Edition 2003 — Iceland — World Factbook

Administrative divisions

23 counties (syslur, 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

Age structure

0-14 years: 22.7% (male 32,902; female 30,952) 15-64 years: 65.4% (male 92,519; female 91,000) 65 years and over: 11.9% (male 14,973; female 18,452) (2003 est.)

Agriculture - products

potatoes, green vegetables, chicken, pork, mutton; fish

Airports

86 (2002)

Airports - with paved runways

over 3,047 m: 1 1,524 to 2,437 m: 4 914 to 1,523 m: 8 (2002)
total: 13

Airports - with unpaved runways

total: 73 1,524 to 2,437 m: 3 914 to 1,523 m: 21
under 914 m: 49 (2002) Military Iceland

Area

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

Area - comparative

slightly smaller than Kentucky

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. Geography Iceland

Birth rate

14.13 births/1,000 population (2003 est.)

Budget

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

Capital

Reykjavik

Climate

temperate; moderated by North Atlantic Current; mild, windy winters; damp, cool summers

Coastline

4,988 km

Constitution

16 June 1944, effective 17 June 1944

Country name

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

Currency

Icelandic krona (ISK)

Currency code

ISK

Death rate

6.95 deaths/1,000 population (2003 est.)

Debt - external

$2.6 billion (1999)

Diplomatic representation from the US

chief of mission: Ambassador James I. GADSDEN
embassy: Laufasvegur 21, 101 Reykjavik
mailing address: US Embassy, PSC 1003, Box 40, FPO AE 09728-0340
telephone: [354] 5629100

Diplomatic representation in the US

chancery: Suite 1200, 1156 15th Street NW, Washington, DC 20005-1704
chief of mission: Ambassador Helgi AGUSTSSON
consulate(s) general: New York

Disputes - international

Rockall continental shelf dispute involving Denmark, Iceland, 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 This page was last updated on 18 December, 2003

Economic aid - donor

$NA

Economy - overview

Iceland's Scandinavian-type economy is basically capitalistic, yet with an extensive welfare system (including generous housing subsidies), 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 fluctuations in
world prices for its main exports: fish and fish products, aluminum, and ferrosilicon. Government policies include 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 had been remarkably steady in 1996-2001 at 3%-5%, but could not be sustained in 2002 in an environment of global recession. Growth resumed in 2003, and inflation dropped back from 5% to 2%.

Electricity - consumption

7.341 billion kWh (2001)

Electricity - exports

0 kWh (2001)

Electricity - imports

0 kWh (2001)

Electricity - production

7.894 billion kWh (2001)

Electricity - production by source

fossil fuel: 0.1%
hydro: 82.5%
nuclear: 0%
other: 17.5% (2001)

Elevation extremes

highest point: Hvannadalshnukur 2,119 m (at Vatnajokull glacier)
lowest point: Atlantic Ocean 0 m

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, Environmental Protection through Criminal Law, Hazardous Wastes, Kyoto Protocol, Law of the Sea, Marine Dumping, Nuclear Test Ban, Oil Pollution, Ozone Layer Protection, Persistent Organic Pollutants, Ship Pollution, Transboundary Air Pollution, Wetlands
signed, but not ratified: Air Pollution-Persistent Organic Pollutants, Environmental Modification, Marine Life Conservation

Ethnic groups

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

Exchange rates

Icelandic kronur per US dollar - 91.66 (2002), 97.42 (2001), 78.62 (2000), 72.34 (1999), 70.96 (1998)

Executive branch

cabinet: Cabinet appointed by the prime minister and approved by Parliament
chief of state: President Olafur Ragnar GRIMSSON (since 1 August 1996)
election results: Olafur Ragnar GRIMSSON ran unopposed in 2000 and was reelected
elections: president, which is largely a ceremonial post, 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
head of government: Prime Minister David ODDSSON (since 30 April 1991)

Exports

$2.3 billion f.o.b. (2002)

Exports - commodities

fish and fish products 70%, animal products, aluminum, diatomite, ferrosilicon

Exports - partners

Germany 18.5%, UK 17.5%, Netherlands 11.4%, US 10.9%, Spain 5.2%, Denmark 4.6%, Portugal 4.3%, Norway 4.2% (2002)

FAX

[1] (202) 265-6656; [354] 5629118
telephone: [1] (202) 265-6653

Fiscal year

calendar year Communications Iceland

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) Economy Iceland

GDP

purchasing power parity - $8.444 billion (2002 est.)

GDP - composition by sector

agriculture: 14% (includes fishing 12%)
industry: 21%
services: 65% (2001 est.)

GDP - per capita

purchasing power parity - $30,200 (2002 est.)

GDP - real growth rate

-0.6% (2002 est.)

