Posts Tagged ‘Government Of Iceland’
Friday, August 28th, 2009
Press statement from the Government of Iceland – 28.08.2009
Parliament approves state guarantee for Icesave loans
Today, following 10 weeks of debate, Iceland’s Parliament, the Althing passed legislation authorising a state guarantee for the loans granted by the Governments of the United Kingdom and the Netherlands to the Depositors’ and Investors’ Guarantee Fund of Iceland.
According to the legislation, the state guarantee will be subject to certain criteria and preconditions. These are aimed at ensuring debt sustainability and allowing Iceland to restore its financial system and its economy while at the same time honouring Iceland´s international obligations.
Prime Minister Johanna Sigurdardottir welcomed the Althing´s decision:
“This is one of the largest financial and economic issues ever faced by Iceland and it has greatly preoccupied the Althing and the people since the collapse of the banking system last Autumn. The guarantee of the combined loans from the United Kingdom and the Netherlands constitutes the single largest financial commitment ever undertaken by the Government of Iceland. Therefore, as I am sure that every parliamentarian will appreciate, the Icelandic parliament has a solemn duty to ensure an economically sustainable future for the country. This has been its goal. Its conclusion of the matter aims towards securing the recovery of Iceland´s financial system and economy. This is for the mutual benefit of both lender and borrower.”
The Prime Minister also praised the tireless efforts by Parliamentarians in the Althing to reach as broad a consensus as possible and stressed the importance of political unity in difficult times.
Following the outcome of the parliamentary process, the Government of Iceland will now consult with the Governments of the United Kingdom and the Netherlands.
Prime Minister Sigurdardottir said that her Government was hopeful that the Icesave issue would now be concluded in a mutually satisfactory manner.
Further information:
Prime Minister’s Office Rekjavik
Kristjan Kristjansson
Press Secretary to the PM
tel: 00 354 899 9352
kk@pmo.is
Ministry of Finance Reykjavik
Elias J. Gudjonsson
Press Secretary
tel. 00 354 694 1480
elias.j.gudjonsson@fjr.stjr.is
Ministry of Foreign Affairs Reykjavik
Urður Gunnarsdóttir
Press Secretary
tel. 00 354 864 9974
ug@mfa.is
Tags: Althing, Conclusion Of The Matter, Debt Sustainability, Depositors, Difficult Times, E Loan, Financial Commitment, Government Of Iceland, Guarante, Guarantee Fund, International Obligations, Last Autumn, Mutual Benefit, Parliamentarian, Parliamentarians, Political Unity, Preconditions, Solemn Duty, State Guarantee, Tireless Efforts
Posted in Iceland | No Comments »
Wednesday, August 26th, 2009
The government of Iceland agreed yesterday to start preparing a lawsuit against and demand compensation from individuals, associations and companies which caused financial damage to the Icelandic state and the Icelandic public in the events leading up to the banking collapse.
Tags: Collapse, Demand Compensation, Financial Damage, Government Of Iceland, State Government, Vikings
Posted in Iceland | No Comments »
Friday, August 14th, 2009
Further to the announcement of 20 July 2009 and following shareholder meetings of Islandsbanki and New Kaupthing today, the Government of Iceland is pleased to announce that it has committed to capitalise Islandsbanki and New Kaupthing on the basis of compensation agreements which are in the process of being finalised with the Resolution Committees of Glitnir and Kaupthing. Islandsbanki and New Kaupthing are being capitalised with ISK 65 bn and ISK 72 bn of tier 1 capital respectively in the form of Government bonds, giving each bank a core tier 1 ratio of approximately 12 per cent.
In relation to Landsbanki, the Government and the Resolution Committee of Old Landsbanki have agreed to seek a short extension from the FME in order to reach final agreement on capitalisation and compensation arrangements. Negotiations between the two parties continue in a satisfactory manner.
Commenting on today´s announcement, Steingrímur J. Sigfússon, the Minister of Finance of Iceland said:
“The capitalisation of Islandsbanki and New Kaupthing represents another step in the re-establishment of a stable banking system for Iceland. Negotiations in respect of Landsbanki continue and we expect to be able to capitalise Landsbanki shortly.”
Ministry of Finance, August 14 2009
Tags: Banking System, Capitalisation, Compensation Agreements, Compensation Arrangements, Finalised, Form Of Government, Glitnir, Government Bonds, Government Of Iceland, Islandsbanki, Kaupthing, Landsbanki, Minister Of Finance, Ministry Of Finance, Recapitalisation, Resolution Committee, Satisfactory Manner, Shareholder Meetings, Tier 1 Capital, Tier 1 Ratio
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Wednesday, August 12th, 2009
The former government of Iceland, under Geir H. Haarde, begged for and then rejected the offer of a multi-billion dollar loan from Russia, the Russian ambassador to Iceland said today.
In an interview with Netvarpid.is, Ambassador Victor I. Tatarintsev said that Russia had been the first country to offer Iceland help with its financial crisis after the then government asked for assistance. At the time, the talk was of a four billion euro loan from Moscow.
“Your previous government didn’t want the loan and then went instead to the IMF,” Tatarintsev said.
The ambassador continued by saying that if the Icelandic government had accepted the loan it initially asked for from Russia, the country’s situation today would be entirely different. In his personal opinion, he says the kreppa (recession) would not have been so severe.
