Concern for Iceland grows after rate rise

Fears that Iceland could be the first country to fall victim of the global financial turmoil grew on the 25 March 2008 when the Central Bank if Iceland abruptly increased interest rates 1.25 percentage points to 15 per cent in an attempt to restore confidence in its struggling currency and stave off a full-blown economic crisis.

Central Bank of Iceland: Press Release, 25.3.08: Monetary policy statement by the Board of Governors of the Central Bank of Iceland: http://www.sedlabanki.is/?PageID=287&NewsID=1690

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