Grímsson: - Brexit is good news for Icelanders

The outcome of the EU referendum in the United Kingdom is good news for Icelanders and presents an opportunity for Iceland and other countries in the North-Atlantic, says President Ólafur Ragnar Grímsson.

“First and foremost the outcome is the most serious setback the leadership of the European Union has seen for a very long time,” Mr. Grímsson said, “... and a verdict so grim that it is hard to find words to describe this historic event”, he tells Iceland Monitor.


Key area in the North

“First of all, it is now obvious that here in the North Atlantic there will be a triangle of nations that all stand outside of the European Union: Greenland, Iceland, Great Britain, Faroe Islands and Norway," says President Grímsson. “This key area in the North will be outside of the influence of the European Union.”

The decision reached by British voters last week means that the EEA Agreement that Iceland and Norway have with the EU will become more relevant according to Mr. Grímsson.

“Iceland and Norway will now, in a totally new way, become participants in negotiations that must take place between the European Union and the United Kingdom, and the European Union and member states of the European Economic Area (EEA) with this new triangle of countries in the North Atlantic.”

“Our significance with regards to relations with our neighbours as well as the member states of the EU has undergone positive changes”, the President says.

Important trade partner

"The United Kingdom is one of Iceland's most important trade partners and relations are deeply rooted in the Agreement on the European Economic Area (EEA). The two countries also enjoy strong cooperation in security and defence, justice and home affairs, transport and cultural affairs, to name a few areas. The Government of Iceland therefore states that it is of utmost importance to guarantee continued strong and stable cooperation between the two countries," reads a press release from Iceland's Foreign Ministry following the cabinet meeting on Friday.

According to the ministry, Iceland will emphasize the importance that the four EFTA countries (Iceland, Switzerland, Norway and Liechtenstein) maintain the same level of economic and trade arrangements with the UK upon its withdrawal from the EU.

In addition, the government will explore alternative arrangements for Iceland, for example the possibility of a deep and comprehensive bilateral economic and trade agreement with the UK.

President Grímsson will step down in August, and recently elected Guðni Th. Jóhannesson is taking over on August 1^st.