Failed banks: creditors’ proposals

The Ice­land Min­is­try of Fin­ance and Economic Affairs has announced that it is cont­inu­ing consultati­ons with parties af­fected by capital controls in Ice­land.

The Ice­land Task Force on the Li­ber­alisati­on of Capital Controls has con­fir­med that the proposals su­bmitted by cred­itors of Glitn­ir, LBI and Kaupþing (the three lar­ge Icelandic banks that fai­led in 2008) to avail themsel­ves of the ‘stability conditi­ons’ announced by the Icelandic go­vern­ment today con­form to Steer­ing Comm­ittee gui­del­ines.

The Task Force reports to the Steer­ing Comm­ittee, which is made up of the Icelandic Mini­ster for Fin­ance, the Go­vern­or of the Central Bank of Ice­land and representati­ves of the Prime Mini­ster’s Office.

The Task Force th­erefore recomm­ends that the cred­itors in qu­esti­on be gran­ted ex­empti­ons from capital controls on the strength of their proposals.

Specific MoF statements reg­ar­ding these three banks are availa­ble below:

Glitn­ir
Kaupt­hing
LBI

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