Greenland Angry Over Subsidy Cuts

Greenland’s premier threatened Friday to sever ties with Denmark after Denmark reportedly proposed cutting the island’s annual subsidy by about 97 percent.

Premier Lars-Emil Johansen’s comment was seen more as a sign of frustration than intent to break relations, since semi-independent Greenland depends heavily on Danish aid.

The disagreement could test Denmark’s “home rule” accords, under which Copenhagen handles foreign policy, defense, justice and currency for Greenland and the Faeroe Islands. It also pays subsidies to the local governments.