Central bank chief of Iceland to quit

Central bank chief of Iceland to quitReykjavik - The two remaining governors of the central bank of Iceland were due to resign after weeks of criticism of their handling of the economic crisis, reports said Thursday.

Central bank governor David Oddsson and governor Eirikur Gudnason, were reported to have said goodbye to bank employees, public broadcaster RUV said.

The report came as parliament was due to adopt a bill changing the composition of the central bank, including replacing the three governors with a single governor.

The central bank management, especially Oddsson, has been strongly criticized as the Iceland's economy came close to collapse in the wake of the global credit crunch in October.

Mass protests forced the former government to resign in January, and calls have continued for Oddsson to also step down.

An interim government was formed with the main task of leading the country of 320,000 people until fresh elections are held April 25.

Interim Prime Minister Johanna Sigurdardottir earlier this month presented a bill that provides for changes to the composition of the central bank.

The measures included that the position of head of the national bank would also only be open to trained economists. Oddsson was formerly a lawyer.

Oddsson, a former prime minister and foreign minister, however has refused to go quietly, defending his record as central bank governor.

In a 15-page document Oddsson and Gudnason recently commented the plans to restructure the bank, saying "it is of paramount importance not to do a hasty job of amending the Act on the Central Bank."

The Frettabladid newspaper reported that the interim government was considering a non-Icelander for the post. (dpa)

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