top of pageBackground: 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. Independent for over 300 years, Iceland was subsequently ruled by Norway and Denmark. Fallout from the Askja volcano of 1875 devastated the Icelandic economy and caused widespread famine. Over the next quarter century, 20% of the island's population emigrated, mostly to Canada and the US. Denmark granted limited home rule in 1874 and complete independence in 1944. The second half of the 20th century saw substantial economic growth driven primarily by the fishing industry. The economy diversified greatly after the country joined the European Economic Area in 1994, but Iceland was especially hard hit by the global financial crisis in the years following 2008. The economy is now on an upward trajectory, fueled primarily by a tourism and construction boom. Literacy, longevity, and social cohesion are first rate by world standards.
Climate: temperate; moderated by North Atlantic Current; mild, windy winters; damp, cool summers
Terrain: mostly plateau interspersed with mountain peaks, icefields; coast deeply indented by bays and fiords
Natural hazards: earthquakes and volcanic activity
volcanism: Iceland, situated on top of a hotspot, experiences severe volcanic activity; Eyjafjallajokull (1,666 m) erupted in 2010, sending ash high into the atmosphere and seriously disrupting European air traffic; scientists continue to monitor nearby Katla (1,512 m), which has a high probability of eruption in the very near future, potentially disrupting air traffic; Grimsvoetn and Hekla are Iceland's most active volcanoes; other historically active volcanoes include Askja, Bardarbunga, Brennisteinsfjoll, Esjufjoll, Hengill, Krafla, Krisuvik, Kverkfjoll, Oraefajokull, Reykjanes, Torfajokull, and Vestmannaeyjar
GeographyNote: strategic location between Greenland and Europe; westernmost European country; Reykjavik is the northernmost national capital in the world; more land covered by glaciers than in all of continental Europe
top of pageEthnic groups:
homogeneous mixture of descendants of Norse and Celts 81%, population with foreign background 19% (2018 est.)
note: population with foreign background includes immigrants and persons having at least one parent who was born abroad
Languages: Icelandic, English, Nordic languages, German
Religions: Evangelical Lutheran Church of Iceland (official) 67.2%, Roman Catholic 3.9%, Reykjavik Free Church 2.8%, Hafnarfjordur Free Church 2%, Asatru Association 1.2%, The Independent Congregation .9%, other religions 4% (includes Zuist and Pentecostal), none 6.7%, other or unspecified 11.3% (2018 est.)
Age structure0-14 years: 20.31% (male 36,394/female 34,837)
15-24 years: 12.85% (male 22,748/female 22,317)
25-54 years: 39.44% (male 70,227/female 68,095)
55-64 years: 11.94% (male 20,762/female 21,111)
65 years and over: 15.47% (male 25,546/female 28,697) (2020 est.)
Population distribution: Iceland is almost entirely urban with half of the population located in and around the capital of Reykjavik; smaller clusters are primarily found along the coast in the north and west
EnvironmentCurrent issues: water pollution from fertilizer runoff
International agreements party to: Air Pollution, Air Pollution-Persistent Organic Pollutants, Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Hazardous Wastes, Kyoto Protocol, Law of the Sea, Marine Dumping, Ozone Layer Protection, Ship Pollution, Transboundary Air Pollution, Wetlands, Whaling
International agreements signed but not ratified: Environmental Modification, Marine Life Conservation
