ICELAND                                                                         
GEOGRAPHY                                                                       
Total area: 103,000 km2; land area: 100,250 km2                                 
                                                                                
Comparative area: slightly smaller than Kentucky                                
                                                                                
Land boundaries: none                                                           
                                                                                
Coastline: 4,988 km                                                             
                                                                                
Maritime claims:                                                                
                                                                                
Continental shelf: edge of continental margin or 200 nm;                        
                                                                                
Exclusive economic zone: 200 nm;                                                
                                                                                
Territorial sea: 12 nm                                                          
                                                                                
Disputes: Rockall continental shelf dispute involving Denmark,                  
Ireland, and the UK (Ireland and the UK have signed a boundary agreement        
in the Rockall area)                                                            
                                                                                
Climate: temperate; moderated by North Atlantic Current; mild,                  
windy winters; damp, cool summers                                               
                                                                                
Terrain: mostly plateau interspersed with mountain peaks,                       
icefields; coast deeply indented by bays and fiords                             
                                                                                
Natural resources: fish, hydroelectric and geothermal power,                    
diatomite                                                                       
                                                                                
Land use: arable land NEGL%; permanent crops 0%; meadows and                    
pastures 23%; forest and woodland 1%; other 76%                                 
                                                                                
Environment: subject to earthquakes and volcanic activity                       
                                                                                
Note: strategic location between Greenland and Europe;                          
westernmost European country                                                    
                                                                                
PEOPLE                                                                          
Population: 259,742 (July 1991), growth rate 1.0% (1991)                        
                                                                                
Birth rate: 17 births/1,000 population (1991)                                   
                                                                                
Death rate: 7 deaths/1,000 population (1991)                                    
                                                                                
Net migration rate: 0 migrants/1,000 population (1991)                          
                                                                                
Infant mortality rate: 7 deaths/1,000 live births (1991)                        
                                                                                
Life expectancy at birth: 75 years male, 80 years female (1991)                 
Total fertility rate: 2.2 children born/woman (1991)                            
                                                                                
Nationality: noun--Icelander(s); adjective--Icelandic                           
                                                                                
Ethnic divisions: homogeneous mixture of descendants of Norwegians              
and Celts                                                                       
                                                                                
Religion: Evangelical Lutheran 96%, other Protestant and Roman                  
Catholic 3%, none 1% (1988)                                                     
                                                                                
Language: Icelandic                                                             
                                                                                
Literacy: 100% (male NA%, female NA%) age 15 and over can                       
read and write (1976 est.)                                                      
                                                                                
Labor force: 134,429; commerce, finance, and services 55.4%, other              
manufacturing 14.3%., agriculture 5.8%, fish processing 7.9%, fishing           
5.0% (1986)                                                                     
                                                                                
Organized labor: 60% of labor force                                             
                                                                                
GOVERNMENT                                                                      
Long-form name: Republic of Iceland                                             
                                                                                
Type: republic                                                                  
                                                                                
Capital: Reykjavik                                                              
                                                                                
Administrative divisions: 23 counties (syslar, singular--sysla)                 
and 14 independent towns* (kaupstadhir, singular--kaupstadhur); Akranes*,       
Akureyri*, Arnessysla, Austur-Bardhastrandarsysla,                              
Austur-Hunavatnssysla, Austur-Skaftafellssysla,                                 
Borgarfjardharsysla, Dalasysla, Eyjafjardharsysla,                              
Gullbringusysla, Hafnarfjordhur*, Husavik*, Isafjordhur*,                       
Keflavik*, Kjosarsysla, Kopavogur*, Myrasysla,                                  
Neskaupstadhur*, Nordhur-Isafjardharsysla, Nordhur-Mulasysla,                   
Nordhur-Thingeyjarsysla, Olafsfjordhur*, Rangarvallasysla,                      
Reykjavik*, Saudharkrokur*, Seydhisfjordhur*, Siglufjordhur*,                   
Skagafjardharsysla, Snaefellsnes-og Hnappadalssysla, Strandasysla,              
Sudhur-Mulasysla, Sudhur-Thingeyjarsysla, Vestmannaeyjar*,                      
Vestur-Bardhastrandarsysla, Vestur-Hunavatnssysla,                              
Vestur-Isafjardharsysla, Vestur-Skaftafellssysla                                
                                                                                
