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
Geology of Iceland change with time, Geologists use what is called the "hotspot frame of reference" to gather plate motion estimates, so they can create maps depicting plates moving on the surface of the earth relative to a stationary hotspot. Most work discussing plate motion agrees that the Iceland hotspot was probably located beneath Greenland for a period of time. As the North Atlantic Ocean continued to spread apart during this time period, Greenland was located to the southeast of the Iceland hotspot and likely moved over it from around ~70-40 mya. Some research using new plate motion data gathered from hotspot reference