top of pageAdministrative divisions: 72 municipalities (sveitarfelog, singular - sveitarfelagidh); Akrahreppur, Akraneskaupstadhur, Akureyrarkaupstadhur, Arneshreppur, Asahreppur, Blaskogabyggdh, Blonduosbaer, Bolungarvikurkaupstadhur, Borgarbyggdh, Borgarfjardharhreppur, Dalabyggdh, Dalvikurbyggdh, Djupavogshreppur, Eyjafjardharsveit, Eyja-og Miklaholtshreppur, Fjallabyggdh, Fjardhabyggdh, Fljotsdalsheradh, Fljotsdalshreppur, Floahreppur, Gardhabaer, Grimsnes-og Grafningshreppur, Grindavikurbaer, Grundarfjardharbaer, Grytubakkahreppur, Hafnarfjardharkaupstadhur, Helgafellssveit, Horgarsveit, Hrunamannahreppur, Hunathing Vestra, Hunavatnshreppur, Hvalfjardharsveit, Hveragerdhisbaer, Isafjardharbaer, Kaldrananeshreppur, Kjosarhreppur, Kopavogsbaer, Langanesbyggdh, Mosfellsbaer, Myrdalshreppur, Nordhurthing, Rangarthing Eystra, Rangarthing Ytra, Reykholahreppur, Reykjanesbaer, Reykjavikurborg, Seltjarnarnesbaer, Seydhisfjardharkaupstadhur, Skaftarhreppur, Skagabyggdh, Skeidha-og Gnupverjahreppur, Skorradalshreppur, Skutustadhahreppur, Snaefellsbaer, Strandabyggdh, Stykkisholmsbaer, Sudhavikurhreppur, Sudhurnesjabaer, Svalbardhshreppur, Svalbardhsstrandarhreppur, Sveitarfelagidh Arborg, Sveitarfelagidh Hornafjordhur, Sveitarfelagidh Olfus, Sveitarfelagidh Skagafjordhur, Sveitarfelagidh Skagastrond, Sveitarfelagidh Vogar, Talknafjardharhreppur, Thingeyjarsveit, Tjorneshreppur, Vestmannaeyjabaer, Vesturbyggdh, Vopnafjardharhreppur
Independence: 1 December 1918 (became a sovereign state under the Danish Crown); 17 June 1944 (from Denmark; birthday of Jon SIGURDSSON, leader of Iceland's 19th Century independence movement)
ConstitutionHistory: several previous; latest ratified 16 June 1944, effective 17 June 1944 (at independence)
Amendments: proposed by the Althingi; passage requires approval by the Althingi and by the next elected Althingi, and confirmation by the president of the republic; proposed amendments to Article 62 of the constitution - that the Evangelical Lutheran Church shall be the state church of Iceland - also require passage by referendum; amended many times, last in 2013
Legal system: civil law system influenced by the Danish model
Executive branchChief of state: President Gudni Thorlacius JOHANNESSON (since 1 August 2016)
Head of government: Prime Minister Katrin JAKOBSDOTTIR (since 30 November 2017)
Cabinet: Cabinet appointed by the president upon the recommendation of the prime minister
Electionsappointments: president directly elected by simple majority popular vote for a 4-year term (no term limits); election last held on 27 June 2020 (next to be held in 2024); following legislative elections, the leader of the majority party or majority coalition becomes prime minister
Election results: Gudni Thorlacius JOHANNESSON reelected president; percent of vote - Gudni Thorlacius JOHANNESSON (independent) 92.2%, Gudmundur Franklin JONSSON (independent) 7.8%
Legislative branchDescription: unicameral Althingi or Parliament (63 seats; members directly elected in multi-seat constituencies by proportional representation vote to serve 4-year terms)
Elections: last held on 28 October 2017 (next to be held in 2021)
Election results: percent of vote by party - IP 25.2%, LGM 16.9%, SDA 12.1%, CP 10.9%, PP 10.7%, Pirate Party 9.2%, Peoples Party 6.9%, Reform Party 6.7%. other 1.5%; seats by party - IP 16, LGM 11, SDA 7, CP 7, PP 8, Pirate Party 6, Reform Party 4, Peoples Party 4
Political parties and leaders: Centrist Party (Midflokkurinn) or CP [Sigmundur David GUNNLAUGSSON]Independence Party (Sjalfstaedisflokkurinn) or IP [Bjarni BENEDIKTSSON]Left-Green Movement (Vinstrihreyfingin-graent frambod) or LGM [Katrin JAKOBSDOTTIR]People's Party (Flokkur Folksins) [Inga SAELAND]Pirate Party (Piratar) [rotating leadership]Progressive Party (Framsoknarflokkurinn) or PP [Sigurdur Ingi JOHANNSSON]Reform Party (Vidreisn) [Thorgerdur Katrin GUNNARSDOTTIR]Social Democratic Alliance (Samfylkingin) or SDA [Logi Mar EINARSSON]
International organization participation: Arctic Council, Australia Group, BIS, CBSS, CD, CE, EAPC, EBRD, EFTA, FAO, FATF, IAEA, IBRD, ICAO, ICC (national committees), ICCt, ICRM, IDA, IFAD, IFC, IFRCS, IHO, ILO, IMF, IMO, IMSO, Interpol, IOC, IOM, IPU, ISO, ITSO, ITU, ITUC (NGOs), MIGA, NATO, NC, NEA, NIB, NSG, OAS (observer), OECD, OPCW, OSCE, PCA, Schengen Convention, UN, UNCTAD, UNESCO, UPU, WCO, WHO, WIPO, WMO, WTO
