Iceland

Airports

total: 90 usable: 84 with permanent-surface runways: 9 with runways over 3,659 m: 0 with runways 2,440-3,659 m: 1 with runways 1,220-2,439 m: 12

Highways

total: 12,537 km paved: 2,690 km unpaved: gravel, earth 9,847 km

Merchant marine

8 ships (1,000 GRT or over) totaling 33,212 GRT/47,359 DWT, cargo 2, chemical tanker 1, oil tanker 1, refrigerated cargo 2, roll-on/roll-off cargo 2

Ports

Reykjavik, Akureyri, Hafnarfjordhur, Keflavik, Seydhisfjordhur, Siglufjordhur, Vestmannaeyjar

Telecommunications

adequate domestic service; coaxial and fiber-optical cables and microwave radio relay for trunk network; 140,000 telephones; broadcast stations - 5 AM, 147 (transmitters and repeaters) FM, 202 (transmitters and repeaters) TV; 2 submarine cables; 1 Atlantic Ocean INTELSAT earth station carries all international traffic; a second INTELSAT earth station is scheduled to be operational in 1993

Branches

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

Defense expenditures

none

Manpower availability

males age 15-49 70,074; fit for military service 62,197

Agriculture

accounts for about 15% of GDP; fishing is most important economic activity, contributing nearly 75% to export earnings; principal crops - potatoes, turnips; livestock - cattle, sheep; self-sufficient in crops; fish catch of about 1.1 million metric tons in 1992

Budget

revenues: $1.8 billion expenditures: $1.9 billion, including capital expenditures of $191 million (1992)

Currency

1 Icelandic krona (IKr) = 100 aurar

Economic aid

recipient: US commitments, including Ex-Im (FY70-81), $19.1 million

Electricity

capacity: 1,063,000 kW production: 5.165 billion kWh consumption per capita: 19,940 kWh (1992)

Exchange rates

Icelandic kronur (IKr) per US$1 - 72.971 (January 1994), 67.603 (1993), 57.546 (1992), 58.996 (1991), 58.284 (1990), 57.042 (1989)

Exports

$1.5 billion (f.o.b., 1992) commodities: fish and fish products, animal products, aluminum, ferrosilicon, diatomite partners: EC 68% (UK 25%, FRG 12%), US 11%, Japan 8% (1992)

External debt

$3.9 billion (1992 est.)

Fiscal year

calendar year

Imports

$1.5 billion (c.i.f., 1992) commodities: machinery and transportation equipment, petroleum products, foodstuffs, textiles partners: EC 53% (Germany 14%, Denmark 10%, UK 9%), Norway 14%, US 9% (1992)

Industrial production

growth rate 1.75% (1991 est.)

Industries

fish processing, aluminum smelting, ferro-silicon production, geothermal power

Inflation rate (consumer prices)

4% (1993)

National product

GDP - purchasing power equivalent - $4.2 billion (1993)

National product per capita

$16,000 (1993)

National product real growth rate

0.4% (1993 est.)

Overview

Iceland's Scandinavian-type economy is basically capitalistic, but with an extensive welfare system, relatively low unemployment, and comparatively even distribution of income. The economy is heavily dependent on the fishing industry, which provides nearly 75% of export earnings and employs 12% of the workforce. In the absence of other natural resources - except energy - Iceland's economy is vulnerable to changing world fish prices. Iceland's economy has been in recession since 1988. The recession continued in 1993 due to a third year of cutbacks in fishing quotas as well as falling world prices for the country's main exports: fish and fish products, aluminum, and ferrosilicon. Real GDP declined 3.3% in 1992 and rose slightly, by 0.4%, in 1993. The center-right government's economic goals 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 recession has led to a wave of bankruptcies and mergers throughout the economy, as well as the highest unemployment of the post-World War II period. Inflation, previously a serious problem, declined from double digit rates in the 1980s to only 3.7% in 1992-93.

Unemployment rate

4.5% (1993 est.)

