2008-11-04 07 h 18 :: forbes.com :: Iceland PM reaffirms support for central bank governor

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Iceland PM reaffirms support for cbank governor

11.04.08, 7:18 AM ET


REYKJAVIK, Nov 4 (Reuters) - Icelandic Prime Minister Geir Haarde reaffirmed his support for central bank head David Oddsson on Tuesday after his party's coalition partner declared its opposition to the current Sedlabanki leadership.

'The coalition parties do not have the same position on all issues,' Haarde said in an interview with state radio. 'There is nothing strange about that. What is new here is that there seems to have been a leak of information out of the cabinet, which is unprecedented.'

Iceland's Social Democratic Alliance recorded its opposition to the governing board of the central bank at a cabinet meeting, Haarde confirmed.

Oddsson, the chief governor in a three-strong board at the top of the central bank, has come under fire for his handling of the financial crisis. Critics say he did not do enough early enough to address brewing dangers.

There have been sporadic protests against Oddsson on the small island-nation and some leading politicians have come out publicly and called for him to step aside.

But Haarde has been firm in his support of Oddsson, who was previously the country's longest-serving prime minister, holding office for 13 years from 1991 to 2004. Keywords: FINANCIAL ICELAND/CBANK

(Stockholm Newsroom, tel: +46-8-700 1017, e-mail: stockholm.newsroom@thomsonreuters.com; Editing by Victoria Main)
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