Geographic coordinates

65 00 N, 18 00 W

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 Iceland

Government type

constitutional republic

Highways

paved/oiled gravel: 3,863 km
total: 12,955 km
unpaved: 9,092 km (2003)

HIV/AIDS - adult prevalence rate

0.2% (2001 est.)

HIV/AIDS - deaths

less than 100 (2001 est.)

HIV/AIDS - people living with HIV/AIDS

220 (2001 est.)

Household income or consumption by percentage share

highest 10%: NA%
lowest 10%: NA%

Imports

$2.1 billion (2002)

Imports - commodities

machinery and equipment, petroleum products; foodstuffs, textiles

Imports - partners

US 10.9%, Germany 10.7%, Denmark 8.5%, Norway 8%, UK 7.5%, Netherlands 6%, Sweden 5.9% (2002)

Independence

1 December 1918 (became a sovereign state under the Danish Crown); 17 June 1944 (from Denmark)

Industrial production growth rate

0.2% (2002 est.)

Industries

fish processing; aluminum smelting, ferrosilicon production, geothermal power; tourism

Infant mortality rate

female: 3.19 deaths/1,000 live births (2003 est.)
male: 3.79 deaths/1,000 live births
total: 3.5 deaths/1,000 live births

Inflation rate (consumer prices)

5.2% (2002 est.)

International organization participation

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

Internet country code

.is

Internet Service Providers (ISPs)

20 (2001)

Internet users

220,000 (2002) Transportation Iceland

Irrigated land

NA sq km

Judicial branch

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

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)

Land boundaries

0 km

Land use

arable land: 1%
forest and woodlands: 1%
other: 70% (2001 est.)
permanent crops: 0%
permanent pastures: 28%

Languages

Icelandic, English, Nordic languages, German widely spoken

Legal system

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

Legislative branch

unicameral Parliament or Althing (63 seats; members are elected by popular vote to serve four-year terms)
election results: percent of vote by party - Independence Party 33.7%, Social Democratic Alliance 31.0%, Progressive Party 17.7%, Left-Green Alliance 8.8%, Liberal Party 7.4%; seats by party - Independence Party 22, Social Democratic Alliance 20, Progressive Party 12, Left-Green Alliance 5, Liberal Party 4
elections: last held 10 May 2003 (next to be held by May 2007)

Life expectancy at birth

female: 82.22 years (2003 est.)
male: 77.54 years
total population: 79.8 years

Literacy

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

Location

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

Map references

Arctic Region

Maritime claims

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

Median age

female: 34.7 years (2002)
male: 33.2 years
total: 34 years

Merchant marine

ships by type: chemical tanker 1 (2002 est.)
total: 1 ships (1,000 GRT or over) 3,500 GRT/5,000 DWT

Military - note

defense is provided by the US-manned Icelandic Defense Force (IDF) headquartered at Keflavik Transnational Issues Iceland

Military branches

no regular armed forces; Police, Coast Guard

Military expenditures - dollar figure

$0

Military manpower - availability

males age 15-49: 71,157 (2003 est.)

Military manpower - fit for military service

males age 15-49: 62,552 (2003 est.)

National holiday

Independence Day, 17 June (1944)

Nationality

adjective: Icelandic
noun: Icelander(s)

Natural hazards

earthquakes and volcanic activity

Natural resources

fish, hydropower, geothermal power, diatomite

Net migration rate

-2.26 migrant(s)/1,000 population (2003 est.)

Oil - consumption

16,300 bbl/day (2001 est.)

Oil - exports

0 bbl/day (2001)

Oil - imports

15,470 bbl/day (2001)

Oil - production

0 bbl/day (2001 est.)

Political parties and leaders

Independence Party or IP [David ODDSSON]; Left-Green Alliance or LGP [Steingrimur SIGFUSSON]; Liberal Party or LP [Gudjon KRISTJANSSON]; Progressive Party or PP [Halldor ASGRIMSSON]; Social Democratic Alliance (includes People's Alliance or PA, Social Democratic Party or SDP, Women's List)or SDA [Ossur SKARPHEDINSSON]; Social Democratic Party or SDP [Sighvatur BJORGVINSSON]; Women's List or WL [Kristin ASTGEIRSDOTTIR]

Political pressure groups and leaders

NA

Population

280,798 (July 2003 est.)

Population below poverty line

NA%

Population growth rate

0.49% (2003 est.)

Ports and harbors

Akureyri, Hornafjordhur, Isafjordhur, Keflavik, Raufarhofn, Reykjavik, Seydhisfjordhur, Straumsvik, Vesttmannaeyjar

Radio broadcast stations

AM 3, FM about 70 (including repeaters), shortwave 1 (1998)

Radios

260,000 (1997)

Railways