As many of you will already know, there was a demonstration at Arnarhóll yesterday to mark the 90th anniversary of Iceland’s independence from Denmark. It featured the usual suspects, writers and activists and thinkers who are opposed to the current regime and irate over what’s gone down here in recent weeks.
YT was in attendance.
It was devastatingly cold, subzero temps and windy, plus the fact that Arnarhóll hill doesn’t offer much in the way of shelter [there is the Central Bank bordering one side, but obviously that was cold comfort]. Consequently there wasn’t a huge turnout, probably also due to the fact that it started at 3 and not everyone was in a position to stand up from their desks and leave their places of employ as the organizers had urged [if there was ever a time when people were worried about keeping their jobs, it is now] - but still, around 2,000 people isn’t bad, considering.
Right near the end of the last speech someone climbed up the statue of [first settler] Ingólfur Arnarson and hung a picture of Davíð Oddsson over his head. That was the point where I decided to make myself scarce and the last thing I heard before heading down the hill was “shall we go in and get him?”
And they did.
Apparently a couple hundred people stormed into the lobby of the Central Bank, shouting that they wanted Davíð out. They got past the first set of doors but beyond that was the Viking Squad in full regalia [I can never think about the Viking Squad without laughing inwardly - the whole idea of a Viking Squad in this country has always seemed just so absurd], who kept their cool and calmly warned THE MOB that they’d use tear gas if they didn’t behave [they refrained from shouting GAS GAS GAS this time, though, having learned it is the way to lifelong ridicule]. So THE MOB just basically sat down and started singing protest songs.
That was the full extent of the RIOT that the foreign press keeps banging on about.
After a couple of hours of singing and shouting one of the protesters had the brilliant idea of making a deal with the cops, that if they hauled ass out of there with all their shields and other paraphernalia then THE MOB would go too [NB the cops were allowed to leave three observers behind]. The Viking Squaders, no doubt hugely relieved that they’d make it home for dinner, wasted no time and left the premises immediately. As did THE MOB, all the while shouting WE WON! WE WON!!
While all this was going on, YT was missing all the fun, sitting in a smelly garage waiting to get my car in for an oil change. This was in anticipation of a long drive I had to take last night, up to Borgarnes in the west [75 km from here] for an interpreting gig. And let me tell you, it was a hairy ride. Just past the Hvalfjarðargöng tunnel the road turned icy, it was pitch dark, and every so often I’d have a monster truck on my ass or - worse - barreling towards me on the single-lane highway. My life in my hands, people; my life in my hands. If there’s one thing worse than driving on Iceand’s single-lane highways at 100 km per hour in the summer, it’s doing so in absolutely darkness when you’re slip-sliding all over the road. Phwoar.
AND IT’S STILL BLOODY COLD
Right now -2°C [28F], but with less wind than yesterday, happily. Weatherman sez it’s set to warm up tomorrow, and we’re gonna believe him. Sunrise this morning came at 10.49 and sunset due for 3.45 pm.
PS - I’m thrilled to see how many people have joined the Facebook group. Keep ‘em coming!
{ 27 comments… read them below or add one }
“It was devastatingly cold, subzero temps and windy, plus the fact that Arnarhóll hill doesn’t offer much in the way of shelter.”
Talk about dedication! In that weather AND with jobs at risk! Seems to have been sunny, at least, going by the photo. Where is this place - in the city or outside?
A video of this stand-off (or riot or siege…) in the central bank:
http://www.youtube.com/watch?v=LLi4_eQtbhM&fmt=18
Arnarhóll is in the old city center by the harbour and right beside the offices of both the central bank and many of the government ministries, including the office of the prime minister.
The city center is something of a misnomer nowadays as it is really in the extreme north-west of the city and rarely visited by majority of the inhabitants.
Do you think he’s really taking notice of all the demos, etc?
http://www.guardian.co.uk/business/feedarticle/8110229
Pressure mounts on Iceland cenbank strongman Oddsson
Reuters, Tuesday December 2 2008
By Niklas Pollard
STOCKHOLM, Dec 2 (Reuters) - Pressure is mounting on Iceland’s central bank chief David Oddsson to step down over his role in a financial crisis that has laid waste the economy he was instrumental in creating.
Public resentment towards the man reached a crescendo on Monday when about 100 protesters stormed the central bank’s lobby vowing not to leave until Oddsson did. They only left on learning he was not there.
“The central bank, and he in particular, are deeply unpopular at the moment with the general population,” said Gylfi Magnusson, an associate professor of economics at the University of Iceland, adding it would be hard to stay under those conditions.
Ahhh…I was wondering what the H*** that was yesterday! I was sitting at the kaffihús in Mál og Menning on Laugarvegi when we started to hear the truck horns blaring about 14:00. I could only see the “ESB nei takk” flag from my vantage point….so I was under the impression it was just a trucker’s revolt against the idea of taking up EU membership. Thanks as always for clarifying Alda! (And I can’t wait to read more about the Witch!)
