The Netherlands and Britain have resumed talks with Iceland about the failed Icesave bank.

Iceland still owes the Netherlands1.3 billion euros and Britain several billion euros. In 2008 both countries advanced the money to Dutch and British citizens who had lost their savings when Icesave collapsed. The three countries have yet to agree the repayment terms. An agreement was delayed after Iceland rejected an initial deal in a referendum.

Iceland's finance ministries says talks have been held over the past two days to make arrangements for negotiations later this year. It was the first meeting since talks failed in March.

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