Iceland's female-led coalition to decide on EU talks by 2027
Iceland has formed a new government, which will decide through a referendum on whether to resume negotiations with the European Union.
The agreement to establish Iceland's new government was signed by the leaders of three parties, all of whom are women: the Social Democratic Alliance, the liberal Reform Party, and the People's Party. Kristrun Frostadottir from the Alliance will become the Prime Minister, with significant positions to be held by Thorgerdur Katrin Gunnlaugsdottir and Inga Saeland.
The new government plans to restore public finances, aim for low interest rates, and enhance healthcare and housing availability. Other goals include introducing a tourist tax and aligning migration policy with Nordic standards.
The coalition agreement specifies that by 2027, a referendum will take place regarding the resumption of Iceland's EU membership negotiations, which were suspended in 2015.
The early elections held on 30 November saw the Alliance win with 20.8% of the votes, securing 15 seats. The Independence Party acquired 19.4% of the votes, while the Reform Party garnered 15.8%.
The new parliament will convene in mid-January, with a reduction in the number of ministries from 11 to 10 expected to generate savings. These decisions aim to stabilise Iceland's economic situation.
