The revised annual national accounts for 2015 show a 4.2% increase in Gross Domestic Product (GDP) in real terms. In 2014, GDP increased by 1.9% and by 4.4% in 2013. The economic growth in 2015 is mainly driven by increase in household final consumption and gross fixed capital formation. Gross domestic final expenditure increased by 6.0% in 2015.

Household final consumption increased by 4.3% and government final consumption by 1.0% while gross fixed capital formation increased by 18.3%. At the same time, exports grew by 9.2% and imports increased by 13.5%. This resulted in a 166.6 billion ISK surplus in the balance of trade in goods and services in 2015 compared to 125.4 billion ISK in 2014.

The increased surplus in the balance of trade in 2015 and lower deficit in primary income from abroad, according to figures from the Central Bank of Iceland, results in a large current account surplus of 148 billion ISK or 6.7% of GDP, compared to current account surplus of 92 billion ISK or 4.6% of GDP in 2014.

During 2015 the terms of trade improved by 3.9% of previous year’s GDP having a similar impact on Gross National Income (GNI). This development and the positive current account balance led to 9.0% growth in GNI compared to 3.4% growth in 2014.

Previously reported results have been revised, having a significant impact, the most in 2009, where the decrease in private consumption rose from 9.2% to 13.4%. According to previously published results, GDP contracted by 4.7% in 2009, but according to revised figures, the contraction was considerably higher or 6.6%.

Gross Domestic Product 2015, revision — Statistical Series
Statistics