Independence: 17 June 1944 (from Denmark)                                       
                                                                                
Constitution: 16 June 1944, effective 17 June 1944                              
                                                                                
Legal system: civil law system based on Danish law; does not accept             
compulsory ICJ jurisdiction                                                     
                                                                                
National holiday: Anniversary of the Establishment of the Republic,             
17 June (1944)                                                                  
                                                                                
Executive branch: president, prime minister, Cabinet                            
                                                                                
Legislative branch: bicameral Althingi with an Upper                            
House (Efri Deild) and a Lower House (Nedri Deild)                              
                                                                                
Judicial branch: Supreme Court (Haestirettur)                                   
Leaders:                                                                        
                                                                                
Chief of State--President Vigdis FINNBOGADOTTIR (since 1                        
August 1980);                                                                   
                                                                                
Head of Government--Prime Minister David ODDSSON (since                         
30 April 1991)                                                                  
                                                                                
Political parties and leaders:                                                  
Independence (conservative), David ODDSSON;                                     
Progressive, Steingrimur HERMANNSSON;                                           
Social Democratic, Jon Baldvin HANNIBALSSON;                                    
People's Alliance (left socialist), Olafur Ragnar GRIMSSON;                     
Citizens Party (conservative nationalist), Julius SOLNES;                       
Women's List                                                                    
                                                                                
Suffrage: universal at age 20                                                   
                                                                                
Elections:                                                                      
                                                                                
President--last held on 29 June 1980 (next scheduled for June                   
1992); results--there were no elections in 1984 and 1988 as President           
Vigdis FINNBOGADOTTIR was unopposed;                                            
                                                                                
Althing--last held on 20 April 1991 (next to be held by                         
April 1995);                                                                    
results--Independence 38.6%, Progressive 18.9%, Social Democratic 15.5%,        
People's Alliance 14.4%, Womens List 8.13%, Liberals 1.2%, other 3.27%          
seats--(63 total) Independence 26, Progressive 13, Social Democratic 10,        
People's Alliance 9, Womens List 5                                              
                                                                                
Communists: less than 100 (est.), some of whom participate in the               
People's Alliance                                                               
                                                                                
Member of: BIS, CCC, CE, CSCE, EBRD, ECE, EFTA, FAO, GATT, IAEA,                
IBRD, ICAO, ICC, ICFTU, IDA, IFC, ILO, IMF, IMO, INTELSAT, INTERPOL, IOC,       
ISO (correspondent), ITU, LORCS, NATO, NC, NEA, NIB, OECD, PCA, UN,             
UNCTAD, UNESCO, UPU, WHO, WIPO, WMO                                             
                                                                                
Diplomatic representation: Ambassador Tomas A. TOMASSON; Chancery               
at 2022 Connecticut Avenue NW, Washington DC 20008; telephone (202)             
265-6653 through 6655; there is an Icelandic Consulate General in New           
York;                                                                           
                                                                                
US--Ambassador Charles E. COBB, Jr.; Embassy at Laufasvegur 21,                 
Box 40, Reykjavik (mailing address is FPO New York 09571-0001); telephone       
 354  (1) 29100                                                                 
                                                                                
Flag: blue with a red cross outlined in white that extends to the               
edges of the flag; the vertical part of the cross is shifted to the hoist       
side in the style of the Dannebrog (Danish flag)                                
                                                                                
ECONOMY                                                                         
Overview: Iceland's prosperous Scandinavian-type economy is                     
basically capitalistic, but with extensive welfare measures, low                
unemployment, and comparatively even distribution of income. The economy        
is heavily dependent on the fishing industry, which provides nearly 75%         
of export earnings. In the absence of other natural resources, Iceland's        
economy is vulnerable to changing world fish prices. As a result of             
climbing fish prices in 1990 and a noninflationary labor agreement,             
Iceland is pulling out of a recession, which began in mid-1988 with a           
sharp decline in fish prices and an imposition of quotas on fish catches        
to conserve stocks. Inflation was down sharply from 20% in 1989                 
to 8% in 1990.                                                                  
                                                                                
