New “Eurosceptic” Government Forming In Iceland

PARLIAMENTARY ELECTIONS BRING NEW GOVERNMENT TO ICELAND

April 28 (LPAC)–In what is being described as the biggest swing
election in Iceland, voters today ousted the Social Democrats and
Left-Green Alliance that has ruled the country since 2009,
granting a victory to the Independence and Progressive parties,
which were voted out four years ago and blamed for the country’s
financial collapse at that time.
Coalition discussions are reportedly underway between the
leaders of the Independence and Progressive parties, both of
which are described as “eurosceptic,” opposed to continuing
negotiations on possible EU membership. Iceland’s population
strongly opposed the austerity dictates which the outgoing
government had imposed at the behest of the International
Monetary Fund (IMF).
Both of the new coalition partners have polemicized against
austerity and have proposed tax, debt, and mortgage relief, but
their specific economic program remains to be seen. “We will
change Iceland for the better, very fast, in the coming months
and years, said Progressive Party leader Sigmundur David
Gunnlaugsson.
Recall that on March 18 of this year, the Economics and
Trade Committee of the Icelandic parliament (Althingi) had
unanimously voted to pass Motion 228 to separate commercial and
investment banking. Although the motion was somewhat weakened
before the vote, its passage was a key step in increasing the
international momentum toward Glass-Steagall bank separation. The
Schiller Institute has intervened aggressively in Iceland around
the Glass-Steagall initiative.

This entry was posted in Austerity & Bank Bailouts, Economy and tagged , , , , , , , , . Bookmark the permalink.

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