Exclusive interviews shine light on impact of Icesave row in Iceland

A series of exclusive interviews in Iceland paint a gloomy picture of the north Atlantic’s financial future if a bill referendum to repay Britain and The Netherlands money spent for lost savings compensation in Icesave accounts is rejected. The vote, due before March 6, could leave Iceland cut off from global financial markets with its companies unable to access foreign capital, its currency in quarantine and interest rates painfully high. Visiting correspondents interviewed the prime minister, Johanna Sigurdardottir on January 12, as well as the economy and finance ministers. The interviews indicated a small chance of a compromise with foreign governments and little chance the voters would approve the repayments to the collapsed Icelandic bank.