Inflation Iceland 1991

Average inflation: 6.8%

Current Inflation

Inflation is very high at 6.8%, far above the ECB target.

Peak and Trough

The highest inflation was in October at 8.2%. The lowest inflation was in March at 5.3%.

Highest month
October: 8.2%
Lowest month
March: 5.3%
Difference
2.9 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 2.6%. The lowest price increase was in Food and non-alcoholic beverages with an average of 2.6%.

Highest increase
Food and non-alcoholic beverages: 2.6%
Lowest increase
Food and non-alcoholic beverages: 2.6%

Historical Context

Current inflation is 7.7% lower than the 5-year average of 14.5%. This approaches the lowest level since records began (6.8% in 1991).

5-year average
14.5%
10-year average
14.5%
All-time high (1989)
20.7%
All-time low (1991)
6.8%

Trend

Inflation shows a downward trend. Compared to 1990, inflation has fallen by +9.1 percentage point.

Change vs. previous year
-9.1 percentage points
Largest monthly swing
February: -17.9 percentage points

ECB Target

Inflation is 4.8% 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 €106.80 next year at this inflation rate.

Multi-year trend

Monthly figures 1991

Inflation by category

Food and non-alcoholic beverages
2.6%
-4.2vs avg.
More details →

Inflation differs per product group. Click on a category for the historical trend.

Month overview

Month Inflation Difference vs. 1990
January 7.3% -16.4
February 6.0% -17.9
March 5.3% -16.3
April 5.5% -13.8
May 5.8% -12.3
June 6.5% -9.0
July 6.6% -8.9
August 7.1% -7.1
September 7.7% -4.3
October 8.2% -1.9
November 8.0% -1.2
December 7.5% +0.3
Average 6.8%

Data source

Data from OECD. Last updated: 17/12/2025.

See also