Dutch and British will probably not let Iceland in the EU if it doesn’t live up its obligations. And know this: the EU doesn’t need Iceland as much as iceland needs the EU! If Iceland cannot rely on outside help (e.g. IMF) it will be confronted with even bigger debts. Without outside help Iceland will become even less creditworthy. The islandic currency will become even worthless as compared to the Euro, Imported goods will become extremely expensive! And if Iceland refuses to pay it declares a financial war on itself.
I think Island is the worlds most arrogant small country.

Axel does reply :
>The man almost ruined this country.

If you look at facts that is simply not case.

>he is a enemy of the state, if you like him so much and think he can return to
>iceland,

He has returned to Iceland several times. You remember he does not live in Iceland — he has lived abroad for most of his life. This is not because he had to leave. He has not lived here for most of his life.

Even Spaugstofan does make fun of him about the way he speaks Icelandic because he has been away for so long.

>why dont you take him to a icelandic pub and see what happens, just
>call 112 before you walk in the door.

I do not know what pub you go into but I expect in most pub in Iceland there would be a different reaction which is to interrogate him about his latest investment.

Icelander have not suddenly because uncivilised and knee jerk because of the Kreppa. Only our politicans in govenrment seats now are like that.

Unlike other Outvasion Vikings who did leverage their own capital from companiues inside Iceland he did bring capital into country from his own business built up and sold outside.

Yes from selling business he did build up with his own sweat. Not some borrowing cheap easy money.

And has continued to do that even thnough it is made so difficult now by Red-Green coalition.

( You know the geniuses that do raise taxes to 30% because they friends in Dutch government told them that it would be a good idea to do it – from 10%.. )

Read again this interviwe that is very much over looked and do compare and match his actions with his words instead :

http://www.icenews.is/index.php/2008/10/31/interview-with-bjorgolfur-thor-bjorgolfsson/

Yep. Too busy trying anything to avoid it being a state guarantee to concentrate on the important points. By the time they’d accepted that that was not on the table (May IIRC), they appear to have used up any goodwill on the UK/NL side.

Still I’d personally either have used the rate the Nordics are using, which is variable and low at the moment but which will likely top 6% when EU rates recover, or the 5.25% rate that the Faroes agreed to. Either one would have disarmed the argument that the rate is too high.

AFAIK, the UK is currently borrowing at or near 4% and it’s not from the EU (at least not from some central EU reservoir). But I freely admit that I might be wrong on both counts.

That’s a good question, but there’s also a good commercial reason: the Icesave loan has already been lent and so the interest rate negotiation should now be in Iceland’s favour. It’s unfortunate that Iceland’s original negotiators were unable to exploit that point to agree a lower rate (eg 3.5%) many months ago to help Althingi agree and move on. The UK and Iceland should have met half-way if they wanted an agreement. Or the UK can stick to its guns and there may never be an agreement…

The man almost ruined this country.
he is a enemy of the state, if you like him so much and think he can return to iceland, why dont you take him to a icelandic pub and see what happens, just call 112 before you walk in the door.

Bromley, Britain and NL are boroing this amount they intend to lend iceland from the EU, i wonder what interest rates they are paying, 1% ?
the reason iceland is being forced to pay high rates is because of our credit rating status whitch is almost as bad as it gets, but then you look at Britain, who has no natural resources, horrible debts, horrible deficit, massive unemployment, a uselsess gov thats as good as dead, way to big banking sector who is in great distress to say the least and bad future prospects for the next 10-20 years,
still Britain has AAA ratings, who believes this,
i wonder if Britain has a ” special tunnel ”
to the rating companies.

Brits are probably not going to be living in mud huts or wear straw skirts but brits are going to have to build a sustainable econmy at some point.

So, assuming for the moment that Iceland should pay the Icesave guarantee, why should that rate be different from the rest?

“The money available for business and individuals to borrow was not provided by icesave deposits.”
——-
Jimbo (original Jim) said:
“Why do you think that? For example, can you provide a reference/link to show that Icesave deposits were ringfenced from use in Iceland in 2007-2008? How do you know they weren’t used to provide Icelandic salaries, Icelandic loans, collateral for Icelandic loans, etc?”

