Iceland Votes on EU Membership Amid Interest Rate and Fishing Concerns

Iceland is holding a referendum on EU membership this weekend, and opinions are divided. The country's interest rates, inflation, and fishing industry are major concerns for both sides of the debate.

Economics student Óðinn Freyr Baldursson believes that joining the EU would bring down interest rates from 9 percent to around 5-6 percent, making it easier for young people like him to buy a home. 'We need more stability if we want to continue to develop as a country and an economy,' he said.

However, some Icelanders are worried about the EU's Common Fisheries Policy, which could threaten their exclusive fishing waters. Arnar Kristjánsson, owner of G.RUN, a family business that has been fishing in these waters for over 70 years, fears that big European companies will swallow up small Icelandic firms.

Prominent 'yes' supporter Dagur B Eggertsson claims that Iceland's officials would fight for exemptions to protect the fishing industry. But former president Ólafur Ragnar Grímsson is against joining the EU, saying it would be a step backwards and involve the transfer of power from Iceland to EU institutions.