GDP: $4.2 billion, per capita $16,300; real growth rate 0%                      
(1990)                                                                          
                                                                                
Inflation rate (consumer prices): 7.8% (1990)                                   
                                                                                
Unemployment rate: 1.8% (1990)                                                  
                                                                                
Budget: revenues $1.58 billion; expenditures $1.66 billion,                     
including capital expenditures of $NA million (1990)                            
                                                                                
Exports: $1.6 billion (f.o.b., 1990);                                           
                                                                                
commodities--fish and fish products, animal products, aluminum,                 
diatomite;                                                                      
                                                                                
partners--EC 67.7% (UK 25.3%, FRG 12.7%), US 9.9%,                              
Japan 6%                                                                        
                                                                                
Imports: $1.7 billion (c.i.f., 1990);                                           
                                                                                
commodities--machinery and transportation equipment, petroleum,                 
foodstuffs, textiles;                                                           
                                                                                
partners--EC 49.8% (FRG 12.4%, Denmark 8.6%, UK 8.1%), US 14.4%,                
Japan 5.6%                                                                      
                                                                                
External debt: $3 billion (1990)                                                
                                                                                
Industrial production: growth rate - 0.8% (1988 est.); accounts                 
for 22% of GDP                                                                  
                                                                                
Electricity: 1,063,000 kW capacity; 5,165 million kWh produced,                 
20,780 kWh per capita (1989)                                                    
                                                                                
Industries: fish processing, aluminum smelting, ferro-silicon                   
production, hydropower                                                          
                                                                                
Agriculture: accounts for about 25% of GDP (including fishing);                 
fishing is most important economic activity, contributing nearly 75%            
to export earnings; principal crops--potatoes and turnips;                      
livestock--cattle, sheep; self-sufficient in crops; fish catch of               
about 1.4 million metric tons in 1989                                           
                                                                                
Economic aid: US commitments, including Ex-Im (FY70-81), $19.1                  
million                                                                         
                                                                                
Currency: krona (plural--kronur);                                               
1 Icelandic krona (IKr) = 100 aurar                                             
                                                                                
Exchange rates: Icelandic kronur (IKr) per US$1--55.216                         
(January 1991), 58.284 (1990), 57.042 (1989), 43.014 (1988), 38.677             
(1987), 41.104 (1986), 41.508 (1985)                                            
                                                                                
Fiscal year: calendar year                                                      
COMMUNICATIONS                                                                  
Highways: 12,343 km total; 166 km bitumen and concrete; 1,284 km                
bituminous treated and gravel; 10,893 km earth                                  
                                                                                
Ports: Reykjavik, Akureyri, Hafnarfjordhur, Keflavik,                           
Seydhisfjordhur, Siglufjordhur, Vestmannaeyjar; numerous minor ports            
                                                                                
Merchant marine: 16 ships (1,000 GRT or over) totaling 53,409                   
GRT/73,279 DWT; includes 8 cargo, 2 refrigerated cargo, 1 container,            
2 roll-on/roll-off cargo, 1 petroleum, oils, and lubricants (POL) tanker,       
1 chemical tanker, 1 bulk                                                       
                                                                                
Civil air: 20 major transport aircraft                                          
                                                                                
Airports: 99 total, 92 usable; 4 with permanent-surface runways;                
none with runways over 3,659 m; 1 with runways 2,440-3,659 m;                   
14 with runways 1,220-2,439 m                                                   
                                                                                
Telecommunications: adequate domestic service, wire and radio                   
communication system; 135,000 telephones; stations--10 AM, 17 (43 relays)       
FM, 14 (132 relays) TV; 2 submarine cables; 1 Atlantic Ocean INTELSAT           
earth station                                                                   
                                                                                
DEFENSE FORCES                                                                  
Branches: no armed forces; State Criminal Police, Coast Guard;                  
Iceland's defense is provided by the US-manned Icelandic Defense Force          
(IDF) headquartered at Keflavik                                                 
                                                                                
Manpower availability: males 15-49, 69,644; 62,248 fit for military             
service; no conscription or compulsory military service                         
                                                                                
Defense expenditures: none                                                      
                                                                                
