Inflation Iceland 1990
Average inflation: 15.9%
Current Inflation
Inflation is very high at 15.9%, far above the ECB target.
Peak and Trough
The highest inflation was in February at 23.9%. The lowest inflation was in December at 7.2%.
- Highest month
- February: 23.9%
- Lowest month
- December: 7.2%
- Difference
- 16.7 percentage points
- Months with data
- 12 of 12
Category Insights
The highest price increase was in Food and non-alcoholic beverages with an average of 13.3%. The lowest price increase was in Food and non-alcoholic beverages with an average of 13.3%.
- Highest increase
- Food and non-alcoholic beverages: 13.3%
- Lowest increase
- Food and non-alcoholic beverages: 13.3%
Historical Context
Current inflation is 2.4% lower than the 5-year average of 18.3%. This approaches the lowest level since records began (15.9% in 1990).
- 5-year average
- 18.3%
- 10-year average
- 18.3%
- All-time high (1989)
- 20.7%
- All-time low (1990)
- 15.9%
Trend
Inflation shows a downward trend. Compared to 1989, inflation has fallen by +4.8 percentage point.
- Change vs. previous year
- -4.8 percentage points
- Largest monthly swing
- December: -18.0 percentage points
ECB Target
Inflation is 13.9% above the ECB target of 2.0%. This means purchasing power is declining faster than intended.
Purchasing Power
At this high inflation rate, purchasing power rapidly decreases. This has a major impact on households, especially without adequate salary increases.
What you could buy for €100 this year will cost approximately €115.90 next year at this inflation rate.
Multi-year trend
Monthly figures 1990
Inflation by category
Inflation differs per product group. Click on a category for the historical trend.
Month overview
| Month | Inflation | Difference vs. 1989 |
|---|---|---|
| January | 23.7% | +5.4 |
| February | 23.9% | +4.9 |
| March | 21.6% | +0.4 |
| April | 19.3% | -2.7 |
| May | 18.1% | -4.2 |
| June | 15.5% | -6.3 |
| July | 15.5% | -3.0 |
| August | 14.2% | -3.4 |
| September | 12.0% | -7.2 |
| October | 10.1% | -11.0 |
| November | 9.2% | -13.6 |
| December | 7.2% | -18.0 |
| Average | 15.9% |
Data source
Data from OECD. Last updated: 17/12/2025.