Inflation Iceland 2019

Average inflation: 3.0%

Current Inflation

Inflation is high at 3.0%, well above the ECB target.

Peak and Trough

The highest inflation was in May at 3.6%. The lowest inflation was in December at 2.0%.

Highest month
May: 3.6%
Lowest month
December: 2.0%
Difference
1.6 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 3.8%. The lowest price increase was in Communication with an average of -4.1%.

Highest increase
Food and non-alcoholic beverages: 3.8%
Lowest increase
Communication: -4.1%

Historical Context

Current inflation is 0.9% higher than the 5-year average of 2.1%.

5-year average
2.1%
10-year average
3.1%
All-time high (2008)
12.6%
All-time low (2015)
1.6%

Trend

Inflation shows an upward trend. Compared to 2018, inflation has risen by +0.3 percentage point.

Change vs. previous year
+0.3 percentage points
Largest monthly swing
December: -1.7 percentage points

ECB Target

Inflation is 1.0% above the ECB target of 2.0%. This means purchasing power is declining faster than intended.

Purchasing Power

At this inflation rate, purchasing power noticeably decreases. Without a salary increase, you can buy less with the same money.

What you could buy for €100 this year will cost approximately €103.00 next year at this inflation rate.

Multi-year trend

Monthly figures 2019

Inflation by category

Food and non-alcoholic beverages
3.8%
+0.8vs avg.
More details →
Alcoholic beverages, tobacco and narcotics
2.3%
-0.7vs avg.
More details →
Clothing and footwear
2.0%
-1.0vs avg.
More details →
Housing, water, electricity, gas and other fuels
3.7%
+0.7vs avg.
More details →
Furnishings, household equipment and maintenance
3.3%
+0.3vs avg.
More details →
Health
2.0%
-1.0vs avg.
More details →
Transport
3.4%
+0.4vs avg.
More details →
Communication
-4.1%
-7.1vs avg.
More details →
Recreation and culture
2.2%
-0.8vs avg.
More details →
Education
-0.2%
-3.2vs avg.
More details →
Restaurants and hotels
2.6%
-0.4vs avg.
More details →
Miscellaneous goods and services
3.2%
+0.2vs avg.
More details →

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

Month overview

Month Inflation Difference vs. 2018
January 3.4% +1.0
February 3.0% +0.8
March 2.9% +0.1
April 3.3% +1.0
May 3.6% +1.6
June 3.3% +0.7
July 3.1% +0.4
August 3.2% +0.6
September 3.0% +0.3
October 2.8% 0.0
November 2.7% -0.6
December 2.0% -1.7
Average 3.0%

Data source

Data from OECD. Last updated: 11/01/2026.

See also