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Mon 07 Jul 2009Iceland plans to capitalise new banks
Iceland took a step towards clearing the debris of its financial meltdown this morning, unveiling a deal with creditors of its failed banks and plans to capitalise the new ones.
The government said it expected the capitalisation to total about 270 billion Icelandic crowns (€1.48 billion) but this would be reduced to about 200 billion if the old banks subscribed to equity stakes in two of the new banks - Islandsbanki and New Kaupthing - as planned.
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