Iceland and the International Monetary Fund set at positive 2-3 percent by 2010. Additionally Iceland determined that it would not support the losses of its pension funds and social service programmes in order not to take up additional obligations. One of the primary objectives of the Icelandic government in seeking an IMF programme was to stabilize the ISK and to set a path for its gradual appreciation. To stabilize short term pressures on the ISK the Central Bank of Iceland raised interest rates to 18% and prepared to back the krona with its foreign reserves, specifically for which Iceland asked for an IMF programme . The
Settlement of Iceland cattle to die—he cursed this cold country, and when he spotted a drift ice in the fjord he decided to name it "Ísland" (Iceland). Despite difficulties in finding food, he and his men stayed another year, this time in Borgarfjörður, but they headed back to Norway the following summer. Flóki would return much later and settle in what is now known as Flókadalur. Another Norseman, by the name of Ingólfur Arnarson, had instigated a blood feud in his homeland, Norway. He and his foster-brother Hjörleifur went on an exploratory expedition to Iceland, and stayed over winter in what is now