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Economy of Iceland

Iceland is considered to be a developed nation. The developmental stage of a nation is determined by a number of factors including, but not limited to, economic prosperity, life expectancy, income equality, and quality of life. As a developed nation, Iceland is able to provide its citizens with social services like public education, healthcare, and law enforcement. Citizens of developed nations enjoy a high standard of living and longer life expectancies than citizens of developing nations. Each year, Iceland exports around $5.2 billion and imports roughly $4.53 billion. 2.9% of population in the country are unemployed. The total number of unemployed people in Iceland is 9,796. In Iceland, 8% of the population lives below the poverty line. The percentage of citizens living below the poverty line in Iceland is low, indicating that it has a stable economy. Investors should consider Iceland to be a safe location for investments and other financial ventures. Government expenditure on education is 7.4% of GDP. The Gini Index of the country is 28. Iceland is experiencing high equality. Differences in income among citizens are only mildly significant. Iceland has a Human Development Index (HDI) of 0.895. Iceland has a very high HDI score. This indicates that nearly all citizens are able to attain a desirable life because of social and economic support; citizens with a low standard of living receive aid and support and have the opportunity to advance in society. The Global Peace Index (GPI) for Iceland is 1.148. Due to strong law enforcement presence and high social responsibility, Iceland is very safe by international standards. The strength of legal rights index for Iceland is 5. Overall, it is considered to be rather inadequate - bancrupcy and collateral laws are able to protect the rights of borrowers and lenders to some degree; credit information may be sufficient, but hardly available, or, the oppoiste case, available but not sufficient.

Currency

The currency of Iceland is Icelandic krona. The plural form of the word Icelandic krona is kronur. The symbol used for this currency is kr, and it is abbreviated as ISK. The Icelandic krona is divided into Eyrir; there are 100 in one krona.

Credit rating

The depth of credit information index for Iceland is 7, which means that information is mostly sufficient and quite detailed; accessibility is not a problem. According to the S&P credit-rating agency, Iceland has a credit rating score of BBB, and the prospects of this rating are stable. According to the Fitch credit-rating agency, Iceland has a credit rating score of BBB+, and the prospects of this rating are stable. According to the Moody's credit-rating agency, Iceland has a credit rating score of Baa3, and the prospects of this rating are negative.

Central bank

In Iceland, the institution that manages the state's currency, money supply, and interest rates is called Central Bank of Iceland. Locally, the central bank of Iceland is called Seðlabanki Íslands. The average deposit interest rate offered by local banks in Iceland is 4.85%.

Public debt

Iceland has a government debt of 41% of the country's Gross Domestic Product (GDP), as assessed in 2012.

Tax information

The corporate tax in Iceland is set at 20%. Personal income tax ranges from 37.3% to 46%, depending on your specific situation and income level. VAT in Iceland is 24%.

Finances

The total Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) in Iceland is $14338 billion. The Gross Domestic Product (GDP) assessed as Purchasing Power Parity (PPP) per capita in Iceland was last recorded at $42 million. PPP in Iceland is considered to be below average when compared to other countries. Below average PPP indicates that citizens in this country find it difficult to purchase local goods. Local goods can include food, shelter, clothing, health care, personal care, essential furnishings, transportation and communication, laundry, and various types of insurance. Countries with below average PPP are dangerous locations for investments. The total Gross Domestic Product (GDP) in Iceland is 15,330 billion. Based on this statistic, Iceland is considered to have a medium economy. Countries with medium economies support an average number of industries and opportunities for investment. It should not be too difficult to find worthwhile investment opportunities in medium economies. The Gross Domestic Product (GDP) per capita in Iceland was last recorded at $45 million. The average citizen in Iceland has very low wealth. Countries with very low wealth per capita often have lower life expectancies and dramatically lower quality of living among citizens. It can be very difficult to find highly skilled workers in countries with very low wealth, as it is difficult for citizens to obtain the requisite education needed for specialized industries. However, labor can be found for very low rates when compared with countries with higher wealth per capita. GDP Annual Growth Rate in Iceland averaged 2.9% in 2014. According to this percentage, Iceland is currently experiencing modest growth. Countries that are experiencing modest growth offer safe opportunities for investment; their expanding economy indicates that businesses, jobs, and income will expand accordingly. To read more about financial information click on finances of Iceland.

Industry

Major industries in the country are fish processing, aluminum smelting, ferrosilicon production, geothermal power, hydropower, tourism. The total labor force of Iceland is 208,720 people, wherein 2.9% of population in the country are unemployed. The total number of unemployed people in Iceland is 9,796. The Industrial Production growth rate of Iceland is -1%.To read more about industrial information within Iceland click on industry of Iceland.

Agriculture

There are 70 km2 of arable land in Iceland, and it comprises 0% of the country's total territory. There are 70 km2 of cultivated land in Iceland. The country's major agricultural crops and products are potatoes, green vegetables, mutton, chicken, pork, beef, dairy products, fish.To read more about agriculture click on agriculture of Iceland.