Olafur Ragnar Grimsson, the president of Iceland, will meet with all party leaders today, Visir.is reports.
He is now meeting with Geir H. Haarde, the resigning Prime Minister.
He will then meet with Ingibjorg Solrun Gisladottir, Sigmundur David Gunnlaugsson, Gudjon Arnar Kristjansson and Steingrimur J. Sigfusson later today.
Geir Haarde would like to form a national unity government with all parties until the elections in May; but if his party insists on retaining the post of Prime Minister, it is unclear whether they will be able to secure vital support from the Social Democrats.
Another option being widely discussed is the establishment of a minority coalition between the Social Democrats and the Left Green Party with support from the Progressive Party. Under that circumstance, the Social Democrats’ Johanna Sigurdardottir would likely become Prime Minister.
Sigurdardottir is the most popular cabinet member in the most recent opinion poll.
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[...] In his speech, Haarde explained that, unfortunately, the two parties had not been able to come to an agreement. A large part of the problem was, apparently, the Independence Party’s refusal to give the post of Prime Minister over to the Social Democrats. See also here. [...]