So much going on

Traffic is down. It is a feeling you have had in the last few weeks when driving on the streets but now we have real numbers that say that there is 9% less traffic than a year ago. These results were obtained from measuring-devices around the country and indicate how things are changing. It’s been 25 years since traffic did not increase on the previous year.


Icelandair has gotten rid of the ISK and is now calculating its prices in Euros. More companies should follow suit. Price of airline tickets are rising so road-traffic won’t be the only traffic slowing down.

Good for the environment I guess.


Wonder why the president is so quiet? The new newsgroup Oktober says it is because his daughter is one of three board members of Hagar, Baugur’s supply company. The other two are its owners, Jon Asgeir Johannesson and his father Johannes.

Why did the president invite all these big shots from Baugur to his dinner with Roger Moore again?


The head of the Financial Authority has not seen it unbecoming to accept Christmas gifts from the banks in the last few years. Silfur Egils reports how his regular meetings with top-management at the banks were in private and behind closed doors, at the banks themselves.

Obviously he sees nothing wrong with that and still sits pretty in his position, strongly supported by PM Geir Haarde who has turned both blind and deaf in record time.


Geir Haarde was the only person in Iceland who interpreted Central Bank Governor’s David Oddson’s speech yesterday as uncritical of the government. David actually pointed blame in all directions and especially at the government for not knowing what they are doing. He told the worshipping crowd that he had reported to the government in February about the dire situation of the economy and asked for action. Geir remembers him bringing that warning, so does Ingibjorg Solrun of Samfylkingin but hardly any other minister can remember getting that message, especially the Minister of Commerce.

But he doesn’t seem to know a lot about what is going on anyways so we cannot blame him.


David Oddson denied that it was the interview he gave a month ago which promted the Brits to enact terrorist law against Iceland. In that interview he expressively said that the Icelandic Government did not intend to pay the debts of delinquents. As if it was his place to say, as he is not the prime minister. The next day the Brits acted. No, David knows how this came about and he says there are more phone calls and documents waiting to be brought into daylight.

Although he would not say what it was. He then got a standing ovation from the zombies in attendance.


Meanwhile the retail sector is in trouble. Christmas is coming and the stores are offering deep discounts already. Stores cannot pay for merchandise from abroad. One example I heard about was from a well-known brand abroad which would not accept payment from Iceland because they said they don’t trust the Icelandic Central Bank to clear the transaction.

If you see some guys with shades and suitcases in airports in the next months then it might be an Icelandic retailer going to pay for his merchandise.

And how are they paying their staff. Well, in merchandise obviously. Because money is not available to pay real wages.


Finally, as this post is dragging on, here is a piece that everyone must read. The idea about the gold standard is very good. The description of what really goes on in the banking system is frightening.


0 Responses to “So much going on”

  1. Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: