Credit:Flag courtesy of ITA’s Flags of All Countries used with permission.

Election Date: May 11, 2007

At stake: Great Diet

Background

Located between Norway and Greenland, this northern-Atlantic island was first populated during the 10th century. Most of its current population of almost 300,000 lives in the 7 per cent of territory that has arable land. The rest of Iceland is made of over 200 volcanoes and ice.

In the year 930, Icelanders founded what is recognized today as one of the earliest versions of a legislative body, the Great Diet. The legislature voted in favour of full independence from the Danish king in 1944. Iceland had been practically independent since 1918, but was still nominally under the rule of the Danish monarch. Iceland still abides by the 1944 constitution, and has no navy or army.

Iceland was used as a base for British and American troops during World War II, who were fighting off Germany's occupation of Denmark. In 1949, Iceland joined the North Atlantic Treaty Organization (NATO). In 1970, it also joined the European Free Trade Association, but to this day has declined accession to the European Union (EU).

During the 1970s, Iceland and Britain fought the "cod wars" over territorial fishing limits that Iceland extended arbitrarily. The conflict ended in 1976 with, Britain's recognition of the new boundaries. In 1980, Icelanders elected the first female president in the world, Vigdis Finnbogadottir. She served in office for four consecutive terms, until 1996. The president is head of state in Iceland, and the prime minister is head of government.

Fishing and fishing-derived products as well as aluminium production and tourism are the main drivers of Iceland's economy. In the early 1990s, Iceland's economy suffered from a drop in fishing products in the international market. However, the country recovered fast, and its per capita income was the highest in Europe for the following years.

In 1991, David Oddsson became prime minister, governing with a centre-right coalition led by his Independence Party (SSF). Oddsson would earn new mandates in 1995, 1999 and 2003, retaining his position as the longest serving prime minister in Europe.

Iceland voters re-elected Olafur Ragnar Grimsson as president in June 2004. The incumbent defeated two rivals with 85.6 per cent of all cast ballots.

Click here for 2004 Iceland Election Tracker

In September 2004, foreign minister and Progressive Party (FSF) leader Haldor Asgrimsson took over as prime minister. In 2006, following a poor showing from the FSF in local elections, Asgrimsson tendered his resignation and was substituted by SSF leader Geir Haarde.

2007 Great Diet Election

The legislative ballot is scheduled for May 12, 2007. Prime minister Geir Haarde will lead the Independence Party (SSF) into a national democratic process for the first time. The governing coalition of the SSF and the Progressive Party (FSF) will look for a new majority in the Great Diet, where it currently holds 34 of the 63 seats.

Three opposition parties—the Social Alliance (SF), the Left-Green Alliance (VG) and the Liberal Party (FF)—hold the remaining 29 mandates. Former Reykjavik mayor Ingibjorg Solrun Gisladottir is the current leader of the SF, and seeks to become the first female prime minister in the country's history.

In April, Iceland's foreign minister Valgerdur Sverrisdottir and Norway's foreign minister Jonas Gahr Store signed an agreement that will see the two nations collaborating on matters of defence. Sverrisdottir also signed a similar pact with Denmark days later. The agreement between Iceland and Norway includes increased visitations and exercises, as well as other defence operations of special military forces in Iceland.

On May 10, Haarde provided a positive review of Iceland's economy, saying, "We have always been confident that we would come through this economic boom in a very stable way and that seems to be happening. Real disposable incomes have risen between 1994 and 2007 by 75 per cent. I have never heard of a country in this position."

Voting took place on May 12. Final results had the Independence Party (SSF) in first place with 25 seats. With the nine seats won by the Progressive Party (FSF), the governing coalition barely maintains a majority in the 63-member Great Diet. The Left-Green Alliance (VG) had the biggest advance, going from five to nine seats.

Turnout was tabled at 82 per cent, down from 87 per cent in 2003.

On May 13, Progressive Party leader Jon Sigurdsson, who failed to win his seat, told reporters his party would leave the governing coalition, declaring, "This is a disappointment. The result is a strong statement that we should step down. We will listen to the judgment of the voters that the leadership of Icelandic politics should change hands."

On May 23, the new government encompassing the Independence Party (SSF) and the Social Alliance (SF) was officially introduced. Haarde retained his post as prime minister, and Gisladottir became the country's new foreign minister.

The two parties issued a joint declaration, which states their determination "to create a liberal government of reforms, a robust economy, strong welfare system, improved financial conditions for families, and increased ability for companies to compete in the market."

Political Players

President: Olafur Ragnar Grimsson
Prime minister: Geir Haarde - SSF

The president is elected to a four-year term by popular vote. In 2000, the Great Diet decided to give the president another term without an election.

Legislative Branch: The Althing (Great Diet) has 63 members, elected to four-year terms by proportional representation.

Results of Last Election:

President - Jun. 26, 2004

Diet - May 12, 2007

Archive Search

Search the Angus Reid Global Monitor Election Tracker archive.