Iceland

Republic of IcelandLydveldid Island

constitutional republic

Iceland as the 2012 edition of the CIA World Factbook published it: 153 fields, one of 36 editions from 1990 to 2025.

field in that editiontext changed from the edition beforenot in that editionthe open editionEach field below ends in its editions, 1990 to 2025. Point at a year above to follow it down.

CapitalReykjavik, UTC
Position65 00 N, 18 00 W
Area103,000 sq km
LocationNorthern Europe, island between the Greenland Sea and the North Atlantic Ocean, northwest of the United Kingdom
Populationas each edition published it
313,183 people July 2012 est. · 257,023 in 1990
Population growth% a year
0.674% 2012 est. · 0.88% in 1993
Median ageyears
35.9 years 2012 est. · 34 yrs in 2003
Life expectancyyears at birth
81 years 2012 est. · 78.69 yrs in 1993
Fertility ratechildren per woman
1.89 children per woman 2012 est. · 2.2 in 1990
Infant mortalitydeaths per 1,000 live births
3.18 deaths per 1,000 live births 2012 est. · 7 in 1990
GDP per capitaeach edition's own dollars
$39,400 2012 est. · $17,400 in 1993
GDP real growth% a year
2.7% 2012 est. · -3.3% in 1993

Introduction

1 field

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. 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. Literacy, longevity, and social cohesion are first rate by world standards.

Geography

Northern Europe, island between the Greenland Sea and the North Atlantic Ocean, northwest of the United Kingdom

20 fields

Land useshare of 103,000 sq km

permanent crops 0%other 99.93% (2005)arable land 0.07% in all
Area
103,000sq km
country comparison to the world: 108land: 100,250 sq kmwater: 2,750 sq kmslightly smaller than Kentucky
Coastline
4,970km
land boundaries: 0 kmterritorial sea: 12 nmexclusive economic zone: 200 nmcontinental shelf: 200 nm or to the edge of the continental margin
Highest point
2,110m
Hvannadalshnukur · (at Vatnajokull glacier)lowest point: Atlantic Ocean 0 m

Location

Northern Europe, island between the Greenland Sea and the North Atlantic Ocean, northwest of the United Kingdom

Geographic coordinates

65 00 N, 18 00 W

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 resources

fish, hydropower, geothermal power, diatomite

Freshwater withdrawal (domestic/industrial/agricultural)

total:
0.17 cu km/yr (34%/66%/0%)
per capita:
567 cu m/yr (2003)

Natural hazards

earthquakes and volcanic activity

volcanism:
  • Iceland, situated on top of a hotspot, experiences severe volcanic activity;
  • Eyjafjallajokull (elev. 1,666 m) erupted in 2010, sending ash high into the atmosphere and seriously disrupting European air traffic;
  • scientists continue to monitor nearby Katla (elev. 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

Environment - current issues

water pollution from fertilizer runoff; inadequate wastewater treatment

Environment - 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
signed, but not ratified:
Environmental Modification, 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

People and Society

30 fields

Age structuremale left, female right · (2012 est.)

18,551
65 and over12.9%
21,891
106,115
15-6467.1%
103,909
31,777
0-1420%
30,940
MaleFemale
Population
313,183
(July 2012 est.)country comparison to the world: 179growth rate: 0.674% (2012 est.)country comparison to the world: 141

Per 1,000 population

Birth
13.23 (2012 est.)Death
7.02 (July 2012 est.)Net migration
0.53 (2012 est.)

Male · female

TotalMale · femaleLife expectancy years (2012 est.)81
78.81 · 83.29Infant mortality deaths/1,000 live births (2012 est.)3.18
3.33 · 3.03Literacy (2003 est.)99%
99% · 99%
TotalMale · femaleMedian age years (2012 est.)35.9
35.4 · 36.3School life expectancy years (2008)18
17 · 20Youth unemployment ages 15-24 (2009)16%
19.9% · 12%
MaleFemaleLife expectancy country comparison to the world: 19 · Infant mortality country comparison to the world: 216 · Literacy definition: age 15 and over can read and write · Youth unemployment ages 15-24 country comparison to the world: 72

Religions(2006 est.)

