Letters from Iceland

While Ireland’s mounting debt mountain continues to cause chaos in the Eurozone, I’ve spent the past week in the one country that embraced default back in October 2008: Iceland. Not that Iceland really had much choice about defaulting; the debts of its three privatised banks, Landsbanki, Kaupthing and Glitnir, were almost ten times GDP when the kreppa (or crisis) struck. The big issue in Iceland at the moment should be next week’s referendum on Icesave. The high-interest internet arm of …

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