Covid-19 crisis management in Mýrdalshreppur and the significance of the government’s support measures for the municipality

Abstract

This case-study focuses on how the South-Iceland rural community of Mýrdalshreppur responded to the Covid-19 pandemic. The community was among the worst hit municipalities economically. In addition to the analysis of the Mýrdalshreppur’s response the influences of the national government’s support for the local economy are highlighted. Crisis management forms the theoretical foundation as well as the research’s analytical framework. Research questions are examined through qualitative case-study. Fourteen first responders and locals were interviewed to collect data to find answers to the research questions. Main findings reveal that the government’s support-operations had significant effect, both those provided at the national-level, and the targeted support granted to Mýrdalshreppur. Covid-19 created multiple challenges for local businesses. The municipality council decided, early in the process to invest in construction, which turned out to be beneficial. Visible and apparent investments, along with targeted support made a positive impact which was perceived as recognition of the challenging situation felt by the local community. Local sense of solidarity was significant, but changes in demographics that have been evolving since 2010 will create long-term challenges.