First I’ve heard about this but apparently it’s for real, Iceland may adopt Canada’s dollar. How is that for a EUR/CAD trade?
In brief remarks to be delivered Saturday in Reykjavik, Canadian ambassador Alan Bones will tell Icelanders that if they truly want the Canadian dollar, Canada is ready to talk.
Some powerful people appear to be behind the idea.
A group of prominent Icelandic business leaders approached Mr. Bones last year about the idea. And his speech Saturday, to a meeting of the opposition Progressive Party, marks Canada’s first public response.
And the public might be behind it as well.
In a recent Gallup poll, seven out of 10 Icelanders said they would happily dump their volatile and fragile krona for another currency. And their favoured alternative is the Canadian dollar, easily outscoring the U.S. dollar, the euro and the Norwegian krona.
The official plan is to join the European Union and eventually the euro but it may take too long and no one want to hop on a sinking ship.
