This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.

You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7660511.stm

The article has changed 5 times. There is an RSS feed of changes available.

Version 3 Version 4
Iceland halts all share trading Iceland nationalises biggest bank
(about 1 hour later)
Iceland has suspended trading on its stock exchange in an attempt to prevent further panic spreading throughout the country's financial markets. Iceland has nationalised its biggest bank, Kaupthing, and suspended trade on its stock exchange in an attempt to prevent further panic in the country.
The OMX Nordic Exchange Iceland is closed for trading for two days and will reopen on Monday. Kaupthing is the third bank to be rescued by Iceland's government.
The decision to suspend trading was taken due to unusual market conditions. The OMX Nordic Exchange Iceland is closed for trading for two days because of "unusual market conditions" and will reopen on Monday.
It comes on the same day as Kaupthing, Iceland's largest bank, became the third bank to be taken over by the country's government in the past week. Meanwhile, Iceland's Prime Minister Geir Haarde criticised the UK's move to freeze Icelandic bank assets.
Mr Haarde said the UK used anti-terrorism legislation to freeze assets in Landsbanki in order to protect UK savings in one of its units, Icesave.
"We do not consider this to be a particularly friendly act. But we understand that the UK authorities need to act in the interests of their citizens," he said.
Over the past years, Iceland has pursued a policy of inflation targeting, similar to the UK..In the case of Iceland it was disastrous. Jon Danielsson, EconomistLondon School of Economics Brown: Iceland's actions illegalAnalysis: What happened to Iceland?Councils 'not reckless with cash'Icelandic compensation to start
Prime Minister Gordon Brown has condemned Iceland's handling of the collapse of its banks and its failure to guarantee British savers' deposits.
Mr Brown said it was "effectively illegal" and "completely unacceptable".
Unusual conditions
Mr Haarde said Iceland had not decided whether to seek help from the International Monetary Fund to weather the crisis.
The country's Financial Supervisory Authority said it took over Kaupthing to safeguard its domestic banking system.The country's Financial Supervisory Authority said it took over Kaupthing to safeguard its domestic banking system.
All domestic deposits at the bank were fully guaranteed, it added.All domestic deposits at the bank were fully guaranteed, it added.
On Wednesday, the UK Treasury arranged for ING Direct to take over the £2.5bn of deposits of 160,000 UK customers of Kaupthing's online arm, Kaupthing Edge.On Wednesday, the UK Treasury arranged for ING Direct to take over the £2.5bn of deposits of 160,000 UK customers of Kaupthing's online arm, Kaupthing Edge.
Over the past years, Iceland has pursued a policy of inflation targeting, similar to the UK..In the case of Iceland it was disastrous. Jon Danielsson, EconomistFinancial Markets GroupLondon School of Economics Analysis: What happened to Iceland?
The Swedish central bank had already agreed to provide a loan to the bank's Swedish arm.The Swedish central bank had already agreed to provide a loan to the bank's Swedish arm.
Iceland's government has now seized control of all three of the nation's major banks. Landsbanki and Glitnir were taken over earlier this week.Iceland's government has now seized control of all three of the nation's major banks. Landsbanki and Glitnir were taken over earlier this week.
The country has struggled to cope with the global financial crisis. The country of just 300,000 people has struggled to cope with the global financial crisis.
"The action taken... was a necessary first step in achieving the objectives of the Icelandic government and parliament to ensure the continued orderly operation of domestic banking and the safety of domestic deposits," Iceland's Financial Supervisory Authority said."The action taken... was a necessary first step in achieving the objectives of the Icelandic government and parliament to ensure the continued orderly operation of domestic banking and the safety of domestic deposits," Iceland's Financial Supervisory Authority said.
Are you affected by the issues raised on this story? Are you in Iceland? Do you have any savings in Kaupthing?Are you affected by the issues raised on this story? Are you in Iceland? Do you have any savings in Kaupthing?
In most cases a selection of your comments will be published, displaying your name and location unless you state otherwise in the box below.In most cases a selection of your comments will be published, displaying your name and location unless you state otherwise in the box below.
Name
 Name