ICELAND

Information about travelling to Iceland

Iceland is located in Northern Europe, island between the Greenland Sea and the North Atlantic Ocean, northwest of the UK

Facts about Iceland
Population304,367 (July 2008 est.)
CapitalReykjavik
Time zoneUTC (5 hours ahead of Washington, DC during Standard Time)
Location Northern Europe, island between the Greenland Sea and the North Atlantic Ocean, northwest of the UK

General info about Iceland
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, and social cohesion are first-rate by world standards.
Languages spoken
Icelandic, English, Nordic languages, German widely spoken
Ethnic division
homogeneous mixture of descendants of Norse and Celts 94%, population of foreign origin 6%
HIV/AIDS prevalence rate
0.2% (2001 est.)
Climate
temperate; moderated by North Atlantic Current; mild, windy winters; damp, cool summers
Resources
fish, hydropower, geothermal power, diatomite
Economy
Iceland's Scandinavian-type social-market economy combines a capitalist structure and free-market principles with an extensive welfare system, including generous housing subsidies. With this system, Iceland has achieved high growth, low unemployment, and a remarkably even distribution of income. Government economic priorities has included stabilizing the krona, reducing the current account deficit, containing inflation, restructuring the financial sector, and diversifying the economy. The economy depends heavily on the fishing industry, which provides 70% of export earnings and employs 6% of the work force. The economy 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, with new developments in software production, biotechnology, and tourism. Abundant geothermal power has attracted substantial foreign investment in the aluminum and hydropower sectors and boosted economic growth, 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-currency loans, following the privatization of the 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 negotiated over $10 billion in loans from the IMF and other countries to stabilize its currency and financial sector, and to guarantee foreign deposits in Icelandic banks. A protracted recession is expected in 2009 and 2010 with GDP likely to contract and unemployment likely to rise substantially. The collapse of the financial system has led to a major shift in opinion in favor of joining the EU and adopting the euro, after previous opposition stemming from Icelanders' concern about losing control over their fishing resources.
Environment
water pollution from fertilizer runoff; inadequate wastewater treatment

Cities in Iceland

akranes     akureyri     bildudalur     blonduos     bolungarvik     borgarnes     dalvik     djupivogur     drangsnes     eyrarbakki     flateyri     grenivik     grindavik     hafnir     hella     hellissandur     hjalteyri     hnifsdalur     hofn     hofsos     holar     holmavik     husavik     hvammstangi     hvanneyri     hvolsvollur     keflavik     kirkjubaejarklaustur     kopasker     kopavogur     laugarvatn     litli-arskogssandur     olafsvik     raufarhofn     reykholar     reykholt     reykjavik     selfoss     skagastrond     stokkseyri     stykkisholmur     vestmannaeyjar     vogar    

National airlines
Air Atlantaairline website
Air Icelandairline website
Icelandairairline website


Airports in Iceland
AkureyriAEY
BildudalurBIU
BakkafjordurBJD
BlonduosBLO
BreiddalsvikBXV
DjupivogurDJU
FaskrudsfjordurFAS
FlateyriFLI
GjogurGJR
HolmavikHVK
HvammstangiHVM
HusavikHZK
IsafjordurIFJ
Keflavik InternationalKEF
OlafsfjordurOFJ
RifOLI
KopaskerOPA
PatreksfjordurPFJ
Metropolitan AreaREK
RaufarhofnRFN
ReykholarRHA
Reykjavik DomesticRKV
SaudarkrokurSAK
SeydisfjordurSEJ
SiglufjordurSIJ
SudureyriSUY
StykkisholmurSYK
VestmannaeyjarVEY
VopnafjordurVPN


Beer in Iceland (0.33l)
Húsavík~ 3.2 EUR
Reykjavik~ 3.2 EUR
Reykjavík~ 3.2 EUR
Reykjavik~ 3.2 EUR

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