Iceland’s president Olafur Grimsson has refused to sign a new deal to solve the dispute with the Netherlands and Britain about repaying Icesave money and will put the issue to a public vote.
The two countries lent Iceland a total €3.8bn to repay savers who lost cash when internet bank Icesave collapsed.
A new agreement on repaying the money was agreed by the Icelandic parliament last week, but Grimsson said on Sunday he would not immediately ratify it. A previous deal was rejected in a national referendum last year.
Nos television reports that finance minister Jan Kees de Jager does not want to comment on the latest developments and is waiting to see how the situation in Iceland pans out.
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