16 October 2008

Payments to Icelandic banks

October 16, 2008

In view of the extraordinary circumstances surrounding banking operations at present, we have reason to believe that some payments from foreign parties to Icelandic banks are being stopped in transit.

If any foreign parties are uncertain whether their payments are being routed to the proper parties, or if they fear that they will be held liable for non-delivery of such payments, the Central Bank of Iceland has declared to foreign credit institutions that it will guarantee that all payments routed through the Central Bank's accounts to the accounts of Icelandic credit institutions will be delivered to the credit institutions concerned, for the benefit of the relevant account holders in those institutions.