Introduction
Background
Settled by Norwegian and Celtic (Scottish and Irish) immigrants during the late 9th and 10th centuries A.D., Iceland boasts the world's oldest functioning legislative assembly, the Althingi, established in 930. The economy is on an upward trajectory, fueled primarily by a tourism and construction boom.
Geography
Area
total: 103,000 sq km
land: 100,250 sq km
water: 2,750 sq km
Climate
temperate; moderated by North Atlantic Current; mild, windy winters; damp, cool summers
Natural resources
fish, hydropower, geothermal power, diatomite
People and Society
Population
360,872 (2023 est.)
Ethnic groups
Icelandic 81.3%, Polish 5.6%, Danish 1%, other 12.1% (2021 est.)
Languages
Icelandic, English, Nordic languages, German
Religions
Evangelical Lutheran Church of Iceland (official) 62.3%, Roman Catholic 4%, Independent Congregation of Reykjavik 2.7%, Independent Congregation of Hafnarfjordur 2%, pagan worship 1.4%, Icelandic Ethical Humanist Association 1.1%, other (includes Zuist and Pentecostal) or unspecified 19%, none 7.6% (2021 est.)
Population growth rate
0.89% (2023 est.)
Government
Government type
unitary parliamentary republic
Capital
name: Reykjavik
Executive branch
chief of state: President Gudni Thorlacius JOHANNESSON (since 1 August 2016)
head of government: Prime Minister Katrin JAKOBSDOTTIR (since 30 November 2017)
Legislative branch
description: unicameral Althingi or Parliament (63 seats; members directly elected in multi-seat constituencies by closed-list proportional representation vote using the D'Hondt method; members serve 4-year terms)
Economy
Economic overview
high-income European economy; frozen EU accession application but Schengen Area member; major tourism, fishing, and aluminum industries; complex regulatory environment; large FDI recipient; highly educated workforce
Real GDP (purchasing power parity)
$19.962 billion (2021 est.)
$19.12 billion (2020 est.)
$20.524 billion (2019 est.)
Real GDP per capita
$53,600 (2021 est.)
$52,200 (2020 est.)
$56,900 (2019 est.)
Agricultural products
milk, mutton, poultry, potatoes, barley, pork, eggs, beef, other meat, sheep skins
Industries
tourism, fish processing; aluminum smelting; geothermal power, hydropower; medical/pharmaceutical products
Remittances
0.74% of GDP (2021 est.)
0.76% of GDP (2020 est.)
0.74% of GDP (2019 est.)
Exports
$9.775 billion (2021 est.)
$7.501 billion (2020 est.)
$11.005 billion (2019 est.)
Exports - partners
Netherlands 24%, Spain 10%, Germany 10%, United Kingdom 9%, United States 7% (2021)
Exports - commodities
aluminum and aluminum products, fish fillets, salmon, iron alloys, animal meal (2021)
Imports
$10.234 billion (2021 est.)
$7.616 billion (2020 est.)
$9.891 billion (2019 est.)
Imports - partners
Norway 11%, Denmark 10%, Netherlands 9%, Germany 9%, China 7% (2021)
Imports - commodities
refined petroleum, aluminum oxide, carbon/graphite electronics, cars, packaged medicines (2019)
Exchange rates
Icelandic kronur (ISK) per US dollar -
Exchange rates:
126.989 (2021 est.)
135.422 (2020 est.)
122.607 (2019 est.)
108.3 (2018 est.)
106.84 (2017 est.)
Page last updated: Wednesday, December 13, 2023
