Paul H. makes a good point in a comment here:
Under the circumstances it would make most sense to re-structure loans to a form that can actually be paid back.
For benefit of both lender and borrower.
Weren’t the ‘amendments’ to the Icesave ‘deal’ meant to make it possible for Iceland as a whole to be capable of paying off the ‘debt’?
Then surely Icelanders as individuals deserve the same consideration.
Otherwise, what was the point?
Penalizing people who are doing the right thing by paying off debt is counter to common sense.
The point is very valid. Why is Steingrimur J. Sigfusson asking Icelandic households to view their unsurmountable debt any differently than the state?
Yesterday I heard from a person who’s been advising the Icelandic government that she thought the IceSave agreement should be signed immediately, and then Iceland shouldn’t pay when it is supposed to. Or at least wait until a new government is in place in the UK, one that doesn’t have to boost its approval ratings by inventing common enemies for its people.
Great idea. Unless the British and Dutch governments then behave like Icelandic banks and take away everything from their debtors.
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Silvia Planchett
2 years ago
Excellent deduction since the state is ultimately the entity that allowed all of the indexing and other lending rules to take place!