(Updated 17.24 GMT) The Progressive Party in Iceland believes Prime Minister Johanna Sigurdardottir is deliberately trying to block a potential massive loan to the country from Norway completely unconnected to the IMF package. The Prime Minister described the allegations as preposterous.
Members of the Progressive Party met with Norwegian parliamentarians earlier in the week to discuss, among other things, the idea of Norway lending Iceland a sizeable chunk of money. The amount under discussion is up to NOK 100 billion, which is ISK 2,200 billion.
Representatives of the Norwegian Centre Party, one of three members of the coalition government and sister party to the Progressives in Iceland, are said to be enthusiastic about the idea. The Labour Party of Prime Minister Jens Stoltenberg is, however, less enthusiastic.
Johanna Sigurdardottir sent Stoltenberg a letter on Monday asking if such a loan would likely be offered to Iceland. Stoltenberg responded on Thursday saying that it is not likely. The issue has not been discussed within the Norwegian government.
Sigurdardottir told Visir.is is that Stoltenberg’s letter was categorical. “It was made clear that the Norwegians are well-intentioned towards us, but their official position remains that the money they loan Iceland will be part of the Nordic loan offered within the IMF package and they do not intend to change that,” she said.
Leader of the opposition Progressive Party, Sigmundur David Gunnlaugsson accused Sigurdardottir of having asked for such a response from Stoltenberg. He said that the Norwegian Labour Party was looking to her Social Democrats for support in the issue and would be guided by them in its position. But as the Social Democrats wish to continue with the IMF package, the Labour Party has not offered its support to the Progressive and Centre Parties’ plan.
“That is a preposterous claim and I don’t know how they imagine I could just order up a conclusion from the Norwegian Prime Minister. Absolutely ridiculous. It is also absurd that I would try to block a condition-free loan to Iceland.”
Since this news first broke, the Icelandic Prime Minister’s office has decided to release the PM’s initial email and Stoltenberg’s response to the public. They can be viewed translated into Icelandic here, and in Norwegian by clicking the two links at the bottom of that page.
Preposterous seemed like the right word, till I saw http://www.icenews.is/index.php/2009/10/08/minister-iceland%e2%80%99s-place-in-eea-not-endangered-by-icesave/comment-page-1/#comment-95885 – seems like preposterous is a favorite word for Icelandic politicians…
Hi Adam,
Indeed it does seem like a favourite word! But we must remember that the quote is translated. The actual word used is “fráleitur” and is more common in Icelandic than preposterous is in English. It could also be translated as absurd, chimeric or chimerical according to the dictionary.
Thanks for reading IceNews!
Alex, editor
Absurd might be a better word to use, its a less extravagant word than Preposterous (which is similar to outrageous and implies an insult)
Hi again,
You’re probably right, Peter. I’ll bear it in mind next time. On the other hand, they do have very similar meanings and preposterous is simply a lovely word!
Alex
Non-news…
Those who are too smart to engage in politics are punished by being governed by those who are dumber. ~Plato
Should we have expected a ‘yes’ if money were granted by Denmark instead ? :|
There is nothing dumb to want to be engaged in politics – after all it is just about managing issues that are common to us all. If you are really dumb you are ignorant about politics since it will have an effect on your life as well.
The problem is that the “smart” people have found “smarter” ways to earn tons of money so they are basically not affected by all the decisions that the “dumber” people decide for them.
This kind of stuff includes public health care and all public services. Rich people just don’t care if money that could be used for public services is borrowed to another country because they can always use private ones.