The trend continues. There is a hysteria around the world among all the world’s statists and they are buying up and nationalizing private property like never before. Small countries are struck very hard and in Iceland the situation is almost out of control. I’ve talked a little bit before about the detoriating economy of Iceland which has had a fever the past year. No the fever looks like to have exploded into a real focus of disease. Yesterday, the Icelandic government purchased a 75 percent stake in Glitnir Bank. The other Icelandic banks are not facing the same problems. Prime Minister Haarde said that in meetings with executives from the other banks over the weekend, no problems were reported.
The government says of course that they won’t stay for long-term, but who trust them? The govs. have lied before so why can’t they do it a second round? This nice little bail out cost the Icelandic taxpayers ISK 84 billion, or EUR 600 million.
In other news, the Icelandic króna (the currency) has never been as low as it is now. Never.
So if you always dreamed of Iceland, now is the time to go …