Inflation Iceland 2010
Average inflation: 5.4%
Inflation in 2010
Inflation is very high at 5.4%, far above the ECB target.
Peak and Trough
The highest inflation was in March at 8.5%. The lowest inflation was in December at 2.5%.
- Highest month
- March: 8.5%
- Lowest month
- December: 2.5%
- Difference
- 6.0 percentage points
- Months with data
- 12 of 12
Category Insights
The highest price increase was in Alcoholic beverages, tobacco and narcotics with an average of 12.1%. The lowest price increase was in Housing, water, electricity, gas and other fuels with an average of -0.5%.
- Highest increase
- Alcoholic beverages, tobacco and narcotics: 12.1%
- Lowest increase
- Housing, water, electricity, gas and other fuels: -0.5%
Historical Context
Inflation is 3.0 percentage points lower than the 5-year average of 8.4%.
- 5-year average
- 8.4%
- 10-year average
- 6.3%
- All-time high (2008)
- 12.6%
- All-time low (1994)
- 1.6%
Trend
Over the period 2008-2010, inflation shows a downward trend. Compared to 2009, inflation has fallen by 6.8 percentage points.
- Change vs. previous year
- -6.8 percentage points
- Largest monthly swing
- January: -12.0 percentage points
ECB Target
Inflation is 3.4 percentage points 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 ISK 100 this year will cost approximately ISK 105 next year at this inflation rate.
Multi-year trend
Monthly figures 2010
Inflation by category
Inflation differs per product group. Click on a category for the historical trend.
Month overview
| Month | Inflation | Difference vs. 2009 |
|---|---|---|
| January | 6.6% | -12.0 |
| February | 7.2% | -10.4 |
| March | 8.5% | -6.7 |
| April | 8.3% | -3.6 |
| May | 7.5% | -4.2 |
| June | 5.7% | -6.5 |
| July | 4.8% | -6.5 |
| August | 4.5% | -6.4 |
| September | 3.7% | -7.1 |
| October | 3.3% | -6.4 |
| November | 2.6% | -6.0 |
| December | 2.5% | -5.0 |
| Average | 5.4% |
Data source
Data from OECD. Last updated: 13/01/2026.