Iceland, Icesave | featured news

Icelandic voters appeared Sunday to have rejected a government-approved deal to repay Britain and the Netherlands $5 billion for their citizens' deposits in the failed online bank Icesave.

Icelandic authorities should have made sure UK Icesave depositors were insured by the UK, a report says.

Voters in Iceland went to the polls Saturday for a national referendum on whether to repay billions of dollars the country owes to the United Kingdom and the Netherlands.

Icelanders are set to reject the terms for repaying Anglo-Dutch debts in a referendum on Saturday, forcing new negotiations with creditors and delaying financial aid the country needs to fix its shattered economy.

Icelanders are sure to vote against repaying $5 billion in "Icesave" debts if a referendum goes ahead on Saturday, but conditions are good for reaching a revised deal with Britain and the Netherlands, Iceland's Foreign Minister was quoted on Wednesday as saying.