Research

Fimmþúsundkrónu seðlar

The króna unchanged against the euro in March

The Icelandic króna remained broadly unchanged against the euro in March but weakened against the US dollar. The Central Bank inte...
19 May 2022

Growth in the shadow of inflation

A great many things have changed since Landsbankinn Economic Research published its last macroeconomic and inflation forecast in October last year. The Covid-19 pandemic, with all its restrictions on consumption and daily life, has subsided and people are again free to travel. Icelandic consumption patterns in the past few months have shown clear signs of increased overseas travel and the stream of travellers to Iceland is also increasing. In general, the outlook can be described as bright. We forecast 5.1% economic growth this year, upping our forecast somewhat from last year, and expect growth to be driven by an increase in tourist numbers, a total of 1.5 million this year. Travellers to Iceland numbered 690,000 in 2021.
New temp image
16 May 2022

Icelandic Economic Weekly: 16 May 2022

Registered unemployment was 4.5% in April, compared to 4.9% in March.
New temp image
9 May 2022

Icelandic Economic Weekly: 9 May 2022

The MPC raised the policy rate by 1 percentage point last week. The CBI’s key interest rate (seven-day term deposits) is now 3.75%.
New temp image
2 May 2022

Icelandic Economic Weekly: 2 May 2022

The CPI rose by 1.25% month-on-month in April, bringing the inflation rate to 7.2% compared to 6.7% in March.
New temp image
25 April 2022

Icelandic Economic Weekly: 25 April 2022

The housing price index for the capital region increased by 3.1% MoM in March.
New temp image
19 April 2022

Icelandic Economic Weekly: 19 April 2022

Departures of foreign passengers via Keflavík Airport were 101,000 in March.
New temp image
11 April 2022

Icelandic Economic Weekly: 11 April 2022

The government released its fiscal plan for 2022-2027 last week.
New temp image
4 April 2022

Icelandic Economic Weekly: 4 April 2022

The CPI based on prices in March increased by 0.94% between months, bringing the headline number to 6.7%, up from 6.2% in February. Inflation has not been higher in Iceland since May 2010.
New temp image
28 March 2022

Icelandic Economic Weekly: 28 March 2022

Icelandic State Financial Investments sold a 22.5% share in Íslandsbanki last week.
New temp image
21 March 2022

Icelandic Economic Weekly: 21 March 2022

The CBI published a statement from the Financial Stability Committee and the Bank’s Financial Stability report last week.
New temp image
14 March 2022

Icelandic Economic Weekly: 14 March 2022

Direct impact of the Russian invasion of Ukraine on the Icelandic economy should be very limited. Exports to Russia and Ukraine account for about 1.6% of total exports from Iceland. Imports from those same two countries are about 0,.5% of total imports to Iceland.
New temp image
7 March 2022

Icelandic Economic Weekly: 7 March 2022

According to estimates by Statistics Iceland, the Icelandic economy grew by 4.3% last year, 4.4% in Q4. The fourth quarter was the third consecutive quarter of positive economic growth.
New temp image
4 March 2022

The króna appreciated in February, the CBI both sold and bought euros

The Icelandic króna appreciated against the currencies of our main trading partners in February. The Central Bank intervened four times during the month, buying euros three times and selling euros once. 
New temp image
28 Feb. 2022

Icelandic Economic Weekly: 28 February 2022

The CPI based on prices in January increased 1.14% between months bringing the headline number to 5.6.2% from 5.7% in January
New temp image
21 Feb. 2022

Icelandic Economic Weekly: 21 February 2022

On Friday, Statistics Iceland releases CPI numbers for February. We expect a 0.8% increase between months and inflation to increase from 5.7% to 5.8%.
New temp image
14 Feb. 2022

Icelandic Economic Weekly: 14 February 2022

The MPC raised policy rates by 0.75 percentage points last week.
Seðlabanki Íslands
7 Feb. 2022

The króna appreciated in January, the CBI intervened twice

The Icelandic króna appreciated against the currencies of our main trading partners in January. The Central Bank (CBI) intervened twice in January, buying euros to counteract the appreciation of the króna.
New temp image
7 Feb. 2022

Icelandic Economic Weekly: 7 February 2022

We expect the MPC to raise policy rates by 0.75 percentage points on Wednesday. The Bank’s key interest rate (seven-day term deposits) would as a result be 2.75%.
New temp image
2 Feb. 2022

Covered bonds – monthly overview

Landsbankinn sold covered bonds for ISK 4,120m in offerings in January. Arion Bank an Íslandsbanki did not hold offerings.
New temp image
31 Jan. 2022

Icelandic Economic Weekly: 31 January 2022

The CPI based on prices in January increased 0.5% between months bringing inflation to 5.7% from 5.1% in December.
New temp image
24 Jan. 2022

Icelandic Economic Weekly: 24 January 2022

Icelandic State Financial Investments submitted a proposal regarding the sale of the State’s entire remaining holdings in Íslandsbanki hf. last week.
New temp image
17 Jan. 2022

Icelandic Economic Weekly: 17 January 2022

690,000 foreign visitors departed via Keflavík airport last year compared to 480,000 the year before.
Seðlabanki Íslands
7 Jan. 2022

The Icelandic króna depreciated slightly in December

The Icelandic króna depreciated slightly against the currencies of Iceland’s main trading partners in December, apart from the Japanese yen. The Central Bank of Iceland did not intervene in the market in December.
New temp image
6 Jan. 2022

Covered bonds – monthly overview

Landsbankinn sold covered bonds in the series LBANK CB 25 for ISK 700m at 4.18% yield (0.47% spread on RIKB) in its offering on 7 December.
New temp image
27 Dec. 2021

Icelandic Economic Weekly: 27 December 2021

Inflation in December was 5.1%, up from 4.8% in November.
New temp image
20 Dec. 2021

Icelandic Economic Weekly: 20 December 2021

The fish catch in November was 51% higher than in November 2020.
New temp image
13 Dec. 2021

Icelandic Economic Weekly: 13 December 2021

75,500 foreign passengers departed via Keflavík Airport in November.
New temp image
9 Dec. 2021

Covered bonds – monthly overview

Landsbankinn sold covered bonds for ISK 2,200m and Arion Bank for ISK 1,720m in offerings in November. Íslandsbanki did not hold an offering.
New temp image
7 Dec. 2021

First month of non-intervention by the Central Bank since before the pandemic

The Icelandic króna strengthened against the currencies of Iceland’s main trading partners in November, apart from the US dollar. The CBI did not intervene in the market in November, the first month of non-intervention since before the pandemic.
Cookies

By clicking "Allow All", you agree to the use of cookies to enhance website functionality, analyse website usage and assist with marketing.

More on cookies