Area

total area: 103,000 sq km land area: 100,250 sq km comparative area: slightly smaller than Kentucky

Climate

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

Coastline

4,988 km

Environment

current issues: water pollution from fertilizer runoff; inadequate wastewater treatment natural hazards: subject to earthquakes and volcanic activity international agreements: party to - Air Pollution, Climate Change, Law of the Sea, Marine Dumping, Nuclear Test Ban, Ozone Layer Protection, Ship Pollution, Wetlands; signed, but not ratified - Biodiversity, Environmental Modification, Marine Life Conservation

International disputes

Rockall continental shelf dispute involving Denmark, Ireland, and the UK (Ireland and the UK have signed a boundary agreement in the Rockall area)

Irrigated land

NA sq km

Land boundaries

0 km

Land use

arable land: 1% permanent crops: 0% meadows and pastures: 20% forest and woodland: 1% other: 78%

Location

Nordic State, Northern Europe, in the North Atlantic Ocean, between Greenland and Norway

Map references

Arctic Region, Europe, North America, Standard Time Zones of the World

Maritime claims

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

Natural resources

fish, hydropower, geothermal power, diatomite

Note

strategic location between Greenland and Europe; westernmost European country; more land covered by glaciers than in all of continental Europe

Terrain

mostly plateau interspersed with mountain peaks, icefields; coast deeply indented by bays and fiords

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

Capital

Reykjavik

Constitution

16 June 1944, effective 17 June 1944

Digraph

IC

Diplomatic representation in US

chief of mission: Ambassador Einar BENEDIKTSSON chancery: 2022 Connecticut Avenue NW, Washington, DC 20008 telephone: (202) 265-6653 through 6655

Executive branch

chief of state: President Vigdis FINNBOGADOTTIR (since 1 August 1980); election last held on 29 June 1988 (next scheduled for June 1996); results - there was no election in 1992 as President Vigdis FINNBOGADOTTIR was unopposed head of government: Prime Minister David ODDSSON (since 30 April 1991) cabinet: Cabinet; appointed by the president

FAX

(202) 265-6656 consulate(s) general: New York

FAX

[354] (1) 629139

Flag

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)

Independence

17 June 1944 (from Denmark)

Judicial branch

Supreme Court (Haestirettur)

Legal system

civil law system based on Danish law; does not accept compulsory ICJ jurisdiction

Legislative branch

unicameral

Member of

Australian Group, BIS, CCC, CE, CSCE, EBRD, ECE, EFTA, FAO, GATT, IAEA, IBRD, ICAO, ICC, ICFTU, IDA, IFC, ILO, IMF, IMO, INMARSAT, INTELSAT, INTERPOL, IOC, ISO, ITU, LORCS, MTCR, NACC, NATO, NC, NEA, NIB, OECD, PCA, UN, UNCTAD, UNESCO, UPU, WEU (associate), WHO, WIPO, WMO

Names

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

National holiday

Anniversary of the Establishment of the Republic, 17 June (1944)

Parliament (Althing)

elections last held on 20 April 1991 (next to be held by April 1995); results - Independence Party 38.6%, Progressive Party 18.9%, Social Democratic Party 15.5%, People's Alliance 14.4%, Womens List 8.3%, Liberals 1.2%, other 3.1%; seats - (63 total) Independence 26, Progressive 13, Social Democratic 10, People's Alliance 9, Womens List 5

Political parties and leaders

Independence Party (conservative), David ODDSSON; Progressive Party, Steingrimur HERMANNSSON; Social Democratic Party, Jon Baldvin HANNIBALSSON; People's Alliance (left socialist), Olafur Ragnar GRIMSSON; Women's List

Suffrage

18 years of age; universal

Type

republic

US diplomatic representation

chief of mission: Ambassador Parker W. BORG embassy: Laufasvegur 21, Box 40, Reykjavik mailing address: US Embassy, PSC 1003, Box 40, Reykjavik; FPO AE 09728-0340 telephone: [354] (1) 629100

Birth rate

16.41 births/1,000 population (1994 est.)

Death rate

6.72 deaths/1,000 population (1994 est.)

Ethnic divisions

homogeneous mixture of descendants of Norwegians and Celts

Infant mortality rate

4 deaths/1,000 live births (1994 est.)

Labor force

127,900 by occupation: commerce, transportation, and services 60.0%, manufacturing 12.5%, fishing and fish processing 11.8%, construction 10.8%, agriculture 4.0% (1990)

Languages

Icelandic

Life expectancy at birth

total population: 78.83 years male: 76.57 years female: 81.21 years (1994 est.)

Literacy

age 15 and over can read and write (1976 est.) total population: 100% male: NA% female: NA%

Nationality

noun: Icelander(s) adjective: Icelandic

Net migration rate

-0.73 migrant(s)/1,000 population (1994 est.)

Population

263,599 (July 1994 est.) note: population data estimates based on average growth rate may differ slightly from official population data because of volatile migration rates

Population growth rate

0.9% (1994 est.)

Religions

Evangelical Lutheran 96%, other Protestant and Roman Catholic 3%, none 1% (1988)

Total fertility rate

2.11 children born/woman (1994 est.)