Icelanders have decided to remain outside the European Union, according to the results of a referendum announced on Sunday. They dismissed the government’s proposal to restart talks for EU membership, emphasizing the importance of Iceland’s fishing waters.

The country, with a population of 400,000, has been deliberating EU accession for more than ten years. Initially expected to lean towards initiating membership negotiations, recent polls indicated a shift in public opinion.

In the referendum held on Saturday, 52.8% of votes opposed the government’s plan for talks with Brussels, while 47.2% were in favor. An impressive 82.5% of eligible voters participated, as reported by public broadcaster RUV and other local media outlets.

Among the six constituencies, only central Reykjavik showed a majority in favor, while rural areas and suburbs of Reykjavik voted against the proposal.

The government positioned EU membership as a shield against trade disputes and Arctic tensions, presenting the referendum as a crucial moment. Prime Minister Kristrun Frostadottir warned that a “no” vote would halt discussions as long as her coalition remained in power.

Some officials in Brussels saw Iceland’s potential EU entry as a means to enhance the bloc’s credibility amid Arctic security concerns. The debate in Iceland also touched on whether joining the EU could strengthen the country’s security, particularly with uncertainties surrounding the U.S.’s commitment to NATO.

For many Icelanders, the focus was primarily on the fishing industry, a major contributor to the country’s economy. Accounting for 15% of GDP and 40% of export revenue, fishing played a pivotal role in the decision-making process.

Financial considerations were central to the debate, with Iceland facing challenges such as high inflation and interest rates. Proponents of EU membership believed it could offer economic relief, potentially including the adoption of the euro to address the country’s financial issues.

Opposition leader Gudrun Hafsteinsdottir, leading the “no” campaign, argued against overstating the economic benefits of EU accession, emphasizing the need for domestic solutions. Voter Ragnhildur Skarphedinsdottir, 70, expressed confidence in Iceland’s ability to thrive independently.

Under EU regulations, fishing quotas are determined based on historical fishing activities, among other factors. While some Icelandic officials asserted that the country would retain control of its waters, skeptics like Hafsteinsdottir remained cautious, foreseeing potential challenges from the EU.