Iceland recorded a Government Budget deficit equal to 3.40 percent of the country's Gross Domestic Product in 2024. Government Budget in Iceland averaged -1.46 percent of GDP from 1980 until 2024, reaching an all time high of 12.70 percent of GDP in 2016 and a record low of -12.00 percent of GDP in 2008. source: Icelandic Ministry of Finance
Government Budget in Iceland is expected to reach -1.20 percent of GDP by the end of 2025, according to Trading Economics global macro models and analysts expectations. In the long-term, the Iceland Government Budget is projected to trend around -0.80 percent of GDP in 2026 and -0.60 percent of GDP in 2027, according to our econometric models.