The leader of Iceland’s Left-Green movement has become the country’s new prime minister at the head of a broad three-party coalition that could restore a measure of political stability after a succession of scandals.

Katrín Jakobsdóttir, 41, a popular former education minister who is considered to be Iceland’s most trusted politician, took office on Wednesday after formally signing a new government accord with the centre-right Independence and Progressive parties.

She told local media the administration’s focus would be on greater investment in healthcare, education and transport infrastructure, sustaining Iceland’s economic recovery from the 2008 financial crash, and improving gender equality and LGBT rights.

The outgoing prime minister, Bjarni Benediktsson’s Independence party narrowly won the 28 October election – the country’s second snap poll in less than a year – but lost a quarter of its seats, paving the way for Jakobsdóttir to form a left-led coalition.