| Iceland |
Introduction Geography People Government Economy Communications Transportation Military Transnational Issues

Iceland | Introduction | Top of Page

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 Althing, 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. Limited home rule from Denmark was granted in 1874 and complete independence attained in 1944. Literacy, longevity, income, and social cohesion are first-rate by world standards.

Iceland | Geography | Top of Page

Location: | Northern Europe, island between the Greenland Sea and the North Atlantic Ocean, northwest of the UK

Geographic coordinates: | 65 00 N, 18 00 W

Map references: | Arctic Region

Area: | total: 103,000 sq km land: 100,250 sq km water: 2,750 sq km

Area - comparative: | slightly smaller than Kentucky

Land boundaries: | 0 km

Coastline: | 4,988 km

Maritime claims: | continental shelf: 200 NM or to the edge of the continental margin exclusive economic zone: 200 NM territorial sea: 12 NM

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

Elevation extremes: | lowest point: Atlantic Ocean 0 m highest point: Hvannadalshnukur 2,119 m

Natural resources: | fish, hydropower, geothermal power, diatomite

Land use: | arable land: 0% permanent crops: 0% permanent pastures: 23% forests and woodland: 1% other: 76% (1993 est.)

Irrigated land: | NA sq km

Natural hazards: | earthquakes and volcanic activity

Environment - current issues: | water pollution from fertilizer runoff; inadequate wastewater treatment

Environment - international agreements: | party to: Air Pollution, Biodiversity, Climate Change, Desertification, Endangered Species, Environmental Modification, Hazardous Wastes, Law of the Sea, Marine Dumping, Nuclear Test Ban, Ozone Layer Protection, Ship Pollution, Wetlands signed, but not ratified: Air Pollution-Persistent Organic Pollutants, Marine Life Conservation

Geography - note: | 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

Iceland | People | Top of Page

Population: | 277,906 (July 2001 est.)

Age structure: | 0-14 years: 23.18% (male 33,238; female 31,191) 15-64 years: 65.01% (male 91,095; female 89,583) 65 years and over: 11.81% (male 14,681; female 18,118) (2001 est.)

Population growth rate: | 0.54% (2001 est.)

Birth rate: | 14.62 births/1,000 population (2001 est.)

Death rate: | 6.89 deaths/1,000 population (2001 est.)

Net migration rate: | -2.28 migrant(s)/1,000 population (2001 est.)

Sex ratio: | at birth: 1.08 male(s)/female under 15 years: 1.07 male(s)/female 15-64 years: 1.02 male(s)/female 65 years and over: 0.81 male(s)/female total population: 1 male(s)/female (2001 est.)

Infant mortality rate: | 3.56 deaths/1,000 live births (2001 est.)

Life expectancy at birth: | total population: 79.52 years male: 77.31 years female: 81.92 years (2001 est.)

Total fertility rate: | 2.01 children born/woman (2001 est.)

HIV/AIDS - adult prevalence rate: | 0.14% (1999 est.)

HIV/AIDS - people living with HIV/AIDS: | 200 (1999 est.)

HIV/AIDS - deaths: | less than 100 (1999 est.)

Nationality: | noun: Icelander(s) adjective: Icelandic

Ethnic groups: | homogeneous mixture of descendants of Norse and Celts

Religions: | Evangelical Lutheran 93%, other Protestant and Roman Catholic, none (1997)

Languages: | Icelandic

Literacy: | definition: age 15 and over can read and write total population: 99.9% (1997 est.) male: NA% female: NA%

Iceland | Government | Top of Page

Country name: | conventional long form: Republic of Iceland conventional short form: Iceland local long form: Lyoveldio Island local short form: Island

Government type: | constitutional republic

Capital: | Reykjavik

Administrative divisions: | 23 counties (syslar, singular - sysla) and 14 independent towns* (kaupstadhir, singular - kaupstadhur); Akranes*, Akureyri*, Arnessysla, Austur-Bardhastrandarsysla, Austur-Hunavatnssysla, Austur-Skaftafellssysla, Borgarfjardharsysla, Dalasysla, Eyjafjardharsysla, Gullbringusysla, Hafnarfjordhur*, Husavik*, Isafjordhur*, Keflavik*, Kjosarsysla, Kopavogur*, Myrasysla, Neskaupstadhur*, Nordhur-Isafjardharsysla, Nordhur-Mulasys-la, Nordhur-Thingeyjarsysla, Olafsfjordhur*, Rangarvallasysla, Reykjavik*, Saudharkrokur*, Seydhisfjordhur*, Siglufjordhur*, Skagafjardharsysla, Snaefellsnes-og Hnappadalssysla, Strandasysla, Sudhur-Mulasysla, Sudhur-Thingeyjarsysla, Vesttmannaeyjar*, Vestur-Bardhastrandarsysla, Vestur-Hunavatnssysla, Vestur-Isafjardharsysla, Vestur-Skaftafellssysla note: there may be four other counties

