PRESS RELEASE FROM THE CENTRAL BANK OF ICELAND:
The Board of Governors of the Central Bank of Iceland has decided to increase the spread between the Bank’s highest and lowest interest rates. Interest rates on financial institutions’ current accounts with the Central Bank will be reduced from 17.5% to 15% effective December 21, interest on overnight loans will rise from 20% to 22% effective December 18, and interest on certificates of deposit and term deposits will be reduced from 17.75% to 15.25% effective December 29.
These changes do not entail a change in the Bank’s monetary policy. The Central Bank of Iceland’s policy interest rate will remain unchanged at 18%. The interest rate changes are intended, however, to promote increased activity in the interbank market with krónur.
What interbank market with Kronur? That doesn’t exist outside Iceland. The ECB rate is still EUR 1 = ISK 290. What’s going on here?
Amazing,it is beter to dont read the news anymore,nothingh makes sense.live day by day.realy much beter,ECB i dont now what they are thinking,does somebody got news about why the rate is like that-290….isk
The ECB rate is today 327 for a Euro. It is rising because demand and cash shortens. The ECB rates doesn’t mean anything really. it just means that there almost no ISK transactions outside Iceland.
I believe this is a clear sign of a dying króna. The question whether to adopt another currency is obsolete. The question now is When to adopt another currency.
The ECB has been stuck on €1 = ISK 290 for ages.
Try here http://www.halofinancial.com/ for something more up-to-date. Today it is €1 = ISK 316 which just goes to indicate the extent to which the daily exchange rate displayed in Morgunbladid’s News In English page is rigged.
http://uk.finance.yahoo.com/q?d=t&s=EURISK=X
Shows 320/370 sell/buy for the Euro.
http://coinmill.com/EUR_calculator.html#EUR=1
1 Euro = 164 Isk
I GOT TO SEND ALMOST ALL MY MONEY OUT OF ICELAND. WELL, IT SEEMS THAT IT IS WHAT EVERYONE IS TRYING TO DO. EVERYONE SAVE THEIR ASSES!!! WOMEN AND CHILDREN FIRST, THIS IS SINKING!!!
AND I WOULD LIKE TO TRAVEL ABROAD TOMORROW AND TAKE AS MANY CASH FROM THE ATMS AS I CAN THEN GET PAID IN JANUARY AND GET ALL THE MONEY AS WELL, AT THE VERY NICE PRICE OF THE ICELANDIC BANKS!!! AND THEN COME HOME WITH IT AND USE IT, AS LATER IN JANUARY THE EURO WILL GET 370… I KNOW, I AM A BASTARD… BUT THIS IS SURVIVING HONEY…
People open your eyes, didnt you see the interview with poul Thomsen tonite on chanel one news, how much clearer do you want it? number one: Iceland has to decide quickly which currency they want to take, Translation: the krona is death, number two: Iceland will hit bootom by the end of 2009, Translation: this is only the begining, Number three, after that severe restricton to the national budget and the economy for years to come, translation: wellcome to poverty. For those of you how much clearer do you want it? He said that the goal of stabilizing the currency INTERNALLY was working, Translation: they have manage to convince the people not to take they money out of tha bank and put all that they took back in. thats all they have manage to stabilize the krona inside Iceland, he never said that the FX (forign xchange) is stabilizing but they are trying to sell this idea. Really what part of choose another currency, the country will hit bootom till the end of next year and severe resetion FOR YEARS to come dont you get? Cheers!!!
Stan, stan, stan:
“the blob /’I can not really comment on anything you wrote since I haven’t read it, in my eyes your posts are not worthy of reading’//// Ever heard of objectivity?”
Why do you comment you you claim your salef that you can not comment?
How would you know it is not worthy of reading since you haven’t read it?
Yes; I heard of objectivity but why should I apply it in a post where I express my own oppinon?