Protests bring down Iceland’s government

by Chris Bambery The government of Iceland became the first to be driven out of office in this recession by a wave of popular protest this week. Weeks of demonstrations forced prime minister Geir Haarde and his cabinet to resign. Some 10,000 people converged on parliament when it re-opened after the Christmas break. Protesters pelted the prime minister’s car with eggs. They surrounded the vehicle and banged on it with cans. Haarde was rescued by riot police, who used tear gas for the first time since 1949. The demonstrations targeted Iceland’s parliament, government ministers and the country’s central bank. Iceland has been hit badly by growing unemployment as well as sharp rises in food and petrol costs following last October’s bank collapse. Interest rates are now nearly 20 percent. People know they will be expected to pay for the huge foreign debts amassed by the banks. The resignation of Haarde, who belongs to the right wing Independence party means his coalition partner