Iceland’s parliament is close to approving the repayment of nearly €4bn lost by British and Dutch savers in a failed Icelandic bank – but with a series of conditions that could yet cause the pact to unravel, the FT reported. The compromise legislation, expected to be published on Monday, aims to end a two-month impasse since Iceland’s government struck a provisional deal with the UK and the Netherlands on the compensation. The bill is considered crucial to secure additional billions of euros of international support for Iceland’s shattered economy and to clear the way for talks on its application to join the European Union.

This entry was posted by Stacy-Marie Ishmael on Monday, August 17th, 2009 at 4:37 and is filed under Capital markets. Tagged with iceland, landsbanki. Edit this entry.