NPR's business news starts with the latest from tiny Iceland's big crisis.

(Soundbite of music)

INSKEEP: The island nation is one of the more dramatic casualties of the global financial crisis. Today's news from the capital Reykjavik is that Iceland's government has taken over the country's biggest bank. It's the third time this week that Iceland's government has had to nationalize a major bank in trouble. Iceland's banks were especially aggressive during the global credit boom and took an enormous amount of debt. And when that credit boom went bust, Iceland banks were hammered. Earlier this week, the prime minister warned his entire country could go bankrupt.

Copyright © 2008 NPR. All rights reserved. Visit our website terms of use and permissions pages at for further information.

NPR transcripts are created on a rush deadline by a contractor for NPR, and accuracy and availability may vary. This text may not be in its final form and may be updated or revised in the future. Please be aware that the authoritative record of NPR’s programming is the audio.



Please keep your community civil. All comments must follow the Community rules and terms of use, and will be moderated prior to posting. NPR reserves the right to use the comments we receive, in whole or in part, and to use the commenter's name and location, in any medium. See also the Terms of Use, Privacy Policy and Community FAQ.