The country had little exposure to subprime lending or to Western financial institutions, but the government is pulling out all its tools to combat the global financial turmoil.

Iceland drew on Nordic help to obtain foreign currency on Tuesday and held talks with Russia about a possible loan to stave off a crisis that has left its economy near collapse.

European financial and political leaders have agreed to a plan that would inject billions of euros into their banks in a bid to restore confidence to the financial system.

Government leaders from the major European Union members gathered in Paris on Sunday to discuss their collective response to the financial crisis.

The global financial crisis has laid waste at some major financial institutions in the U.S. and Europe, but Iceland may be the first country to face the prospect of going bust along with them.

Despite their pledge, the leaders of Europe’s largest economies failed to offer a systemwide answer to a credit crisis that has forced them to bail out several banks in just the past week.

In a cultural shift, credit cards have become commonplace in Turkey, but so has the curse of debt.

In a cultural shift, credit cards have become commonplace in Turkey, but so has the curse of debt.

The government rescue of the housing giants will test the world?s faith in U.S. markets, as about one-fifth of the lenders? securities are held by foreign investors.

The housing giants? rescue will test the world?s faith in U.S. markets, as about one-fifth of the lenders? securities are held by foreign investors.