Lutheran Church of Iceland (official) 80.7%Roman Catholic 2.5%Reykjavik Free Church 2.4%Hafnarfjorour Free Church 1.6%other religions 3.6%unaffiliated 3%other or unspecified 6.2% (2006 est.)
Urban population
93%of total population
(2010)rate of urbanization: 1.5% annual rate of change (2010-15 est.)Major cities - population: REYKJAVIK (capital) 198,000 (2009)
Improved sanitation
100%of population
improved: urban: 100% of populationrural: 100% of population
Maternal mortality rate
5deaths/100,000 live births
(2010)country comparison to the world: 176
Obesity - adult prevalence rate
12.4%
(2002)country comparison to the world: 46

Nationality

noun:
Icelander(s)
adjective:
Icelandic

Ethnic groups

homogeneous mixture of descendants of Norse and Celts 94%, population of foreign origin 6%

Languages

Icelandic, English, Nordic languages, German widely spoken

Sex ratio

at birth:
1.04 male(s)/female
under 15 years:
1.03 male(s)/female
15-64 years:
1.02 male(s)/female
65 years and over:
0.85 male(s)/female
total population:
1 male(s)/female (2011 est.)

Total fertility rate

1.89 children born/woman (2012 est.) country comparison to the world: 144

Health expenditures

4.2% of GDP (2009) country comparison to the world: 156

Physicians density

3.934 physicians/1,000 population (2008)

Hospital bed density

5.79 beds/1,000 population (2007)

HIV/AIDS - adult prevalence rate

0.3% (2009 est.) country comparison to the world: 85

HIV/AIDS - people living with HIV/AIDS

fewer than 1,000 (2009 est.) country comparison to the world: 143

HIV/AIDS - deaths

fewer than 100 (2009 est.) country comparison to the world: 136

Education expenditures

7.4% of GDP (2007) country comparison to the world: 14

Government

Constitutional republic; President Olafur Ragnar GRIMSSON (since 1 August 1996); Prime Minister Johanna SIGURDARDOTTIR (since 1 February 2009)

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Presidential electionpercent of vote

52.8%
Olafur Ragnar GRIMSSON 52.8%Thora ARNORSDOTTIR 33.2%Ari Trausti GUDMUNDSSON 8.6%election last held on 30 June 2012 (next to be held in June 2016)

Legislature, 63 seats, elected 25 April 2009one dot, one seat

Social Democratic Alliance 20Independence Party 16Left-Green Movement 14Progressive Party 9Citizens' Movement 4

Percent of vote

Social Democratic Alliance 29.8%Independence Party 23.7%Left-Green Movement 21.7%Progressive Party 14.8%Citizens' Movement 7.2%other 2.8%

Country name

conventional long form:
Republic of Iceland
conventional short form:
Iceland
local long form:
Lydveldid Island
local short form:
Island

Government type

constitutional republic

Capital

name:
Reykjavik
geographic coordinates:
64 09 N, 21 57 W
time difference:
UTC 0 (5 hours ahead of Washington, DC during Standard Time)

Administrative divisions

8 regions; Austurland, Hofudhborgarsvaedhi, Nordhurland Eystra, Nordhurland Vestra, Sudhurland, Sudhurnes, Vestfirdhir, Vesturland

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)

National holiday

Independence Day, 17 June (1944)

Constitution

16 June 1944, effective 17 June 1944; amended many times

International law organization participation

has not submitted an ICJ jurisdiction declaration; accepts ICCt 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 Johanna SIGURDARDOTTIR (since 1 February 2009)
cabinet:
Cabinet appointed by the prime minister; (For more information visit theWorld Leaders website)
elections:
  • president is elected by popular vote for a four-year term (no term limits);
  • election last held on 30 June 2012 (next to be held in June 2016);
  • note - following legislative elections, the leader of the majority party or the leader of the majority coalition is usually the prime minister
election results:
Olafur Ragnar GRIMSSON elected president; percent of vote - Olafur Ragnar GRIMSSON 52.8%, Thora ARNORSDOTTIR 33.2%, Ari Trausti GUDMUNDSSON 8.6%

Legislative branch

unicameral Althingi (parliament) (63 seats; members elected by popular vote to serve four-year terms)

elections:
last held on 25 April 2009 (next to be held in 2013)
election results:
  • percent of vote by party - Social Democratic Alliance 29.8%, Independence Party 23.7%, Left-Green Movement 21.7%, Progressive Party 14.8%, Citizens' Movement 7.2%, other 2.8%;
  • seats by party - Social Democratic Alliance 20, Independence Party 16, Left-Green Movement 14, Progressive Party 9, Citizens' Movement 4

note: the Citizens' Movement disintegrated in September 2009; three of its former MPs are now represented under the banner of The Movement and the fourth former MP is an MP for the Left-Green Movement);

three MPs from the Left-Green Movement left the party during early 2011 (two are now independents and the third has joined the Progressive Party); one MP left the Progressive Party in August 2011 and is now an independent

Judicial branch

Supreme Court or Haestirettur (justices are appointed for life by the president); eight district courts (justices are appointed for life by the president)

