Valkyrie Coalition: Iceland's New Political Era

Kristrun Frostadottir has been asked to form Iceland's new government after the Social Democratic party's recent electoral victory. Her agenda includes addressing inflation and borrowing costs. If successful, she will replace the Independence Party-led coalition. The proposed coalition, dubbed Valkyrie, consists of three women-led parties.

Iceland is poised for a potential political shift after President Guðni Th. Jóhannesson tasked Kristrun Frostadottir, leader of the Social Democratic party, to establish a coalition government. The party emerged victorious in Saturday's election, securing first place, it was announced in a presidential statement on Tuesday.

At 36, Frostadottir champions the Nordic welfare model and pledges to tackle the cost-of-living crisis exacerbated by high inflation and borrowing rates. Her possible leadership would succeed a conservative Independence Party-led coalition. The Social Democratic Alliance secured 15 out of 63 seats in the November 30 election, narrowly surpassing the Independence Party's 14 seats.

Frostadottir emphasized the importance of economic stability as a guiding issue for the forthcoming government when speaking to RUV. She initiated coalition talks on Tuesday with the centrist People's Party and the pro-European Reform Party, which hold 10 and 11 seats, respectively. This coalition is informally termed 'Valkyrie', referencing Icelandic folklore, due to its female leadership.

(With inputs from agencies.)