The main question hanging in the air over the small Nordic island is whether Gordon Brown is trying to shift the focus away from internal problems over to Iceland. Furthermore, is he really intending to harm the past good relations for the sake of gaining votes by using such a populist and non-diplomatic approach?
There is no reason for accusing such a small economy as Iceland for causing financial problems in the UK. The size of the economy is totally relevant as the smallest get badly hit first, especially when larger economic environments see fit to dispense blame in this way.
The responsibility should be shared, it must be remembered that although the Icelandic banks have overgrown their country’s economy, their size is negligible in comparison with the gigantic financial establishments that have gone bankrupt or been nationalized in USA, and indeed the UK.
Beside other accusations, the financial subsidiaries located in various countries are in many cases regulated by the hosting countries, as stated in the contracted stipulations, and the Icelandic PM repeatedly emphasized this fact in his press conference held yesterday.