Financial Times FT.com

Iceland’s prime minister resigns

By David Ibison in Stockholm

Published: January 23 2009 14:40 | Last updated: January 23 2009 15:27

Iceland’s embattled prime minister resigned on Friday citing medical reasons and called an early election for May, a move that could prompt a dramatic shift to the left after a 20-year experiment in free market economics.

Geir Haarde said a medical examination had revealed he had a malignant tumour of the oesophagus. He will have surgery abroad at the end of January or early February. Elections had been scheduled for 2011.

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