Political parties and leaders

  • Independence Party (Sjalfstaedisflokkurinn) or IP [Bjarni BENEDIKTSSON];
  • Left-Green Movement (Vinstrihreyfingin-graent frambod) or LGM [Steingrimur SIGFUSSON];
  • Liberal Party (Frjalslyndi flokkurinn) [Sigurjon THORDARSON];
  • The Movement (Hreyfingin) [Birgitta JONSDOTTIR];
  • Progressive Party (Framsoknarflokkurinn) or PP [Sigmundur David GUNNLAUGSSON];
  • Social Democratic Alliance (Samfylkingin) or SDA [Johanna SIGURDARDOTTIR]

International organization participation

Arctic Council, Australia Group, BIS, CBSS, CD, CE, EAPC, EBRD, EFTA, EU (candidate country), FAO, FATF, IAEA, IBRD, ICAO, ICC (national committees), ICRM, IDA, IFAD, IFC, IFRCS, IHO, ILO, IMF, IMO, IMSO, Interpol, IOC, 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 representation in the US

chief of mission:
Ambassador Gudmundur A. STEFANSSON
chancery:
House of Sweden, 2900 K Street NW #509, Washington, DC 20007
telephone:
[1] (202) 265-6653
FAX:
[1] (202) 265-6656
consulate(s) general:
New York

Diplomatic representation from the US

chief of mission:
Ambassador Luis E. ARREAGA
embassy:
Laufasvegur 21, 101 Reykjavik
mailing address:
US Department of State, 5640 Reykjavik Place, Washington, D.C. 20521-5640
telephone:
[354] 562-9100
FAX:
[354] 562-9118

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 anthem

name:
"Lofsongur" (Song of Praise)
lyrics/music:
Matthias JOCHUMSSON/Sveinbjorn SVEINBJORNSSON

note: adopted 1944; the anthem, also known as "O, Gud vors lands" (O, God of Our Land), was originally written and performed in 1874

Economy

Iceland's Scandinavian-type social-market economy combines a capitalist structure and free-market principles with an extensive welfare system.

39 fields
GDP, purchasing power parity
$12.95billion
(2012 est.)country comparison to the world: 147$12.61 billion (2011 est.) · $12.24 billion (2010 est.)note: data are in 2012 US dollarsofficial exchange rate: $13.55 billion (2012 est.)
GDP per capita, PPP
$39,400
(2012 est.)country comparison to the world: 25$38,700 (2011 est.) · $37,900 (2010 est.)note: data are in 2012 US dollars
Real growth rate
2.7%
(2012 est.)country comparison to the world: 1183.1% (2011 est.) · -4% (2010 est.)industrial production growth: 3% (2011 est.)country comparison to the world: 104
Inflation, consumer prices
5.3%
(2012 est.)country comparison to the world: 1464% (2011 est.)

GDP - composition by sector(2012 est.)

agriculture 5.3%industry 24.4%services 70.3% (2012 est.)

Trading partnersexports left, imports right

32.4%
Netherlands
7.3%
4.4%
Norway
15.9%
15%
Germany
7.8%
US
10.8%
9%
UK
5.1%
China
6.2%
Denmark
6.2%
Brazil
5.8%
Exports $5.1 billion (2012 est.)Imports $4.699 billion (2012 est.)(2011)

Budget

Revenues
$5.463 billionExpenditures
$5.775 billion (2012 est.)

Economy - overview

Iceland's Scandinavian-type social-market economy combines a capitalist structure and free-market principles with an extensive welfare system. Prior to the 2008 crisis, Iceland had achieved high growth, low unemployment, and a remarkably even distribution of income. The economy depends heavily on the fishing industry, which provides 40% of export earnings, more than 12% of GDP, and employs 7% of the work force.

It remains sensitive to declining fish stocks as well as to fluctuations in world prices for its main exports: fish and fish products, aluminum, and ferrosilicon. Iceland's economy has been diversifying into manufacturing and service industries in the last decade, particularly within the fields of software production, biotechnology, and tourism.

Abundant geothermal and hydropower sources have attracted substantial foreign investment in the aluminum sector, boosted economic growth, and sparked some interest from high-tech firms looking to establish data centers using cheap green energy, although the financial crisis has put several investment projects on hold.

Much of Iceland's economic growth in recent years came as the result of a boom in domestic demand following the rapid expansion of the country's financial sector. Domestic banks expanded aggressively in foreign markets, and consumers and businesses borrowed heavily in foreign currencies, following the privatization of the banking sector in the early 2000s.

