Worsening prospects for exports dampen economic growth in the coming years. Growth is expected to be 1.7% this year and 1.8% next year. Domestic demand is projected to be the main driver of growth this year, while investment is expected to decline next year as private and public consumption continue to grow.

Following a contraction of 0.7% in real GDP in 2024, the Icelandic economy is projected to return to growth in 2025, with output expected to expand by 2.2%. This recovery is expected to be primarily driven by strong domestic demand. In 2026, GDP growth is forecast to strengthen to 2.5%, largely reflecting an improvement in […]

In 2024, GDP growth slowed down after significant growth in previous years. According to national accounts, gross domestic product increased by 0.5% in 2024. GDP growth is expected to reach 1.8% in 2025, driven by rising domestic demand while the growth contribution from net exports will be negative.

GDP is expected to increase by 0.1% this year. According to national accounts, GDP contracted by 1.9% in the first half of the year, impacted by negative effects from foreign trade and changes in inventories, partly due to a shock in marine exports.

Economic growth slowed down in the second half of last year and in the first quarter of this year the gross domestic product decreased by 4% from last year. The economy is projected to grow by 0.9% this year, boosted by domestic demand. In 2025, GDP growth is expected to reach 2.6%, driven by private […]

Consumption of alcoholic beverages based on sales figures in Iceland was 2,389 thousand litres of pure alcohol in 2023 compared with 2,418 thousand litres in 2022. Measured in pure alcohol per capita 15 years and older the consumption was 7.7 litres in 2023, which was a 4% decrease from 2022 when the consumption was 8.1 […]

Alcohol consuption In Iceland was approximately 2,418 thousand liters of pure alcohol in 2022, compared with just over 2,475 thousand liters in 2021. The total consumption per capita 15 years and older was 7.8 liters in 2022 compared with 8.2 liters in 2021. Figures have been updated.

A total of 7.7% of the Icelandic population, aged 15 years and over, experienced symptoms of depression in 2019. This proportion was slightly higher in Iceland compared with the EU average of 7.0% according to figures from Eurostat. Among European countries, the proportion was highest in France, 10.8%, and lowest in Serbia, 2.3%.

In 2020, the consumption of alcoholic beverages in Iceland was 2,207 thousand liters of pure alcohol compared with 1,708 thousand liters in 2010. Pure alcohol consumption per capita was 7.41 liters in 2020 compared with 6.79 liters in 2010, peaking in 2017 at 7.75 liters. Figures have been updated along with figures for smoking habits.

In 2020, the number of hospital beds was 1,039 compared with 1,009 in 2019. The number of hospital beds per 100,000 inhabitants was 283.5 in 2020 but 279.8 the year before. Small changes were noted in the numbers of rehabilitative, long-term and psychiatric care beds. Figures have been updated.

Household gross disposable income is estimated to have increased by 7.1% in the third quarter of 2025, compared with last year‘s corresponding quarter. Disposable income per capita amounted to little over 1.6 million ISK in the quarter and is estimated to have increased by 5.9% compared with the third quarter of 2024. Due to inflation […]

According to preliminary estimate, gross domestic product (GDP) increased by 1.2% in the third quarter of 2025 compared with the same period of the previous year. Household final consumption, which expanded by 4.2%, is the main contributor to growth, while gross fixed capital formation and government consumption also increased, by 2.2% and 0.9% respectively.

Total financial assets of Iceland’s domestic sector stood at 44,068 billion ISK in year-end 2024 according to preliminary data or 961% of Gross Domestic Product (GDP). Total financial liabilities stood at 41,730 billion ISK or 910% of GDP. Net financial assets of the domestic sector were therefore positive by 2,338 billion ISK at the end […]

According to preliminary figures, household gross disposable income is estimated to have increased by 10.3% in 2024, compared with the previous year. Disposable income per capita amounted to just over 6.1 million ISK and is estimated to have increased by 8.3%. Due to increased inflation rate, the purchasing power of household disposable income per capita […]

Tourism continued to play a key role in the economy in 2024, accounting for 8.7% of GDP, up from 8.2% in 2023, according to preliminary results from the Tourism Satellite Accounts (TSAs). Accommodation services once again led the sector, contributing around 2.6% of GDP.