lining wicker baskets

[kachina.livejournal.com]

so i just bought a basket to store my yarn in, similar to this one:

originally, i had planned to buy one that was lined and had a lid, but unfortunately could not afford them! now i'm glad, because i realized that lining the basket shouldn't be too difficult... so, how should i go about doing this? also, any ideas for making a lid?

thanks in advance! :)