Worsening global financial conditions throughout 2008 resulted in a sharp depreciation of the krona vis-a-vis other major currencies. The foreign exposure of Icelandic banks, whose loans and other assets totaled more than 10 times the country's GDP, became unsustainable. Iceland's three largest banks collapsed in late 2008.

The country secured over $10 billion in loans from the IMF and other countries to stabilize its currency and financial sector, and to back government guarantees for foreign deposits in Icelandic banks. GDP fell 6.8% in 2009, and unemployment peaked at 9.4% in February 2009. GDP rose 2.7% in 2012 and unemployment declined to 5.6%. Since the collapse of Iceland's financial sector, government economic priorities have included: stabilizing the krona, implementing capital controls, reducing Iceland's high budget deficit, containing inflation, addressing high household debt, restructuring the financial sector, and diversifying the economy.

Three new banks were established to take over the domestic assets of the collapsed banks. Two of them have foreign majority ownership, while the State holds a majority of the shares of the third. Iceland began making payments to the UK, the Netherlands, and other claimants in late 2011 following Iceland's Supreme Court ruling that upheld 2008 emergency legislation that gives priority to depositors for compensation from failed Icelandic banks.

Iceland owes British and Dutch authorities approximately $5.5 billion for compensating British and Dutch citizens who lost deposits in Icesave when parent bank Landsbanki failed in 2008. Iceland began accession negotiations with the EU in July 2010; however, public support has dropped substantially because of concern about losing control over fishing resources and in reaction to worries over the ongoing Eurozone crisis.

Labor force

180,800 (2012 est.) country comparison to the world: 174

Labor force - by occupation

agriculture:
4.8%
industry:
22.2%
services:
73% (2008)

Unemployment rate

5.6% (2012 est.) · 7.4% (2011 est.) country comparison to the world: 56

Population below poverty line

NA% note: 332,100 families (2011 est.)

Distribution of family income - Gini index

28 (2006) · 25 (2005) country comparison to the world: 122

Investment (gross fixed)

14.5% of GDP (2012 est.) country comparison to the world: 139

Taxes and other revenues

40.3% of GDP (2012 est.) country comparison to the world: 50

Budget surplus (+) or deficit (-)

-2.3% of GDP (2012 est.) country comparison to the world: 79

Public debt

118.9% of GDP (2012 est.) · 128.6% of GDP (2011 est.) country comparison to the world: 10

Central bank discount rate

5.4% (31 January 2012 est.) · 5.75% (31 December 2010 est.) country comparison to the world: 64

Commercial bank prime lending rate

8.4% (31 December 2012 est.) · 7.7% (31 December 2011 est.) country comparison to the world: 121

Stock of narrow money

$4.466 billion (31 December 2012 est.) · $4.053 billion (31 December 2011 est.) country comparison to the world: 104

Stock of broad money

$12.57 billion (31 December 2010 est.) · $12.68 billion (31 December 2010 est.) country comparison to the world: 98

Stock of domestic credit

$22.36 billion (31 December 2012 est.) · $19.49 billion (31 December 2011 est.) country comparison to the world: 81

Market value of publicly traded shares

$2.021 billion (31 December 2011) · $1.996 billion (31 December 2010) · $1.128 billion (31 December 2009) country comparison to the world: 98

Agriculture - products

  • potatoes, green vegetables;
  • mutton, chicken, pork, beef, dairy products;
  • fish

Current account balance

-$700 million (2012 est.) · -$953 million (2011 est.) country comparison to the world: 105

Exports

$5.1 billion (2012 est.) · $5.344 billion (2011 est.) country comparison to the world: 112

Exports - commodities

fish and fish products 40%, aluminum, animal products, ferrosilicon, diatomite

Imports

$4.699 billion (2012 est.) · $4.506 billion (2011 est.) country comparison to the world: 131

Imports - commodities

machinery and equipment, petroleum products, foodstuffs, textiles

Reserves of foreign exchange and gold

$9.095 billion (31 December 2012 est.) · $8.55 billion (31 December 2011 est.) country comparison to the world: 75

Debt - external

$124.5 billion (30 June 2011) · $3.073 billion (2002 est.) country comparison to the world: 41

Stock of direct foreign investment - at home

$NA (31 December 2011); $9.2 billion (31 December 2008)

Stock of direct foreign investment - abroad

$NA (31 December 2011); $8.8 billion (31 December 2008)

Exchange rates

Icelandic kronur (ISK) per US dollar - 127.2 (2012 est.) · 115.95 (2011 est.) · 122.24 (2010 est.) · 123.64 (2009) · 85.619 (2008)

Fiscal year

calendar year

Energy

23 fields

Installed generating capacity, 2.571 million kW(2009 est.)

