A new Cabinet was unveiled in Iceland on 31 December. During the reshuffle former finance minister Mr Steingrímur J. Sigfússon was named Minister of Fisheries and Agriculture as well as Minister of Economic Affairs. Mrs Oddný G. Harðardóttur was promoted into Cabinet as Minister of Finance. Mr Jón Bjarnason, Minister of Fisheries and Agriculture, and Mr Árni Páll Árnason, Minister of Economic Affairs, stepped down from the Cabinet. Other ministers retained their posts.
- Jóhanna Sigurðardóttir, Prime Minister.
- Steingrímur J. Sigfússon, Minister of Fisheries and Agriculture and Minister of Economic Affairs.
- Össur Skarphéðinsson, Minister for Foreign Affairs.
- Katrín Jakobsdóttir, Minister of Education, Science and Culture.
- Katrín Júlíusdóttir, Minister of Industry Energy and Tourism.
- Svandís Svavarsdóttir, Minister for the Environment.
- Ögmundur Jónasson, Minister of the Interior.
- Guðbjartur Hannesson, Minister of Welfare.
- Oddný G. Harðardóttir, Minister of Finance.