Independence: | 17 June 1944 (from Denmark)

National holiday: | Independence Day, 17 June (1944)

Constitution: | 16 June 1944, effective 17 June 1944

Legal system: | civil law system based on Danish law; has not accepted compulsory ICJ jurisdiction

Suffrage: | 18 years of age; universal

Executive branch: | chief of state: President Olafur Ragnar GRIMSSON (since 1 August 1996) head of government: Prime Minister David ODDSSON (since 30 April 1991) cabinet: Cabinet appointed by the prime minister and approved by Parliament elections: president elected by popular vote for a four-year term; election last held 29 June 1996 (next to be held NA June 2004); President GRIMSSON ran unopposed in June 2000 so there were no elections; prime minister appointed by the president election results: Olafur Ragnar GRIMSSON elected president; President GRIMSSON ran unopposed

Legislative branch: | unicameral Parliament or Althing (63 seats; members are elected by popular vote to serve four-year terms) elections: last held on 8 May 1999 (next to be held by April 2003) election results: percent of vote by party - Independence Party 40.7%, The Alliance (PA, People's Party, Women's List) 26.8%, Progressive Party 18.4%, Left-Green Alliance 9.1%, Liberal Party 4.2%; seats by party - Independence Party 26, The Alliance 17, Progressive Party 12, Left-Green Alliance 6, Liberal Party 2

Judicial branch: | Supreme Court or Haestirettur (justices are appointed for life by the president)

Political parties and leaders: | Independence Party (conservative) or IP [David ODDSSON]; Left-Green Alliance [Steinsvimur SIGFUSSON]; Liberal Party [Sverrir HERMANNSSON]; People's Party (Social Democratic Party) or SDP [Sighvatyr BJORGIVINSSON]; Progressive Party (liberal) or PP [Halldor ASGRIMSSON]; The Alliance (includes People's Alliance or PA, Social Democratic Party or SVP, People's Movement, Women's List) [Ossur SKARPHEDINSSON]; Women's List or WL [Kristin ASTGEIRSDOTTIR]

Political pressure groups and leaders: | NA

International organization participation: | Australia Group, BIS, CBSS, CCC, CE, EAPC, EBRD, ECE, EFTA, FAO, IAEA, IBRD, ICAO, ICC, ICFTU, ICRM, IDA, IEA (observer), IFC, IFRCS, IHO, ILO, IMF, IMO, Inmarsat, Intelsat, Interpol, IOC, ISO, ITU, NATO, NC, NEA, NIB, OECD, OPCW, OSCE, UN, UNCTAD, UNESCO, UNHCR, UNMIBH, UNMIK, UNU, UPU, WEU (associate), WHO, WIPO, WMO, WTrO

Diplomatic representation in the US: | chief of mission: Ambassador Jon-Baldvin HANNIBALSSON chancery: Suite 1200, 1156 15th Street NW, Washington, DC 20005 telephone: [1] (202) 265-6653 FAX: [1] (202) 265-6656 consulate(s) general: New York

Diplomatic representation from the US: | chief of mission: Ambassador Barbara J. GRIFFITHS embassy: Laufasvegur 21, Reykjavik mailing address: US Embassy, PSC 1003, Box 40, FPO AE 09728-0340 telephone: [354] 5629100 FAX: [354] 5629118

Flag description: | blue with a red cross outlined in white that extends 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)

Iceland | Economy | Top of Page

Economy - overview: | Iceland's Scandinavian-type economy is basically capitalistic, yet with an extensive welfare system, low unemployment, and remarkably even distribution of income. In the absence of other natural resources (except for abundant hydrothermal and geothermal power), the economy depends heavily on the fishing industry, which provides 70% of export earnings and employs 12% of the work force. The economy remains sensitive to declining fish stocks as well as to drops in world prices for its main exports: fish and fish products, aluminum, and ferrosilicon. The center-right government plans to continue its policies of reducing the budget and current account deficits, limiting foreign borrowing, containing inflation, revising agricultural and fishing policies, diversifying the economy, and privatizing state-owned industries. The government remains opposed to EU membership, primarily because of Icelanders' concern about losing control over their fishing resources. Iceland's economy has been diversifying into manufacturing and service industries in the last decade, and new developments in software production, biotechnology, and financial services are taking place. The tourism sector is also expanding, with the recent trends in ecotourism and whale watching. Growth has been remarkably steady over the past five years at 4%-5%.

GDP: | purchasing power parity - $6.85 billion (2000 est.)

GDP - real growth rate: | 4.3% (2000 est.)

GDP - per capita: | purchasing power parity - $24,800 (2000 est.)

GDP - composition by sector: | agriculture: 15% (includes fishing 13%) industry: 21% services: 64% (1999 est.)