Fossil fuels 4.7% of total installed capacity (2009 est.)Hydroelectric plants 72.9% of total installed capacity (2009 est.)Other renewable sources 22.4% of total installed capacity (2009 est.)Nuclear fuels 0%
Electricity production
16.77 billion (2010 est.)Electricity consumption
15.98 billion (2009 est.)Refined petroleum imports
15,530 (2009 est.)Refined petroleum consumption
20,770 (2011 est.)Refined petroleum exports
1,209 (2009 est.)

Crude oil - production

0 bbl/day (2011 est.) country comparison to the world: 148

Crude oil - exports

0 bbl/day (2009 est.) country comparison to the world: 129

Crude oil - imports

0 bbl/day (2009 est.) country comparison to the world: 200

Crude oil - proved reserves

0 bbl (1 January 2012 est.) country comparison to the world: 147

Refined petroleum products - production

0 bbl/day (2009 est.) country comparison to the world: 160

Natural gas - production

0 cu m (2010 est.) country comparison to the world: 145

Natural gas - consumption

0 cu m (2010 est.) country comparison to the world: 157

Natural gas - exports

0 cu m (2010 est.) country comparison to the world: 87

Natural gas - imports

0 cu m (2010 est.) country comparison to the world: 209

Natural gas - proved reserves

0 cu m (1 January 2012 est.) country comparison to the world: 151

Carbon dioxide emissions from consumption of energy

3.357 million Mt (2010 est.) country comparison to the world: 138

Communications

7 fields
Mobile cellular
344,100
(2011)
Internet users
369,969
(2012)
Fixed lines
191,100
(2011) · country code .is

Telephone system

general assessment:
telecommunications infrastructure is modern and fully digitized, with satellite-earth stations, fiber-optic cables, and an extensive broadband network
domestic:
liberalization of the telecommunications sector beginning in the late 1990s has led to increased competition especially in the mobile services segment of the market
international:
  • country code - 354;
  • the CANTAT-3 and FARICE-1 submarine cable systems provide connectivity to Canada, the Faroe Islands, UK, Denmark, and Germany;
  • a planned new section of the Hibernia-Atlantic submarine cable will provide additional connectivity to Canada, US, and Ireland;
  • 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)

Broadcast media

  • state-owned public TV broadcaster operates 1 TV channel nationally;
  • several privately-owned TV stations broadcast nationally and roughly another half-dozen operate locally;
  • about one-half the households utilize multi-channel cable or satellite TV services;
  • state-owned public radio broadcaster operates 2 national networks and 4 regional stations;
  • 2 privately-owned radio stations operate nationally and another 15 provide more limited coverage (2007)

Internet users

301,600 (2009) country comparison to the world: 129

Transportation

6 fields

Airports by runway lengthpaved only

over 3,047 m
1
2 (2012)

Airports by runway lengthunpaved only

under 914 m
63

Airports

99 (2012) country comparison to the world: 57

Roadways

total:
12,869 km

country comparison to the world: 128

paved/oiled gravel:
4,438 km (does not include urban roads)
unpaved:
8,431 km (2009)

Merchant marine

total:
2

country comparison to the world: 141

by type:
passenger/cargo 2
registered in other countries:
19 (Antigua and Barbuda 10, Belize 1, Faroe Islands 4, Finland 1, Gibraltar 1, Norway 2) (2010)

Ports and terminals

Grundartangi, Hafnarfjordur, Reykjavik

Military

No regular military forces; Icelandic National Police (2008)

6 fields
Military expenditures
0%of GDP
(2005 est.)country comparison to the world: 172

Military branches

no regular military forces; Icelandic National Police (2008)

Manpower available for military service

males age 16-49: 75,337 (2010 est.)

Manpower fit for military service

males age 16-49:
62,781
females age 16-49:
61,511 (2010 est.)

Military - note

  • Iceland has no standing military force;
  • under a 1951 bilateral agreement - still valid - its defense was provided by the US-manned Icelandic Defense Force (IDF) headquartered at Keflavik;
  • however, all US military forces in Iceland were withdrawn as of October 2006;
  • although wartime defense of Iceland remains a NATO commitment, in April 2007, Iceland and Norway signed a bilateral agreement providing for Norwegian aerial surveillance and defense of Icelandic airspace (2008)

Transnational Issues

1 field

Disputes - 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 European Economic Area agreement in failing to pay minimum compensation to Icesave depositors

Cite this entry

Central Intelligence Agency. “Iceland.” The World Factbook 2012. Archived by The Factbook, thefactbook.org/iceland/2012.