Capital region and nearby municipalities capture 83% of population growth
Friday 2nd October 2026 on 16:00 in
Iceland
The capital region and nearby municipalities accounted for about 83% of Iceland’s population growth from December 2019 to September 2026, according to figures from Statistics Iceland’s National Registry reported by mbl.is.
The 16 municipalities in the grouping had 328,210 residents on September 1, up by 40,945 from 287,265. That represented about 79% of the country’s population, which the registry put at 413,362.
The registry’s figures differ from Statistics Iceland’s population estimate. The registry put the national total at 413,362, while Statistics Iceland counted 396,500 residents at the end of June.
The capital region alone gained more than 30,700 residents during the period, while the national population grew by 49,560. The region therefore accounted for nearly 62% of the increase. Reykjavík had the largest rise, with 16,212 additional residents, followed by Garðabær, which gained 4,541.
It has been argued that foreign citizens, who have accounted for most of Iceland’s population growth this decade, would seek more affordable housing in suburbs and on the outskirts of the capital region. The figures suggest that pattern has emerged. The broader grouping includes municipalities on the Reykjanes peninsula, Árborg, Ölfus and Hveragerði, as well as Borgarbyggð, Akranes and Kjósarhreppur.
Vogar had the fastest percentage growth in the grouping, rising 53.4% from 1,308 residents in 2019 to 2,007 in 2026. Reykjanesbær and Suðurnesjabær each grew by about a quarter. If the trend continues, the population of the Reykjanes peninsula municipalities of Reykjanesbær, Grindavík, Vogar and Suðurnesjabær will soon reach 35,000. Grindavík’s population fell sharply after natural disasters, but could rise again if many former residents return.
Árborg grew by 31.4%, Hveragerði by 30.8% and Ölfus by 37%. Strong percentage growth was also recorded elsewhere in Iceland: Mýrdalshreppur grew by more than 62%, Hörgársveit by 60.5% and Vesturbyggð by more than 41%.
The recent historic influx of foreign citizens is therefore putting pressure on community infrastructure beyond the capital region and its surroundings, the article said.