Photo: Andreas Tille
Earlier this year we began hearing reports that Iceland ditch its own currency (the once mighty Krona) and join the Canadian dollar (aka. the Loonie).While it sounds crazy, we’ve been hearing more and more about that recently. Now a new rumour is doing the rounds — Greenland could join too.
The National Post reports that one Icelandic investment manager, Heidar Gudjonsson, was recently giving a talk in Canada and stated he was sure Greenland would ditch the Danish Krone and follow if Iceland joined the Loonie.
Additionally, its starting to look more and more like Iceland could actually join the loonie. While officially the government hopes to join the euro, Icelanders themselves don’t seem too thrilled with that idea (who can blame them). A recent Gallup poll suggests that 70% of Icelanders now support joining the Loonie.
While joining a larger currency should protect Iceland (and Greenland) from future financial crises by giving them a more stable and liquid currency, there’s another, geopolitical aspect at work here — the great Arctic game.
“If you look at it from a strategic perspective, instead of one country at the Arctic Council using the Canadian dollar, you’d have three,” Gudjonsson said Monday.
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