Iceland Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in iceland, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Tourism has been a growing force behind Iceland’s economy in the past decade, with opportunities for investors in high-end tourism, including luxury resorts and hotels. The number of tourists in Iceland reached more than 2.3 million in 2018. Tourism in Iceland contracted in 2019 and 2020 due to COVID-19, and the total number of tourists went down to 2 million in 2019 and then down to 486,000 in 2020. As of 2022, the tourism sector had recovered, with 698,000 tourists in 2021, 1.8 million tourists in 2022, 2.2 million tourists in both 2023 and 2024, and 2.3 million projected for 2025.

The startup and innovation communities in Iceland are flourishing, with IT, MedTech, and Biotech startups seeking investors. The data center industry has proven quite successful in Iceland, and there is room for growth, contingent on the availability of new energy sources. Iceland is a favorable location to host data centers due to its naturally cold climate (reducing energy costs), safe environment, and renewable energy.  

The film industry has been growing in Iceland for the last decade. Iceland’s dramatic landscapes are popular as backdrops in international films and television series. Iceland offers special tax incentives to attract film production, with the maximum tax incentive at 35 percent.

Iceland is dependent on imported consumer goods. Potential growth areas for exports to Iceland include organic foods, fresh produce, wine and beer, computer equipment and software, children’s products, recreational goods, and clothing.

Aqua culture has been growing at a rapid rate, particularly salmon farming.  Inland fish farming is what many locals see as the future of the industry.

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