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
Cabinet of Iceland Minister for Iceland at the time of the signing of the agreement, Jón Magnússon, became the first Prime Minister of Iceland. The current cabinet (in office since 11 January 2017), consists of the following ministers: Cabinet of Iceland The Cabinet of Iceland () is the collective decision-making body of the government of Iceland, composed of the Prime Minister and the cabinet ministers. The Cabinet of Iceland is considered to have been formed 1 February 1904 when home rule was expanded in Iceland and Hannes Hafstein became the first Icelander to hold the position of Minister for Iceland in the Cabinet