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| Iceland and the EU "Shakedown" | | Print | |
| Written by James Heiser | |
| Wednesday, 21 October 2009 01:44 | |
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The Independence Party has largely dominated Icelandic politics since the nation gained its independence from Denmark in 1944. Often described as a “center-right” party, party leadership has generally remained committed to positions on economics and foreign policy similar to those of American conservatives. The Independence Party has favored an active role within NATO (including NATO ‘peacekeeping’ operations), but continues to oppose membership in the European Union. "We're still on the list — in the wonderful company of al-Qaeda, the Taliban, Sudan, North Korea, Iran and a number of other entities — where we do not belong," Iceland's Prime Minister, Geir Haarde, said in an interview with TIME, referring to the British government's website listing of regimes subject to financial sanctions. "The application of the antiterrorist legislation has created a lot of ill will here," said Haarde — particularly in combination with London's demand that the Icelandic government recompense British depositors in a subsidiary of the failed Icelandic bank Landsbanki to the tune of $5 billion, or "roughly half of Iceland's GDP," Haarde added. "Our parliament will never agree to accepting that kind of debt burden. It's unsustainable." During this writer's most recent visit to Iceland in June of this year, the prevailing attitude expressed by Icelanders was despair. Nearly every person I spoke with expressed their outrage at foreign, especially European, manipulation of Iceland’s plight. Leftist politicians were swept to power by the political turmoil generated by economic crisis, but this development appears to have been simply a local manifestation of the age-old maxim, “Throw the bums out!” Much of the leadership of the Independence Party was viewed as inept, incompetent or corrupt, and thus lost to the available opposition. Most individuals did not view membership in the European Union as a good move for Iceland, but many said the nation was, in essence, being held hostage: if Iceland joined the EU, they understood that the crippling economic sanctions would be alleviated, if they did not join, they would be crushed with debts they had little hope of paying. Ms. Sigurdardottir, 66, argues that membership, together with abandoning Iceland’s currency, the krona, for the euro, would provide a shield for Iceland as it seeks to work its way out of the financial crisis. With opinion polls showing views on European Union membership about equally divided among the 320,000 people in this remote land on the edge of the Arctic Circle, Ms. Sigurdardottir has linked her political future to gaining entry to the 27-nation union. She said Saturday at a news conference that applying for entry was an overriding priority for the Social Democrats, and that she hoped that terms for Iceland’s membership could be agreed to within 12 to 18 months. “We want Iceland as soon as possible to join the European Union and adopt the euro,” she said. She added brusquely, “I should emphasize that this is a priority issue for the Social Democrats.” Membership in the European Union risks, among other things, an expansion of immigration of foreign workers which would overwhelm the nation’s tiny population of 300,000. As the BBC reported last year: Icelanders have mixed feelings about migrant workers. This is a society that has never known large-scale immigration. A Reykjavik taxi-driver told me "there are 20,000 Poles in Iceland - and it's 20,000 too many". The Polish consulate estimates there are 8,000 Poles here, but the comment illustrates a wider mood. Dorota Erutkowska-Bragasson, who is married to an Icelander and works as a translator, says media reports about Poles committing rapes and thefts have soured the atmosphere. "Icelandic children hear bad things about Polish people, maybe from their parents or somewhere. Then they come to school and they are using it, saying 'your father is a rapist' or something. It's very sad," she says. In last year's general election a small opposition party, the Liberals, gained seats in parliament by calling for curbs on immigration. Magnus Thor Hafsteinsson, one of its MPs, even sees the current crisis as a blessing in disguise. "This matter of integration is very important for us Icelanders as we are a very small nation," he says. Iceland stands at a crossroads which seems eerily familiar: extremists swept into power because of an economic meltdown which occurred during the rule of the incompetent, inept, or corrupt; overwhelming immigration which threatens to fundamentally change the nation; and ruling ideologues who are eager to eliminate the nation’s currency and national autonomy—all in the name of ‘saving’ the country. But if this is what victory looks like, how does one define defeat?
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