Iceland Country Report
Overview
Executive Summary
Operational Outlook
Iceland welcomes foreign investment, but with restrictions such as investment caps in some strategic sectors. The country’s abundance of geothermal energy provides unique attributes such as cheap energy prices. The workforce is flexible, skilled, productive, and heavily unionised, with collective wage agreements as the norm. Unions are non-political and decentralised, and tend to prioritise negotiations over strikes. Dissatisfaction is, however, growing due to rising wage inequality – particularly between elected officials and the rest of society. This is, in turn, increasing the risk of industrial action. Labour strike risks are particularly high in the mining and fishing industries. Corruption is considered a low risk.
Terrorism
Terrorism risks are negligible. There are few high-profile targets aside from a NATO radar station, and no known non-state armed groups operate in the country. The most probable form of attacks would be a shooting attack by a lone radicalised jihadist actor against state or Jewish assets, or a similar attack against Muslim assets or individuals by far-right individuals. However, both scenarios are unlikely overall. From October 2015, Iceland is a signatory to the Council of Europe Convention on the Prevention of Terrorism protocol regarding foreign terrorist fighters.
Crime
Crime rates in Iceland are very low by international standards. Violent crime is nearly non-existent, with only one reported homicide in 2018, despite a high rate of gun ownership. Organised crime is relatively minor and mostly perpetrated by Eastern European networks and motorcycle gangs. Petty crime is mostly concentrated in the capital, Reykjavik. The investigation and prosecution of financial crime has expanded exponentially since the 2008–09 financial and banking collapse, when a special prosecutor's office was established, the remit and resources of which have since been expanded.
War Risks
Iceland faces negligible risks of interstate or civil war, although the country occupies a key geostrategic location in the event of future global tensions. Despite being a NATO member, Iceland has no standing army, although it maintains a coastguard and air defences. NATO countries operate a periodic, rotating deployment of fighter aircraft to patrol Iceland’s airspace. Iceland disputes the ownership of Rockall Island and its surrounding oil reserves with the United Kingdom, Ireland, and Denmark. However, any disputes are likely to be resolved at the diplomatic level and remain extremely unlikely to lead to a military conflict.
Health Risk
Vaccinations required to enter the country
No vaccinations are required to enter the country.
Routine Vaccinations
Hepatitis B: A vaccine is available for children at least two months old.
Diphtheria-Tetanus-Polio: A booster shot should be administered if necessary (once every ten years).
Other Vaccinations
For Children: All standard childhood immunizations should be up-to-date. In the case of a long stay, the BCG vaccine is recommended for children over one month and the MMR (measles-mumps-rubella) vaccine for children over nine months.
Natural Risks
Transportation
Practical Information
Climate
Temperatures in the summer are mild and during this time (late may-mid-August), the sun sets very late in the day. At the end of June, the sun sets around midnight and rises at 3:00 am. The Aurora Borealis can be seen beginning in the end of August. In the winter, nights are very long and temperatures cool. November, December, and January are the darkest months of the year. Rain is common throughout the year and weather conditions can change several times within the same day.
Useful Numbers
| Country Code: | +354 |
| Police: | 112 |
| Fire Dept.: | 112 |
| Ambulance: | 112 |
Electricity
Voltage: 220 V ~ 50 Hz
Outlets:
Social Stability
Iceland is a broadly stable state. There is little support among the wider public for perceived 'anti-social behaviour’, which limits the incidence of disruptive activism. Political and environmental protests tend to be peaceful, aimed at raising awareness of the relevant issues, and concentrated outside government offices in Reykjavík rather than intended to cause disruption or damage to business operations. Political protests have become more regular in the aftermath of the protests that followed the country’s financial and banking collapse in 2008–09. Perceived corrupt practices will also remain a likely trigger of protests.