It is getting more and more interesting. But something has to blow soon.
You might take note of the drama being played out right now in Canada. A much different situation (no bank collapse and the economy isn’t yet in the crapper) but just 45 days after a general election that had the status quo return to their minority government the prime minister made a blunder that allowed the opposition to pull together a bizarre coalition that could very well take control. If this didn’t happen to be constitutional (but unprecedented) it would be called a coup d’état. What happens to the shaky economy in the hands of a brand new government is the big question right now. Might be a lesson to countries trying to change gears in the middle of a crisis. But then again that is how Bush Inc stayed around for a 2nd term despite their obvious idiocy and corruption.
I was reading today that the courts in Thailand dissolved their coalition government under charges of corruption. ( http://www.msnbc.msn.com/id/28007819/ )
It reminded me of the earlier mention of Iceland’s Article 24 of the Constitution which gives the President power to dissolve the Althingi. “The President of the Republic may dissolve Althingi. A new election must take place within 45 days from the announcement of the dissolution. Althingi shall convene not later than ten weeks after its dissolution. Members of Althingi shall retain their mandate until Election Day.”
I love the blog Alda! It felt like Iceland this morning (or as I imagined it would feel; I’ve never been to Niceland). 30 Degrees F with strong winds. Sunrise long before I awoke and Sunset long before I leave to go home! lol
“If this didn’t happen to be constitutional (but unprecedented) it would be called a coup d’état.”
Uh, in other nations they call that democracy, Vikingisson. You know, that weird concept where parties that represent a majority of the voters establish a new government. And this new coalition certainly represents the majority. Looks like Harper pushed his “divide et impera” strategy to the point where it became obvious to the other parties that overcoming their differences would be less painful than the constant provocations by the conservatives. No real surprise that the other parties had enough of him. Actually, this surprises me less than the fact that Canada has such a long tradition of minority governments…
I don’t need to be patronized Gray. I know what the fsck a democracy is. I also don’t care what the law says, it is still rather bizarre none the less. Coalitions and sudden election calls have happened plenty, but not like this. It just so happens I welcome a major shakeup in this sleepy village.
Not sure why something that has never happened here would not be surprising but something that is almost common does. That too is called democracy.
I have just read that there are intentions to modify the new currency restrictions which had been implemented just last weekend by the Icelandic government, because “officials had not anticipated the negative effects of the new law”. Is this really true or is it a hoax? Aren’t they consulting anybody before setting up new laws in Iceland? It wouldn’t really contribute to the government’s credibility.
Apart from that we got almost blown off the road by strong winds at Hafnarfjall on our way from Borgarnes back to Reykjavik last year - and that without ice. I hope you had at least spiked tyres.
Ljósmynd - alas, not a hoax. They pretty much have to review the law because it sets us back decades and will more or less prevent any foreign investment in this country. Companies that are already doing well and have foreign investors are irate as this basically removes the foundation of all their hard work and f*cks everything up. OTOH if they don’t do this there are fears that the IMF loan will evaporate as people rush to take their krónur out of the country. So, a mess all around.
And yes, that’s a very dangerous road, and no, I did not have studded tires. Mine have hard shells mixed into the rubber and they’re pretty good all-year tires, but I would definitely have felt more secure with the studs.
Bryan - So, the lesson learnt from Thailand is that, to force a change in government, Icelanders will have to blockade Keflavik International Airport. I’m flying in next week, so hopefully they won’t do that until next year…
That Arnarholl demonstration was great, or at least a good start — watch the video. The present government is not going to leave or give new elections (essentially the same thing) until an angry mob of 10,000 or more occupies the Althingi building, teenagers tip over police cars, and little old ladies chase the politicians and hit them with their walking sticks. The half-measures accomplish nothing. Including Tyrfi/Torfi (whatever his name is), the leader of the demos, urging Gandi-like non-violence. Pffff - where has that gotten you.
I almost agree with the currency restrictions. It’s obvious that any money in Iceland will fly out as soon as possible when it can be converted into real currency. As I understand it, the government will phase out the restrictions in stages in order to limit outflows. These restrictions could even be used for good ( though devious) purposes. For instance, the $3 billion in short term bonds held by foreign currency speculators could be given to them right away, but then held (hostage, i.e. trapped) in Icelandic bank accounts. And that $3 billion could then be used by Icelandic banks to satisfy minimum foreign currency reserves. (I’m sure the Icelandic Ministry for Devious and Questionable Business Tactics and Currency Manipulation has already thought of this.) Yes, it’s true, no one will want to lend money to Iceland, but no one wants to lend money right now, and especially to Iceland, even at 17% interest, so what difference does it make?
