News - 19.10.2026
ASÍ Congress Criticises Central Bank Leadership
The recently concluded Congress of the Icelandic Confederation of Labour, ASÍ, strongly criticises the leadership of the Central Bank of Iceland for its conduct towards workers in recent months. The Congress demands that the Bank's leadership cease making political statements against workers and respect the freedom of collective bargaining between the social partners. This is stated in a resolution submitted by VR and adopted at the Congress.
Read the full resolution below.
“The 47th ASÍ Congress condemns the conduct of the leadership of the Central Bank of Iceland towards workers and their organizations in recent months.
The Central Bank is an independent institution that should serve the interests of the entire public. Its independence carries significant responsibilities, particularly the duty to maintain impartiality and credibility, and to communicate with restraint and accuracy. There have been serious failings in this regard.
The Bank's analyses have repeatedly attributed inflation and the economic situation to increases in public charges, international conflicts, commodity prices and market instability. However, the Governor of the Central Bank has directed his criticism towards wages. Among other things, the Governor has stated that there are “no victims” of the economic situation and has called for agreed wage increases to be postponed.
Furthermore, the Deputy Governor for Monetary Policy recently stated in an interview that the Bank had created slack in the economy, partly so that increased unemployment would reduce interest in terminating collective agreements.
The Central Bank has damaged its own credibility at a time when credibility is crucial. Instead, the Bank's leadership has positioned itself against workers, the very group bearing the brunt of the Bank's high interest rate policy.
The 47th ASÍ Congress demands:
- that the leadership of the Central Bank cease making political statements against workers and respect the freedom of collective bargaining between the social partners,
- that public statements made by the Bank's leadership be consistent with the Bank's own analyses,
- that the Bank publicly clarify whether the Deputy Governor's comments reflect its official policy,
- that the Supervisory Board of the Central Bank and the Economic Affairs and Trade Committee of the Althingi examine the matter.”
Adopted at the 47th Congress of the Confederation of Icelandic Labour, 16 October 2026.
