Iceland’s economy expanded 3.7% quarter-on-quarter in the first quarter of 2026, recovering from a 0.8% contraction in the preceding period, marking the highest level since Q4 2022. GDP Growth Rate in Iceland averaged 0.79 percent from 1995 until 2026, reaching an all time high of 10.10 percent in the second quarter of 1998 and a record low of -9.40 percent in the first quarter of 2009. source: Statistics Iceland

The Gross Domestic Product (GDP) in Iceland expanded 3.70 percent in the first quarter of 2026 over the previous quarter.

The Gross Domestic Product (GDP) in Iceland expanded 3.70 percent in the first quarter of 2026 over the previous quarter. GDP Growth Rate in Iceland is expected to be 0.60 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Iceland GDP Growth Rate is projected to trend around 0.50 percent in 2027 and 0.60 percent in 2028, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-02-27 09:00 AM
GDP Growth Rate QoQ
Q4 -0.8% 1.3% 0.1%
2026-05-29 09:00 AM
GDP Growth Rate QoQ
Q1 3.7% -0.8% 0.5%
2026-08-31 09:00 AM
GDP Growth Rate QoQ
Q2 3.7% 0.6%


Related Last Previous Unit Reference
Full Year GDP Growth 1.30 -1.30 percent Dec 2025
GDP Growth Rate YoY 2.70 -0.60 percent Mar 2026
GDP Constant Prices 895063.00 892259.00 ISK Million Mar 2026
GDP Growth Rate 3.70 -0.80 percent Mar 2026
Gross Fixed Capital Formation 212215.00 221177.00 ISK Million Mar 2026
Gross National Product 3661794.00 3539686.00 ISK Million Dec 2025


Iceland GDP Growth Rate
Iceland's economy depends heavily on the fishing industry, which provides 40 percent of export earnings, more than 12 percent of GDP, and employs nearly 5 percent of the work force. Its economy has been diversifying into manufacturing and service industries in the last decade, particularly within the fields of software production, biotechnology, and tourism. On the expenditure side, household consumption is the main component of GDP and accounts for 53 percent of its total use, followed by government expenditure (24 percent) and gross fixed capital formation (17 percent). Exports of goods and services account for 54 percent of GDP while imports account for 47 percent, adding 7 percent of total GDP.
Actual Previous Highest Lowest Dates Unit Frequency
3.70 -0.80 10.10 -9.40 1995 - 2026 percent Quarterly
SA