* Bank debt dispute threatened to block aid
* Hundreds of millions in financing at stake
* Debt repayment talks still not restarted - source
(Adds source comment, background)
AMSTERDAM, April 16 (Reuters) - The Netherlands will take a "positive stance" on a review of Iceland's International Monetary Fund loan programme, a source familiar with the situation said on Friday, removing a potential obstacle to crucial aid for the island nation.
The two nations, along with Britain, are embroiled in a dispute over nearly $5 billion paid out to compensate savers in failed Icelandic online banks. Britain and the Netherlands want that money repaid with interest, and there had been fears they could block the IMF package as a result.
But the source, speaking on condition of anonymity, said the Netherlands was willing to give Iceland "the benefit of the doubt" because it made certain promises in writing to the IMF related to the debt dispute.
Among those promises, the source said, were a recognition of Iceland's legal obligation to repay the money and a promise to do so with interest.
But at the same time, the source said actual talks with Iceland on a framework to repay the money had not restarted and that the creditor countries were still waiting on Iceland to make a "serious proposal" to restart talks.
Icelanders overwhelmingly rejected the last deal between the countries in a referendum March 6.
The IMF said last week board approval of the loan programme review would unlock about $159 million of funds for Iceland. A positive vote could also unblock loans from other Nordic countries. Iceland needs the support after its banking system collapsed in late 2008 amid the credit crisis. [ID:nN0997999] (Reporting by Ben Berkowitz; Editing by Elizabeth Fullerton)