Britain imposed financial sanctions on Iceland following the collapse of the Icelandic bank Landsbankinn which had internet savings accounts in Britain, called Icesave. Iceland had refused to pay the UK deposits and so Britain took action.
When Mr. Grimsson was interviewed by Sky News he said:
"The Gordon Brown government decided, to its eternal shame, to put the Icelandic government on a list of terrorist states and terrorist phenomena. We were there together with al Qaeda and the Taliban on that list."
"We have not forgotten that in Iceland."
Mr. Grimsson continues:
"Gordon Brown will be long remembered in my country for centuries to come, long after he has been completely forgotten in Britain."
Mr. Brown was also at the Economic Forum to speak on panels about development and youth activism.
It was mentioned by Mr. Grimsson that the assets of the bank (Landsbankinn) would suffice "to pay back to those who have deposits and the British authorities everything which can be reasobly required".
On Monday an EFTA court will make a ruling in a case against Iceland regarding the actions that Iceland took in the financial crisis and whether the Icelandic Government has violated the EEA agreement. Mr. Grimsson said that this ruling will only be advisory, and that "it will not lead to any financial obligations or transactions of any sort".
The president then said that Iceland might soon withdraw the EU application, which was formally filed in 2009. The negotiations have now been suspended by the government until after the parliamentary elections in April.
When Mr. Grimsson was asked if he could picture his country joining the EU while he was still president he said "If you want me to take a bet, I would definitely say no". He has around three and a half years left of his term as president.
Mr. Grimsson added: "It's quite clear both in my country and other parts of northern Europe that there is a growing scepticism about the way the European Union is moving forward."
"In the last three years the eurozone has revealed itself to be a different kind of animal."
"We have decided to take a pause, not to move forward at all in the coming months, and then to revisit the issue sometime later."
"We don't want to drag the process on for long. Later this year we will face the decision of whether we call the discussions off altogether ... or whether we prolong the talks which have now been created."
"There is no strong political force in my country arguing that we need to finish the negotiations quickly because we want to join the European Union."
Source: Sky News