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:

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

NOTE: The information regarding Iceland on this page is re-published from the 2001 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Iceland Economy 2001 information contained here. All suggestions for corrections of any errors about Iceland Economy 2001 should be addressed to the CIA.