In the interview, Tatarintsev said that the USA, the Nordic countries and other supposed close allies of Iceland had turned their backs on the country. On the other hand, the Russians did not; and instead offered their help.
The Central Bank of Iceland sent out a press release detailing a loan from Russia to Iceland on 7th October last year. The message was, however, rescinded the same day and replaced with a vaguer promise of loan negotiations to follow.
The Russian media reported in June that the country’s deputy finance minister was not sure that Iceland would accept a loan from the Russians before next year even if a loan contract is agreed. The parties are now talking about a considerably lower loan amount than last October, probably around USD 500 million.
Tags: Allies, Bank Of Iceland, Central Bank Of Iceland, Deputy Finance Minister, Dollar Loan, Financial Crisis, Geir, Government Of Iceland, Imf, Loan Contract, Moscow, Negotiations, Nordic Countries, Personal Opinion, Press Release, Recession, Russia, Russian Ambassador, Russian Media, Russians
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Monday, July 20th, 2009
The government introduced an agreement with the bank’s resolution committee at a press conference today which was held in the National Theatre in the capital city of Reykjavik. Bank obligees will discuss the new agreement but hopes are rather high that they will accept this agreement.
Foreign obligees would accept to own a big portion of Islandsbanki and Kaupthing banks, however the government of Iceland will still run Landsbanki. The Old Landsbanki, as called in Icelandic Gamli Landsbankinn, is however owned by the British and Dutch governments.
If the banks are owned by foreign companies, this also means that the banks can again participate directly in the international financial market, rather than being government owned. The government stated today at the press conference that this is a big step in fixing and moving forward for Iceland’s economy.
Although it is in Icelandic, it is possible to see here the proposed agreement.
(Photo/Steingrimur Sigfusson taken by Omar from mbl.is)
Tags: Amli, Banks, Dutch Governments, Economy, Government Agreement, Government Of Iceland, International Financial Market, Islandsbanki, Kaupthing, Landsbanki, Landsbankinn, Mbl, Photo, Resolution Committee, Reykjavik
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Friday, July 17th, 2009
In recent weeks, negotiations have been ongoing between representatives of the Government of Iceland and the Resolution Committees of the three old banks on behalf of their creditors regarding the final resolution of the separation between the new and the old banks.
Tags: Banks, Committees, Conclusion, Creditors, Government Of Iceland, Negotiations
Posted in Iceland | No Comments »
Tuesday, July 14th, 2009
The people of Iceland are being punished for the misbehavior of the countries financial elite
This might come as an surprise to some, Iceland had its share of financial elites, I say had because they are all gone now. Most of them are running away as fast as they can, trying to move all valuables to tax-havens before the government puts a freeze on there assets. Yes, the government of Iceland has yet to freeze any assets since the banking crisis hit almost 10 months ago.
The world never stops to let me down, everything is falling apart, there is no trust left anywhere. Even the Social Democrats who came into power only a few months ago, when Iceland elected its first pure left government, have done nothing but let us down. From a fresh breeze to a rotten old smell of disgusting politics, only a few days are needed to turn a group of decent parliamentarians into pale blood sucking pack of scumbags.
Last summer, If anyone had asked my if Iceland needed help I would have laughed in their face. Help? We don’t need anyone, we have everything right here and more. The investigations into the collapse is going slowly, but these things are complicated, that’s why we have imported help from Norway in the form of Eva Joly. Right now, that’s all the hope I have left in the system, it has come down to a single person almost. If Eva Joly can’t get those bankers, no one can.
We can’t wait for the EU membership, that thing takes years, and why should Iceland join the EU anyway? The other Scandinavian countries have turned there back on us. No help from there, unless we agree to pay billions for the Icesave accounts. Its a fact, the regular Joe’s of Iceland had no clue how the Icelandic banks could offer better interest rates then Deutsche bank. We can’t pay anyway, its just too much for tiny Iceland. The Icelandic Economic Miracle was all a big shame, we know that now, sorry. Please don’t let us pay for the sins of a handful of bankers. They had us for fools.
- Andri Sigurðsson
Tags: 10 Months, Banking Crisis, Billions, Clue, Collapse, Deutsche Bank, Economic Miracle, Elites, Financial Elite, Fools, Fresh Breeze, Government Of Iceland, Handful, Icesave, Misbehavior, Parliamentarians, People Of Iceland, Scandinavian Countries, Tax Havens, Valuables
Posted in Iceland, Market, News, Politics | No Comments »
Friday, June 12th, 2009
The government of Iceland has approved the signing of an agreement to conclude the talks with Britain and Holland on the Icesave issue.
Tags: Commitments, Government Of Iceland, Holland, Icesave
Posted in Iceland | No Comments »
Tuesday, March 10th, 2009
The Government of Iceland has appointed Norwegian-French Magistrate Eva Joly as a special adviser on the investigation of cases linked to the country’s economic collapse.
Tags: Adviser, Economic Collapse, Eva Joly, Expert, Financial Affairs, Financial Investigations, French Magistrate, Government Of Iceland, Norwegian
Posted in Iceland | No Comments »
Wednesday, February 25th, 2009
The Government of Iceland has appointed two negotiation committees for finalizing insolvency and loan matters related to the fall of the Icelandic Banks last October.
Tags: Banks, Government Of Iceland, Insolvency, Loan Matters, Negotiation Committees
Posted in Iceland | No Comments »