Just like many African nations, Ireland’s debts must be cancelled or a ‘financial bomb’ will go off in its most deprived communities
But in Iceland They REFUSED TO PAY
Iceland was ripe for change, having effectively gone bust thanks to the cronyism of a cluster of politicians and bankers who thought that they could turn an island of fishermen with a population of 318,000 into a financial superpower.In less than four years, the most rapid expansion of a banking system in history saw three privatised banks develop assets 10 times the size of the country’s GDP. It was the Icarus economy. Property prices tripled, the stock market multiplied nine times, and people borrowed heavily – often in foreign currencies – to cash in on the boom. The crash was fast, hard and painful, worsened by the collapse of the krona as the state, unable to bail out the banks, refused to pay foreign creditors. The strategy looks smart now, compared with events in Greece and Ireland
A £963,000 bonus in shares awarded to Royal Bank of Scotland boss Stephen Hester is strongly criticised by politicians and unions.