Banking in Iceland requires a good knowledge about the banking and financial systems of the country. Iceland is home to only a few banks, but these banks cover international, commercial and personal needs. Good information about banks in Iceland is necessary to successfully take advantage of the system.
Iceland banks were hard hit by the international credit crisis of 2008 and the four largest banks (Straumur, Glitnir, Landsbanki and Kaupthing) were nationalized. So check with Iceland's Financial Supervisory Authority and do some research in the financial press to know the status of Iceland banks. It is also important to remember that foreigners doing international banking in Iceland are subject to restrictions the government puts on foreign investment.
Keep the following in mind when looking for banks in Iceland:
1. Focus on commercial banks in Iceland that can meet your business’ needs.
2. Make sure you know Icelandic rules for international investing before you bank in Iceland.
3. Check the financal status of any Icelandic bank carefully.
Action Steps
The best contacts and resources to help you get it done
Find general information on Iceland banks
Banking industry and financial information on Iceland can be found from the Icelandic government and from other sources.
I recommend: The
Central Bank of Iceland gives information on inflation, exchange rates, interest rates, currency and more.
Bonds.is gives an overview of the Icelandic economy as well as links to other sources of Icelandic financial information.
Get the latest information on banks of Iceland before banking or investing
In late 2008 and early 2009, the Iceland Financial Authority took over the four main Iceland banks, keeping them in operation while paring down their size.
I recommend: Check the sites for
New Landsbanki,
New Kaupthing,
New Glitnir and
Straumur for their latest status. Also see the
Financial Supervisory Authority of Iceland for the latest word from the Iceland bank regulator. The
Financial Times covers Iceland banking regularly.
Use a list of Iceland's banks to find one that will best suit your needs
By comparing the banks, you can make a knowledgeable choice before banking in Iceland.
I recommend: Bonds.is gives a list of financial institutions in Iceland.
Gateway to Iceland also lists the banks of Iceland, while also providing additional information about the country.
Find out about foreign banking and investing regulations in Iceland
Foreigners are welcome to invest in Iceland or to use the banks of Iceland, provided that they meet the government requirements. For full banking in Iceland, it is also advisable to be able to read Icelandic, as much financial information is in that language.
I recommend: In order to open a bank account in Iceland, you need an Icelandic ID number, available from the
National Register of Persons.
Tips & Tactics
Helpful advice for making the most of this Guide
- Even though there aren't foreign banks in Iceland, the Icelandic commercial banks are international and are used to dealing with foreign customers and investors.
- Be patient when accessing websites for banks in Iceland that provide frequently updated financial information, as these need more time to load English translations.
The official source of Banks in Iceland is the Banks in Iceland page at Business.com
Related Resources from Business.com
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