Iceland’s Purchasing Power Decreasing Skip to content

Iceland’s Purchasing Power Decreasing

The purchasing power in Iceland has dropped by 3.9 percent during the past 12 months. The wage index has increased by 7.9 percent since May 2007 while the consumer price index has risen by 12.3 percent in the same period.

According to data from Statistics Iceland, the monthly income at an average Icelandic household is around ISK 440,000 (USD 5,200, EUR 3,300), Morgunbladid reports.

Compared to a decreased purchasing power of 3.9 percent, the average household earns ISK 17,000 (USD 202, EUR 129) less each month compared to the situation 12 months ago.

That amount is rather high considering the fact that the average family spends roughly ISK 50,000 (USD 593, EUR 380) on food per month, according to calculations by Statistics Iceland.

Sign up for our weekly newsletter

Get news from Iceland, photos, and in-depth stories delivered to your inbox every week!

* indicates required

Subscribe to Iceland Review

In-depth stories and high-quality photography showcasing life in Iceland!

Share article