Wed Jan 6th, 2010 at 08:44:26 AM EST
Icelandic president says won't sign Icesave bill | Reuters
REYKJAVIK, Jan 5 (Reuters) - Iceland's president, Olafur Grimsson, said on Tuesday he would not sign into law a bill to repay more than $5 billion lost by savers in Britain and the Netherlands when the island's banks collapsed. After weeks of heated debate, Iceland's parliament late last month passed the bill in a move seen as a boost to the country's hopes of swift entry to the European Union and of getting its shattered economy back on track.
But the bill still required the approval of Grimsson, who was petitioned by nearly a quarter of the North Atlantic island nation's voters asking him to refuse to sign the bill and force a referendum on the fiercely debated issue.
This is only the second time in Iceland's history that the president has not signed into law a bill approved by parliament.
Frontpaged by Jérôme. See also the earlier diary Iceland revolts against debt-slavery by IdiotSavant for background on that decision and further discussion.