Article source
International Monetary Fund
Article date
Tue, May 2, 2017
In a wide-ranging interview, Governor of Iceland’s central bank Már Guðmundsson talked about how Iceland turned its economy around.
In mid-March, most of Iceland’s remaining capital controls were lifted, closing another chapter in the book on Iceland’s financial crisis. What do you expect from this move, and how much do you worry about dangers posed by yield-starved foreign investors?
For all intents and purposes, capital flows are now free for businesses, households, pension funds, and financial institutions. There are a few things left to change and legislation to remove, but the process has gone very well. We preserved stability in the process.