The national budget for 2000 states that the Icelandic government aims to emphasize the importance of scientific and technological expertise for economic progress throughout the country. Already more than a quarter of the working population holds university degrees, and further measures are planned to strengthen scientific and technical education at the university level. Research, development and innovation will continue to be supported by the Icelandic government in order to promote economic diversification. Attention is also being paid to designing taxes and patent and copyright rules to encourage companies to do more R&D.39 Iceland has enjoyed a 10% growth in R&D spending over the last year. This amounts to about 2% of the GNP and is among the highest in the OECD. Though most of it is coming from the private sector, the government has also invested more money for IT.

Strong participation in international cooperation, with the Nordic countries, the EU and the US is considered to be an important element in building up scientific expertise, increased effectiveness and the transfer of international knowledge to Icelandic institutions. As a member of the 380 million-strong European Economic Area (EEA), Iceland has open access to the European Union (EU) and is committed to keeping in line with business legislation there. Companies in Iceland have access to pan-European funds for designing new technologies by virtue of EEA membership, and have been invited to join in prestigious development projects on the strength of their skills in fields such as digital technology applications.
 

The Icelandic Government’s Vision of the Information Society

The Government of Iceland has formulated an extensive policy on the issues of the information society. The document is very lengthy and the language is almost philosophical. However, within the document you can find the main vision and objectives outlined by the government. The overriding vision of the Icelandic Government is for “Iceland to be in the forefront of the world's nations in the utilization of information technology in the service of improved human existence and increased prosperity.”

There are five main objectives set forth by the government in order to realize this vision:

1. Icelanders shall have easy access to the information society. That its advantages be utilized to strengthen democracy and increase the quality of life for the benefit of the public and the Icelandic economy. That information technology be employed in all fields, whether for innovation, public health, science, the arts or other fields of daily life. 

2. Complete equality shall be ensured between the public and private sectors in the field of information technology and the information industry. That the Government, with the help of information technology, facilitate access to governmental information and services to level the status of individuals and companies without regard to residence and economic resources. 

3. Information and telecommunications technologies shall be mobilized to improve the competitiveness of the Icelandic economy, increase productivity and proliferate the possibilities of exporting Icelandic inventiveness. 

4. The educational system shall adapt to changed social dynamics and focus general education and continuing education upon the advantages of the information society while, at the same time, keeping watch over our language and culture. 

5. Legislation, rules and working methods shall be re-examined with respect to information technology to stimulate technological progress and to protect the rights of individuals and companies.23

The Icelandic government has documented many ways to help implement their plans and objectives for the Information Society. The following bulleted list details a few of the more significant initiatives outlined by the government.

• A campaign promoting general computer literacy of the nation

• The Government will establish a special budget section within ministries (such as the Ministry of Industry and Commerce, and the Ministry of Communications). that are intended for projects in the field of information technology. Computer conferences will be established for these various ministries. They are considering online discussion groups to communicate to citizens and governmental authorities, where the public will be given an opportunity to present proposals for improved services. 

• The Government will make efforts to have the industrial and research funds increase the amount of money they grant to projects in the field of information technology, software development data processing and information services.23