Travel Reference
In-Depth Information
European Union in July 2009, following approval by the Alþing. Tricky negotiations
are likely to continue on the subject of Iceland's sole use of its territorial waters for
fishing, which is at odds with the EU's Common Fisheries Policy.
Iceland's
recovery
from the 2008 collapse has been rapid; just four years later, in
2012, the IMF praised the country's impressive economic growth and falling
unemployment figures. This turnabout in the nation's fortunes is largely due to the
devalued króna: exports are cheaper and, now that Iceland is significantly cheaper than
it traditionally was, tourism is booming as never before. For their part, the banks
simply wrote of much of their debts, allowing people to stay in their jobs and pay their
mortgages, thus giving the economy the chance to recover.
Iceland hit the international headlines again in 2010 when the
Eyjafjallajökull.
volcano
began erupting, sending particles of fine ash high into the atmosphere. It
was deemed too dangerous for jet aircraft to fly through the ash clouds and hundreds
of flights across Europe were cancelled, causing extensive delays and disruption. All
eyes are now on neighbouring Katla which, historically, always erupts a short time
after Eyjafjallajökull. Katla is significantly bigger and more powerful than its
neighbour and the Icelandic president has advised European governments to prepare
for worse to come.
1994
2008
2009
2009
2010
Iceland joins
European
Economic Area
Iceland's banking
system collapses
New left-wing
government appointed
under Jóhanna
Sigurðardóttir
Iceland applies for
EU membership
Eyjafjallajökull.
eruption causes
flight chaos across
Europe