Jimbo this is what I wrote

“The Icelandic bubble was not was filled with Icesave air. The money available for business and individuals to borrow was not provided by icesave deposits.”

The bubble was made possible with easy available credit sourced from Eastern investments. This ended in april or may 2006 when the economy should have allowed to retract.

Have you checked the Landsbanki accounts to see where the Icesave money went?
Could well have gone to apply plaster to the considerable foreign operations.
How much did they purchase in the UK on borrowed money, how much had they loaned out with borrowed fund/ deposit funds in the UK?
What was the source of all the money loaned out in Iceland after 2006? Do you have any links to provide clues? The Icesave claim is about 14% of the total claim on Landsbanki´s estate. Landsbanki had about what 50% ? of the business market in Iceland. State owned institutions provided most of the mortgages and student loans.

It is palpable nonsense to allude that an Icelandic citizen having already purchased a house or a car will not have to pay that mortgage or repay that loan back, that the Icelandic citizen has taken the money and run. Every personal loan, car loan and mortgage taken by an Icelandic citizen is required to be paid back.
The Iceland economy had recovered quite fine from the crash of the early 80′s. It took about 10 years for a basic stable business confidence. This stability stayed for another 10 years, stable house prices employment and stable enough currency. Iceland was doing just fine before the bubble started to be seriously pumped in 2003. Pre 2003 the standard of living was good and quality of life as good as it gets.

>>A more accurate statement would be-
>>”Few Participate in Informal Online Vote on Icesave
>>
http://www.icelandreview.com/icelandreview/daily_news/?cat_id=16539&ew_0_a_id=355604
>>
>>However, sadly – the result may reflect the overall position of Icelanders.

If you look at indefense.is poll ( signed by close to 10% of Icelandic people ) and this online scientifc one it does show exactly what is on Icelander mind.

Which is that vasy majority Icelanders believe that UK and Holland is taking advantage of them with IceSave deal of 5.5% interest.

And they want to see it in front of a impartial court.

>>In another thread Fisy said:
>>>Personally I am not comfortable with that rite off after 2024. But perhaps it is indeed done for a reason as Axel says about the IMF loan ceilings. But still I would prefer personaly that we paid off the full debt as long as it would take, subject to the caps based on GDP.

>>>But this only will close the IceSave issue.
http://www.icenews.is/index.php/2009/09/02/icelandic-president-signs-icesave-deal/#comment-92309
..
>>>This ” profit is private an losses are public ” mantra from left wingers is mind less slogan. It is mind less slogan because of course as Mike UK Nordic analyst point out before profit is taxed by the state. So the profits are public as well as private.
>>>The losses * should * not be public. But thanks to EU regulations they have become for us in IceSave case.
>>>Lets be specific, the ” fine system ” you are talking about came from the EU regulations. That is why Icelandic taxpayer is left with this bag for IceSave ( Landabanki ).
>>>A bag we taxpayers do not have to take for Glitnir ( in worse shape ) and Kaupthing ( in good shape but taken by UK Darling and the FSA anyway).”

>I would appreciate a clarification at this point.
>Knowless and Fisy – is your present position that the debt is legitimate, and the issue relates not to an acceptance of liability – but to the terms of settlement – in that the debt should be sustainable?

Under EU directive that we did put into Icelandic laws as part of EEA agreement — we do not have to take on this debt as a state guarantee.

But yet if this was put in front of impartial court then after that result can come politicial agreement that Icelandic government should take on burden of the debt loan that was made by UK and Holland.

Problem is that it hasn’t and this 5.5% interest is just horrible.

So we have had enough of this bullying and we want to see it in court.

That is what I and the Icelandic tax payer do want.

We have had enough of UK and Holland.

We have had enough of EU commission.

Even if that means individual EU member state making a trade embargo against us until court case is finsished.

Then so be it.

To court.

It receive very little publicity. I had not herd about it until it was over for example.

But indefense.is has received proper coverage and has been open for some time.

If scientifc one was actually open and publicity for the same length time as indefense you would see similiar or greater turnoout. And same atttiude.

In this case if it was open longer you would have had an actual scientific referendum done on this issue. I can tell you that results clearly would have scaled up..

When it goes to referendum by president you will see that.