Chambre de Commerce - Fiche d'information pays Dernière mise à jour: 07.02.2017
Settled by Norwegian and Celtic (Scottish and Irish) immigrants during the late 9th and 10th centuries A.D., Iceland boasts the world's oldest functioning legislative assembly, the Althing, established in 930. Independent for over 300 years, Iceland was subsequently ruled by Norway and Denmark. Fallout from the Askja volcano of 1875 devastated the Icelandic economy and caused widespread famine. Over the next quarter century, 20% of the island's population emigrated, mostly to Canada and the US. Limited home rule from Denmark was granted in 1874 and complete independence attained in 1944. The second half of the 20th century saw substantial economic growth driven primarily by the fishing industry. The economy diversified greatly after the country joined the European Economic Area in 1994, but Iceland was especially hard hit by the global financial crisis in the years following 2008. Literacy, longevity, and social cohesion are first rate by world standards.
Source: The CIA World Factbook - Iceland
The economy continues its robust expansion, driven by strong private consumption growth, a terms-of-trade boost and a boom in tourism. Large investments in energy-intensive projects and continued strong wage growth are fuelling domestic demand. The capital controls introduced during the financial crisis will begin to be lifted in 2016.
Inflation has been modest in early 2016 at around 2%, and has been held down by exchange rate appreciation and falling energy prices. However, underlying inflationary pressures are strong and monetary policy should therefore remain tight, which will slow growth in 2017. Fiscal policy is eased in 2016, but still targets a primary surplus, which coupled with windfall receipts arising from the lifting of capital controls will bring down government debt.
Labour productivity growth has been negligible since the crisis. In part this reflects a compositional shift towards low-productivity sectors, such as tourism. Toughening competition policy to stop abuse of dominant positions and tacit collusion, and lowering legal barriers to entry, would boost productivity growth.
Source: OECD - Economic Forecast
|Gross domestic product, constant prices|
|Gross domestic product, current prices|
U.S. dollars (Billions)
|Gross domestic product per capita, current prices|
U.S. dollars (Units)
|Inflation, average consumer prices|
|Volume of imports of goods and services|
|Volume of exports of goods and services|
Percent of total labor force
|Current account balance|
U.S. dollars (Billions)
|Current account balance|
Percent of GDP
Source: IMF Statistics - Iceland
Le Luxembourg et le pays
Existing conventions and agreements
Non double taxation agreement
In order to promote international economic and financial relations in the interest of the Grand Duchy of Luxembourg, the Luxembourg government negotiates bilateral agreements for the avoidance of double taxation and prevent fiscal evasion with respect to Taxes on Income and on fortune with third countries.
- Convention from 29.04.1975 (Memorial 1976, A, p. 535)
- Effective as of 07.28.1976 (Memorial 1976, A, p. 858)
- Convention from 04.10.1999 (Memorial 2001, A, no. 96, p. And 1906)
- Entry into force on 19.9.2001 (Memorial 2001, A, p. 2568)
- Protocol and Exchange of letters from 28.08.2009
- Act from 31.3.2010 (Memorial 2010, A, no. 51, p. 830)
- Effective as of 28.04.2010 (Memorial 2011, A, no. 38 of 25.2.2011, pg. 512)
Air Services agreement
- Agreement from 10.23.1952 (Memorial 1953, p. 735)
- Effective as of 29.09.1953 (Memorial 1953, p. 1330)
The Statec Foreign Trade statistics provide information on the trade of goods - by product and by country. This information is collected respectively through the INTRASTAT declaration and on the basis of customs documents.
You can see the statistics on the website of the Statec.
Contact points in Iceland
Embassy of the Grand Duchy of Luxembourg in Iceland
Ambassador with residence in London: Mr. Patrick ENGELBERG
27, Wilton Crescent
GB-London SWIX 8SD
Tel.: +44 20 7235 69 61/62/63
Fax: +44 20 7235 97 34
Economic and Commercial Attaché (AWEX), based in Oslo:
Tel: +47 22 12 84 00
Fax: +47 22 12 84 01
Honorary Consul with jurisdiction in Iceland: Mr. Bjarni MARKUSSON
c/o Chairman of the Board,
Grofin 1, 3rd floor
Tel: +354 414 68 02 / +354 618 29 38
Country risk as defined by Office du Ducroire for Iceland
Ducroire is the only credit insurer covering open account deals in over 200 countries. A rating on a scale from 1 to 7 shows the intensity of the political risk. Category 1 comprises countries with the lowest political risk and category 7 countries with the highest. Macroeconomics experts also assess the repayment climate for all buyers in a country.
Other Useful Links:
- CIA World factbook on Iceland
- L'Islande sur le site de l'AWEX
- Doing Business in Iceland
- Das ist Island
- Présentation de l'Islande par trésor
La Chambre de Commerce et le pays