb

2008-11-21 (All day)

Belgian Prime Minister Yves Leterme said on Friday several parties were interested in buying the Luxembourg arm of troubled Icelandic bank Kaupthing , offering hope to Belgians with savings there. "There are several serious takeover candidates for Kaupthing Bank (Luxembourg) but we must remain cautious," Belgian Prime Minister Yves Leterme told a news conference after meeting a group of Belgian savers.....

0
Your rating: None

UK to lend Iceland £2.2 Bn

Posted 20/11/2008 - 16:22 by sami

2008-11-20 (All day)

LONDON, Nov 20 (Reuters) - Britain is to lend Iceland around 2.2 billion pounds ($3.26 billion) as part of an International Monetary Fund support package, a British finance ministry source familiar with the negotiations said on Thursday.
Britain issued a joint statement with Germany and the Netherlands earlier on Thursday to say that they would offer "pre-financing" in a $10.2 billion IMF plan to help the troubled north Atlantic island.
The Icelandic government's liability to the UK is around 2.2 billion pounds, the source said, and this sum would be converted into a pre-financed funding arrangement, formalising the current situation.
The sum is equivalent to the amount that Britain says Iceland owes it following the collapse of Icelandic banks with deposits held by British retail investors.
The IMF loan had been held up due to a dispute between Iceland and Britain and the Netherlands over how to repay savers with deposits at Icelandic banks. (Reporting by David Milliken; editing by David Stamp)

4
Your rating: None Average: 4 (2 votes)

IMF board approves $2.1 billion loan for Iceland

Posted 20/11/2008 - 02:10 by steveejeb

2008-11-20 (All day)

The International Monetary Fund said on Wednesday its board approved a $2.1 billion loan for Iceland to try to stabilize what the fund called a "banking crisis of extraordinary proportions." The two-year, stand-by arrangement is structured so that Iceland can immediately draw about $827 million, with the rest in eight installments of about $155 million, subject to quarterly reviews.

The IMF said its loan would fill about 42 percent of the country's 2008-2010 financing gap. The rest would be met by official bilateral creditors. Finland, Sweden, Norway and Denmark plan to lend Iceland a total of $2.5 billion, a Finnish official said earlier on Wednesday.

In the statement, the IMF said Iceland must develop a comprehensive strategy for bank restructuring that ensures "the fair and equitable treatment of depositors and creditors of the intervened banks."

0
Your rating: None

Iceland deposit deal paves way for aid: EU Commission

Posted 17/11/2008 - 16:41 by formymum

2008-11-17 (All day)

Iceland deposit deal paves way for aid: EU Commission
Mon Nov 17, 2008 7:15am

BRUSSELS (Reuters) - A deal on foreign savers' deposits in Icelandic banks over the weekend paves the way for international aid to the crisis-stricken North Atlantic island, the European Commission said on Monday.

"We welcome the announcement by Iceland that it will apply EU rules on the protection of bank deposits," Amelia Torres, spokeswoman for the European Union's executive Commission, said.

"This should indeed open the way for an agreement now for the financial aid requested for the country," she told a regular news conference.

Iceland said on Sunday it had reached a deal with several European Union states on how to repay thousands of foreign savers with money in frozen Icelandic accounts.

Conflicts over the accounts between Iceland, which is not a member of the EU, and EU states Britain and the Netherlands have been delaying an International Monetary Fund-led package worth as much as $6 billion for the country.

Iceland faces a severe recession after the global financial crisis led to the collapse of its crown currency and the government takeover of three of its largest banks. It badly needs funds to revive currency trade and restart the economy.

Prime Minister Geir Haarde said on Sunday that the deal meant the IMF would now discuss the Icelandic case on Wednesday with a view to releasing the negotiated funds.

According to the deposit deal, the government of Iceland will cover deposits of insured depositors in "Icesave" accounts in accordance with EEA (European Economic Area) law, which stipulates that retail and wholesale depositors would be entitled to about 20,000 euros ($25,290) per account.

Britain and the Netherlands have been frustrated by the situation for savers in their countries who had deposited money in the Icesave accounts of Landsbanki, one of the banks that crumbled during Iceland's financial meltdown.

Some 300,000 British savers -- roughly equivalent to the entire population of Iceland -- had accounts worth around 4 billion pounds ($6 billion) in Icesave, which attracted overseas customers with high interest rates.

A British Treasury spokesman said Britain welcomed steps toward unfreezing the accounts.

Iceland reached a provisional deal for a $2 billion IMF lifeline in October and other lenders, including the EU and Nordic neighbors, had indicated they could be willing to stump up cash once the IMF programme won official approval.

IMF Managing Director Dominique Strauss-Kahn told a news conference in Washington on Saturday that the lender would finalize a rescue package for Iceland on November 19.

The country, whose government has long opposed EU membership, has shown signs of warming to the idea of joining the 27-nation bloc to help avert future crises.

(Reporting by Jan Strupczewski, editing by Dale Hudson)

0
Your rating: None

Iceland reaches deal for foreign savers

Posted 17/11/2008 - 07:23 by sayne

2008-11-16 15

REYKJAVIK (Reuters) - Iceland said on Sunday it had reached a deal with several European Union states on how to repay thousands of foreign savers with money in frozen Icelandic accounts, potentially unlocking billions of dollars in aid. Conflicts over the accounts between Iceland, which is not a member of the EU, and EU states Britain and the Netherlands have been delaying an International Monetary Fund-led package worth as much as $6 billion for the crisis-hit country.

0
Your rating: None

Iceland Have To Negotiate With All EU Countries

Posted 17/11/2008 - 00:33 by steveejeb

2008-11-17 (All day)

"We had thought initially that we were dealing with two European countries, that is the UK and the Netherlands, but that's not the case -- we are facing the entire European Union and probably other countries as well," Haarde said.

"What this means here and now is that the IMF will now discuss our case on Wednesday and, following that, we expect that our application will lead to release of the funds we have negotiated with them," Prime Minister Geir Haarde said according to a government website.

"According to the agreed guidelines, the government of Iceland will cover deposits of insured depositors in the Icesave accounts in accordance with EEA (European Economic Area) law," the Icelandic government said in a statement, saying this "common understanding" would form the basis for more talks.

"The European countries are aware of our situation and we have pledges to the effect that we will not be made to shoulder more than the nation is able to," Haarde said.

"Terms and conditions of the support we are now expecting from the European countries are still to be decided."

0
Your rating: None
Syndicate content