Perhaps some exceptions could be made for companies “essential” to the economy, basically, any company that generates foreign capital.
I’m sure the Icelandic Ministry for Devious and Questionable Business Tactics and Currency Manipulation has already thought of this. lol!!
Muriel - eminently sensible about nobody wanting to lend anything anyway and indeed, what’s the diff?
James - If we do barricade, I’m sure exceptions could be made for visitors “essential” to the country, such as yourself.
Here is the link to the “witch”-video
http://www.mbl.is/mm/frettir/innlent/2008/12/01/vargastefna_vid_stjornarrad/
“I also don’t care what the law says, it is still rather bizarre none the less.”
“Not sure why something that has never happened here would not be surprising but something that is almost common does.”
That’s a purely Canadian point of view, Vikingisson. I was writing about the rest of the world seeing this a bit differently.
Ooooh….slightly off the protest topic, but check this out: http://www.slate.com/id/2205753/
“Who’s the World’s Worst Banker” @ Slate. Icelandic bankers in general get a mention, but surprisingly we’re not #1. Bummer! Why can’t we ever win the gold? ; ‘ (
We hope you made it to Borgarnes (and back). A long drive? No. Totally terrifying? Absolutely. The Ring Road is one of the most dangerous roads I’ve ever been on.
Here’s a good summary / news article about how the Kreppa happened (for which Oddson bears much of the blame):
http://money.cnn.com/2008/12/01/magazines/fortune/iceland_gumbel.fortune/
And an interesting Guardian article:
http://www.guardian.co.uk/business/feedarticle/8110401
Apparently the latest plan is to give foreign bank creditors shares in the “new” Icelandic banks as repayment. You can see what this means: Iceland will give them minority shares in the banks (which means the foreigners have no control), and ask for value where none exists (the bank assets are mostly loans to Icelanders which can’t be paid back), and prohibit them from moving money out of the country. Essentially, the foreigners’ money would be “trapped” in Iceland. Then, Iceland will demand that the foreigners infuse capital into the banks to keep them alive. If they don’t, then the banks go bankrupt, and the foreigners lose everything. This scheme is the latest in the ongoing series of “tricks” (if the last one fails, make up a new one, the rule seems to be.) It seems clever but also a bit too obvious. The Germans aren’t that stupid, are they? Perhaps it is a negotiating ploy to get the Germans to settle for less money than the $20 billion.
Personally, I think it’s fair for the Germans to get screwed, since they lent money to the Icelandic banks knowing that these banks were in trouble and since the debt burden falls on the innocent Icelandic working class. I just don’t think the Germans will go for this new trick, however. They will bring in Frau Merkel with a big stick.
The Icelandic government’s handling of currency restrictions does seem to suggest a serious lack of planning as well as consultation. Granted, Malaysia attempted the same policies after they told the IMF to take a hike during the Asian Crisis, but the main problem for Iceland now is not necessarily even the low krona but rather ongoing uncertainty about its future status (will it float? Be replaced by the euro? When?).
As for Canada, the choice now is either yet another election or a very unwieldy coalition which I seriously doubt will last two years.
Glad your travels were safe! Winter driving = not fun!
“Why can’t we ever win the gold?”
It’s only because people discriminate smaller nations, Jessica! Of course it’s totally unfair to vote the Royal Bank of Scotland for first place just because of it’s size. There are 5 million Scots after all, and even though I haven’t done the math yet, I’m reasonably sure that relative to the size of the nation, alle three Icelandic banks were “bigger” than the RBoS. But rest assured that there are many people all around the world, especially those hundreds of thousands Icesave customers, that would award the gold medal to Iceland, Jessica!
Btw, cute new picture in the blog title, Alda!
Hmm, do you and hubby EPI have an anniversary today?
Iceland’s bankers have effectively brought their entire country to ruin. But since Iceland’s population is a mere 300,000, they’re off the hook
Off the hook? If only!!
Gray - heheh. Nope, those are two guys and they happen to be my favourite Christmas ornaments. Johannes and Johannes. Bought in Oslo a few years ago. I couldn’t decide which one I liked better so I got them both.
The solution!
“Leaders of Iceland’s government, Prime Minister Geir H. Haarde and Foreign Minister Ingibjörg Sólrún Gísladóttir, presented a 12-step plan to help companies cope with the economic crisis at a press conference yesterday.”
A Twelve Step Program! What will they call it?
http://www.icelandreview.com/icelandreview/daily_news/?cat_id=29314&ew_0_a_id=316445
LOL!
Incompetents Anonymous? Or perhaps more accurately: VIP Anonymous - Victims of Incompetent Politicians.
“A Twelve Step Program! What will they call it?”
D’oh, that’s obvious:
II - Insolvents Incognito!
James- You’ll be allowed to fly into KEF but you must bring your own sign or buy one of Alda’s “Protest Snow Suits” and join the party! =P