Population below poverty line: | NA%

Household income or consumption by percentage share: | lowest 10%: NA% highest 10%: NA%

Inflation rate (consumer prices): | 3.5% (2000 est.)

Labor force: | 159,000 (2000)

Labor force - by occupation: | agriculture 5.1%, fishing and fish processing 11.8%, manufacturing 12.9%, construction 10.7%, other services 59.5% (1999)

Unemployment rate: | 2.7% (January 2001)

Budget: | revenues: $3.5 billion expenditures: $3.3 billion, including capital expenditures of $467 million (1999)

Industries: | fish processing; aluminum smelting, ferrosilicon production, geothermal power; tourism

Industrial production growth rate: | 1.5% (2000 est.)

Electricity - production: | 7.069 billion kWh (1999)

Electricity - production by source: | fossil fuel: 0.07% hydro: 84.64% nuclear: 0% other: 15.29% (1999)

Electricity - consumption: | 6.574 billion kWh (1999)

Electricity - exports: | 0 kWh (1999)

Electricity - imports: | 0 kWh (1999)

Agriculture - products: | potatoes, turnips; cattle, sheep; fish

Exports: | $2 billion (f.o.b., 2000)

Exports - commodities: | fish and fish products 70%, animal products, aluminum, diatomite, ferrosilicon

Exports - partners: | EU 64% (UK 20%, Germany 13%, France 5%, Denmark 5%), US 15%, Japan 5% (1999)

Imports: | $2.2 billion (f.o.b., 2000)

Imports - commodities: | machinery and equipment, petroleum products; foodstuffs, textiles

Imports - partners: | EU 56% (Germany 12%, UK 9%, Denmark 8%, Sweden 6%), US 11%, Norway 10% (1999)

Debt - external: | $2.6 billion (1999)

Economic aid - donor: | $NA

Currency: | Icelandic krona (ISK)

Currency code: | ISK

Exchange rates: | Icelandic kronur per US dollar - 84.810 (January 2001), 78.676 (2000), 72.335 (1999), 70.958 (1998), 70.904 (1997), 66.500 (1996)

Fiscal year: | calendar year

Iceland | Communications | Top of Page

Telephones - main lines in use: | 168,000 (1997)

Telephones - mobile cellular: | 65,746 (1997)

Telephone system: | general assessment: adequate domestic service domestic: the trunk network consists of coaxial and fiber-optic cables and microwave radio relay links international: satellite earth stations - 2 Intelsat (Atlantic Ocean), 1 Inmarsat (Atlantic and Indian Ocean regions); note - Iceland shares the Inmarsat earth station with the other Nordic countries (Denmark, Finland, Norway, and Sweden)

Radio broadcast stations: | AM 3, FM about 70 (including repeaters), shortwave 1 (1998)

Radios: | 260,000 (1997)

Television broadcast stations: | 14 (plus 156 low-power repeaters) (1997)

Televisions: | 98,000 (1997)

Internet country code: | .is

Internet Service Providers (ISPs): | 7 (2000)

Internet users: | 144,000 (2000)

Iceland | Transportation | Top of Page

Railways: | 0 km

Highways: | total: 12,691 km paved: 3,262 km unpaved: 9,429 km (1999)

Waterways: | none

Ports and harbors: | Akureyri, Hornafjordur, Isafjordhur, Keflavik, Raufarhofn, Reykjavik, Seydhisfjordhur, Straumsvik, Vestmannaeyjar

Merchant marine: | total: 2 ships (1,000 GRT or over) totaling 3,435 GRT/4,538 DWT ships by type: chemical tanker 1, petroleum tanker 1 (2000 est.)

Airports: | 87 (2000 est.)

Airports - with paved runways: | total: 12 over 3,047 m: 1 1,524 to 2,437 m: 4 914 to 1,523 m: 7 (2000 est.)

Airports - with unpaved runways: | total: 75 1,524 to 2,437 m: 3 914 to 1,523 m: 20 under 914 m: 52 (2000 est.)

Iceland | Military | Top of Page

Military branches: | no regular armed forces; Police, Coast Guard; note - Iceland's defense is provided by the US-manned Icelandic Defense Force (IDF) headquartered at Keflavik

Military manpower - availability: | males age 15-49: 71,241 (2001 est.)

Military manpower - fit for military service: | males age 15-49: 62,704 (2001 est.)

Military expenditures - dollar figure: | $0

Military - note: | defense is provided by the US-manned Icelandic Defense Force (IDF) headquartered at Keflavik

Iceland | Transnational Issues | Top of Page

Disputes - international: | Rockall continental shelf dispute involving Denmark and the UK (Ireland and the UK have signed a boundary agreement in the Rockall area); dispute with Denmark over the Faroe Islands fisheries median line boundary within 200 NM; disputes with Denmark, the UK, and Ireland over the Faroe Islands continental shelf boundary outside 200 NM