REYKJAVIK - Thousands of Icelanders demonstrated in Reykjavik on Saturday demanding the resignation of Prime Minister Geir Haarde and Central Bank Governor David Oddsson for failing to stop a financial meltdown in the country. It was the latest in a series of protests in the capital since the financial meltdown that crippled the island's economy. Hordur Torfason, a well-known troubadour in Iceland and the main organiser of the protests, said the protests would continue until the government stepped down.... "They don't have our trust and they are no longer legitimate," Torfason said as the crowds gathered in the drizzle before the Althing, the Icelandic parliament.
Once upon a time not so very long ago, I mentioned that I was hoping to go to Iceland to celebrate my 50th birthday, which is still about 17 months away. I can't really say why or how I happened to pick Iceland, other than it's WAY off the beaten path, and I've always had a thing for remote outposts. Albania, f'rinstance, fascinates me, and my short experience there only heightened my curiosity. I love going to places that most sane, normal Americans wouldn't go to on a bet. So, Iceland seemed perfect...especially when you consider that it met my one hard and fast criteria- no snipers or minefields. Lord knows I've had enough of that during my previous travels. I just want to go someplace where my personal safey won't be jeopardized by incipient or overtly violent conflict.
Sadly, recent events have me rethinking Iceland. Violence and this barren isle in the North Sea wouldn't seem to be things that go hand in hand. Well, at least that seemed to be true until the country- yes, the entire freakin' country- went bankrupt. I guess that's what happens when a country's banking industry goes off the deep end. Eh, greed is good, no??
Iceland's three biggest banks -- Kaupthing, Landsbanki and Glitnir -- collapsed under the weight of billions of dollars of debts accumulated in an aggressive overseas expansion, shattering the currency and forcing Iceland to seek aid from the International Monetary Fund (IMF).
This week, the North Atlantic island nation of 320,000 secured a package of more than $10 billion in loans from the IMF and several European countries to help it rebuild its shattered financial system.
Despite the loans, Iceland faces a sharp economic contraction and surging unemployment while many Icelanders also risk losing their homes and life savings.
A young man climbed onto the balcony of the Althing building, where the president appears upon inauguration and on Iceland's national day, and hung a banner reading: "Iceland for Sale - $2.100.000.000", the amount of the loan Iceland is getting from the IMF.
Not being an economist (I was a History major, so this sort of thing is WAY outside my bailiwick), I have no idea what happens when a country goes bankrupt. Here in the US, a company can file for bankruptcy under Chapter 11, which normally allows a company to reorganize and save it's bacon. But an entire country? Man, I have NO idea. Do you liquidate assets on eBay? Have a country-wide garage sale? Or perhaps you just sell the country to the highest bidder? How much could you get for Iceland? Is $2,100,000,000 a good buy? Or will the price drop if I hold out a bit longer? Man, I never was very good at this sort of thing....
Recent events certainly have me rethinking my plans, but it's not as if I have to make a decision tomorrow. I'll just have to rethink my goals and perhaps determine what other little-known, off-the-beaten-path sort of place I'd like to grace with my presence.
Suggestions??
