ISSN 2330-717X

Icelanders Reject Bank Bailout Repayment Plan

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Icelandic voters appeared Sunday to have rejected a plan to repay Britain and the Netherlands for money their citizens lost in a failed Icelandic bank.

With about 70 percent of the vote of Saturday’s referendum counted, the vote was 58 percent against the plan – a result that is bound to embarrass the Reykjavik government.

Prime Minister Johanna Sigurdardottir called the results disappointing. She has said a “no” vote would result in political and economic chaos.

Authorities say British and Dutch customers deposited $5 billion in online bank, Icesave. When the bank failed, Britain and the Netherlands compensated their citizens for lost savings. Both countries are now seeking reimbursement from Iceland.

A payment schedule approved by Iceland’s parliament in January was eventually vetoed by the president.

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