Icelandic government disappointed but unfazed by Icesave referendum

Prime Minister of Iceland, Johanna Sigurdardottir, was pictured literally scratching her head at yesterday’s party meeting following the decision by President Olafur Ragnar Grimsson to send the so-called Icesave bill to a referendum.

The PM told reporters she was surprised by the President’s decision to lengthen what is already one of the Icelandic Republic’s longest-running and hardest-fought political processes.

The parliamentarians of both government parties held meetings yesterday afternoon to discuss the immediate future.

Prime Minister Sigurdardottir told RUV that the referendum should take place as soon as possible.

Meanwhile Steingrimur J. Sigfusson, Minister of Finance and Left Green Party leader, announced following his party’s meeting that he does not believe the government should quit and call an election because of the President’s decision. In fact, the President said much the same himself during his speech — saying that his decision does not need to have any impact on the status of the government. Some in the opposition disagree however, and are calling on the government to step down over this latest failure to resolve the protracted Icesave dispute.

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