Iceland hikes rates by 600bp to access IMF funds

The Central Bank of Iceland has raised rates by a staggering 600 basis points to 18% to meet the conditions of the International Monetary Fund's (IMF) $2.1 billion loan.

The central bank said that one of the loan conditions was that rates were raised to 18% by the time the agreement was presented to the IMF's Executive Board. The board is due to view the agreement over the next few days.

The collapse of the krona in recent weeks triggered the Fund's calls for the move.

"It is of overarching i

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: