Iceland/Economy

Economy of Iceland

An overview of key economic indicators. Select a category for detailed trends, charts, and insights.

Explore Economic Domains

Growth & Output

Coming Soon
GDP (USD)
$31.3B(2023)
GDP PPP (USD)
$30.0B(2023)
GDP per Capita (USD)
$79,637(2023)
GDP Growth (inflation-adjusted)
5%(2023)
Inflation (CPI Annual %)
5.9%(2024)

Trade & Finance

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Exports (as share of GDP)
43.6%(2023)
Imports (as share of GDP)
43.2%(2023)
FDI Inflows (as share of GDP)
5.2%(2023)
Remittance Inflow (USD)
$217.9M(2023)
Tax Revenue (as share of GDP)
23.4%(2023)

Labor & Income

Coming Soon
Unemployment Rate
3.1%(2024)
Employment in Services
78%(2023)
Poverty Rate
8.8%(2017)
GINI Index
26.6(2018)
GNI per Capita (USD)
$80,400(2023)

Energy & Environment

Coming Soon
Energy Use per Capita
15892 kg oil eq.(2023)
Renewable Energy Consumption (%)
82.4%(2021)

Economic Snapshot Overview

A summary of key economic indicators for Iceland

  • The economic architecture of Iceland is substantial, anchored by a Gross Domestic Product (GDP) of approximately $31.33B
    2023
    . This places it as the 104th largest economy out of 191 countries measured, underscoring its significance on the world stage. On a per capita basis, GDP stands at $79.64K
    2023
    , while its GDP in Purchasing Power Parity (PPP) terms is estimated at $30.03B, reflecting the population's domestic purchasing power. The economy is experiencing robust expansion, with a high growth rate of 5.0%
    2023
    , while managing moderate inflation, with a CPI of 5.9%
    2024
    .
  • On the global stage, the nation's trade and financial dynamics reveal a complex interplay of factors. The country has a relatively balanced trade profile, with exports making up 43.6% of GDP and imports 43.2%
    2023
    . Foreign Direct Investment (FDI) inflows are significant, constituting 5.21% of the economy
    2023
    . This performance positions the country 37th globally out of 186 nations, indicating its relative attractiveness to foreign capital. Additionally, personal remittances received amount to a substantial $217.95M annually
    2023
    , highlighting the economic importance of its diaspora. Fiscal capacity is moderate, with tax revenue at 23.4% of GDP
    2023
    .
  • The socio-economic landscape is characterized by a Gross National Income (GNI) per capita of $80,400
    2023
    . Globally, this ranks the nation 6th out of 190 in terms of GNI per capita, providing a clear measure of its national wealth relative to others. The labor market is robust, with a low unemployment rate of 3.1%
    2024
    . The services sector is a primary driver of the labor market, accounting for 78.0% of total employment
    2023
    . Poverty remains a key issue, with 8.8% of the population living below the national poverty line
    2017
    . The country has a relatively equitable distribution of income, with a Gini index of 26.6
    2018
    .
  • On the environment and energy front, energy consumption per capita is 15,892.416 kg of oil equivalent
    2023
    . The country is a leader in clean energy, with renewable sources making up 82.4% of total final energy consumption
    2021
    . Its commitment to clean energy places it 177th among 190 countries for its share of renewable energy consumption.

Key Economic Insights

Macroeconomic Health

Maintaining a balance between growth, inflation, and employment is the central challenge for economic policymakers.

Trade & Investment Profile

A highly open, export-oriented economy that is deeply integrated into global markets and attractive to foreign capital.

Social Equity & Distribution

The benefits of growth appear to be broadly shared, with relatively low poverty and a more equitable income distribution.

Energy & Sustainability

A strong commitment to renewable energy positions the country as a leader in the green transition, potentially creating new economic advantages.

More About This Country

Neighbors & Regional Peers

Note: The information on this page has been compiled from authoritative sources. While every effort is made to ensure accuracy, please note that some figures may not be current or entirely precise.