Iceland has traditionally been hesitant about joining the EU, but recent events such as the 2008 financial crisis, Brexit, and domestic issues have caused the country to consider membership more seriously. The new government, led by Prime Minister Kristrún Frostadóttir, plans to hold a referendum on EU membership by 2027. The government also intends to investigate the advantages and disadvantages of adopting the Euro currency over retaining the Icelandic crown. A poll conducted by market research company Maskína found that over 54% of Icelanders are in favor of joining the EU, with many believing that households would benefit financially from membership. This marks a significant shift in public opinion, as Iceland has historically been divided on the issue.
The incoming Foreign Minister, Þorgerður Katrín Gunnarsdóttir, is a member of the pro-EU Liberal Reform party and is expected to lead any accession talks. The majority of Icelanders who participated in the Maskína poll expressed the importance of deciding on EU membership through a referendum. The country has historically been split into three camps regarding EU membership, but recent events have led to a gradual warming towards joining the bloc. The new government, characterized by a coalition of the Social Democratic Alliance, the Liberal Reform Party, and the People’s Party, is determined to address economic challenges and improve the quality of life for Icelanders. The government aims to stabilize the economy, lower interest rates, and increase wealth creation in the private sector.
The new government, led by Prime Minister Kristrún Frostadóttir, was unveiled in a ceremony in Hafnarfjörður by President Halla Tómasdóttir. The government is focused on enhancing the country’s economic stability and reducing interest rates through effective fiscal policy. The coalition government, comprised of the Social Democratic Alliance, the Liberal Reform Party, and the People’s Party, came into power after the collapse of the previous coalition government led by Bjarni Benediktsson. Notably, all leaders of the governing parties are women, marking a historic moment in Iceland’s political history. At 36 years old, Frostadóttir is set to become the youngest Prime Minister in Iceland’s history.
The new administration is committed to reducing administrative costs by decreasing the number of government ministries. This streamlined approach aims to make the government more efficient and effective in addressing the country’s challenges. The government’s focus on unity and collaboration underscores its commitment to improving the quality of life for all Icelanders. The new government’s agenda includes stabilizing the economy, supporting wealth creation in the private sector, and breaking the political deadlock that has hindered progress. By prioritizing these goals, the government aims to strengthen Iceland’s economy and create a more prosperous future for its citizens. Ultimately, the new government’s approach signals a shift towards greater stability and unity in Iceland’s political landscape.
