IMF Delays Iceland Decision Once Again Skip to content

IMF Delays Iceland Decision Once Again

The board of the International Monetary Fund (IMF) was supposed to reach a decision on whether or not to grant Iceland an IMF-led emergency loan package today but the decision has been delayed for the third time. A new date for decision-making has not been set.

“I hope it will take place as soon as possible,” Prime Minister Geir H. Haarde told Morgunbladid adding that considerable uncertainty is surrounding the potential IMF economic stabilization program.

According to Haarde, the IMF is requiring more detailed information on Iceland’s accessibility for loans at other parties before the fund decides on granting Iceland a loan via an economic stabilization program.

“I trust that nothing else is involved [in the delay], not pressure from European Union member countries because of Icesave,” Haarde said, referring to an unconfirmed rumor that British and Dutch authorities are opposed to granting Iceland an IMF-led loan before an agreement is reached regarding deposit accounts of Icelandic banks in their countries.

Haarde emphasized his opinion that these two matters, Iceland’s dispute with British and Dutch authorities and its request for assistance from the IMF, should remain unrelated.

When asked for how long Iceland could wait for assistance from the IMF, the prime minister replied, “We will manage for a while longer but this is naturally not a good position.”

Click here to read more about the unconfirmed rumor and the Icesave dispute and here to read more about the IMF delaying its decision-making in regards to Iceland’s request.

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