Diplomatic representationIn the us chief of mission: Ambassador Geir Hilmar HAARDE (since 23 February 2015)
In the us chancery: House of Sweden, 2,900 K Street NW, #509, Washington, DC 20,007
In the us telephone: [1] (202) 265-6,653
In the us FAX: [1] (202) 265-6,656
In the us consulate: New York
From the us chief of mission: Ambassador Jeffrey Ross GUNTER (since 2 July 2019)
From the us telephone: [354] 595-2,200
From the us embassy: Laufasvegur 21, 101 Reykjavik
From the us mailing address: US Department of State, 5,640 Reykjavik Place, Washington, D.C. 20,521-5,640
From the us FAX: [354] 562-9,118
Flag description: blue with a red cross outlined in white extending to the edges of the flag; the vertical part of the cross is shifted to the hoist side in the style of the Dannebrog (Danish flag); the colors represent three of the elements that make up the island: red is for the island's volcanic fires, white recalls the snow and ice fields of the island, and blue is for the surrounding ocean
National anthemName: Lofsongur (Song of Praise)
Lyricsmusic: Matthias JOCHUMSSON/Sveinbjorn SVEINBJORNSSON
Note: adopted 1944; also known as 'O, Gud vors lands' (O, God of Our Land), the anthem was originally written and performed in 1874
top of pageAgriculture products: potatoes, carrots, green vegetables, tomatoes, cucumbers; mutton, chicken, pork, beef, dairy products; fish
Industries: tourism, fish processing; aluminum smelting;; geothermal power, hydropower; medical/pharmaceutical products
Exports:
$10.415 billion (2019 est.)
$10.923 billion (2018 est.)
$10.742 billion (2017 est.)
Rank: 97
Partners: Netherlands 25.5%, Spain 13.6%, UK 9.4%, Germany 7.6%, US 7%, France 6.3%, Norway 4.9% (2017)
Commodities: fish and fish products (42%), aluminum (38%), agricultural products, medicinal and medical products, ferro-silicon (2015)
Imports:
$9.399 billion (2019 est.)
$10.364 billion (2018 est.)
$10.314 billion (2017 est.)
Rank: 112
Commodities: machinery and equipment, petroleum products, foodstuffs, textiles
Partners: Germany 10.7%, Norway 9.2%, China 7%, Netherlands 6.7%, US 6.4%, Denmark 6.2%, UK 5.7%, Sweden 4.1% (2017)
Debt external:
$21.7 billion (31 December 2017 est.)
$25.02 billion (31 December 2016 est.)
Rank: 91
Exchange rates:
127.05 (2020 est.)
121.68 (2019 est.)
121.86 (2018 est.)
131.92 (2014 est.)
116.77 (2013 est.)
top of pagetop of pageBroadcast media: state-owned public TV broadcaster (RUV) operates 21 TV channels nationally (RUV and RUV 2, though RUV 2 is used less frequently); RUV broadcasts nationally, every household in Iceland is required to have RUV as it doubles as the emergency broadcast network; RUV also operates stringer offices in the north (Akureyri) and the east (Egilsstadir) but operations are all run out of RUV headquarters in Reykjavik; there are 3 privately owned TV stations; Stod 2 (Channel 2) is owned by Syn, following 365 Media and Vodafone merger, and is headquartered in Reykjavik; Syn also operates 4 sports channels under Stod 2; N4 is the only television station headquartered outside of Reykjavik, in Akureyri, with local programming for the north, south, and east of Iceland; Hringbraut is the newest station and is headquartered in Reykjavik; all of these television stations have nationwide penetration as 100% of households have multi-channel services though digital and/or fiber-optic connections (2019)
top of pagetop of pageIceland - Transnational issues 2020
top of pageDisputes international: Iceland, the UK, and Ireland dispute Denmark's claim that the Faroe Islands' continental shelf extends beyond 200 nm; the European Free Trade Association Surveillance Authority filed a suit against Iceland, claiming the country violated the Agreement on the European Economic Area in failing to pay minimum compensation to Icesave depositors
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