Iceland’s trade balance shows notable turnaround with 45.7 billion krónur surplus

Recent economic data released by the Central Bank of Iceland indicate a notable turnaround in the country’s trade balance during the third quarter of the year. The trade surplus with foreign nations stood at 45.7 billion Icelandic krónur, showing an improvement of 84 billion krónur from the previous quarter. However, this figure is down by 40.9 billion krónur compared to the same period last year.

In the third quarter, Iceland experienced a trade deficit in goods amounting to 76 billion krónur, highlighting that imports surpassed exports by this amount. In contrast, the services sector contributed a surplus of 140.5 billion krónur. The primary income balance reflected a deficit of 6.6 billion krónur, alongside an operating contribution deficit of 12.2 billion krónur.

Furthermore, the net international investment position improved by 130 billion krónur, representing an increase of 2.9 percent. The data showed that Iceland’s foreign assets totaled 6.351 trillion krónur, while foreign liabilities amounted to 4.558 trillion krónur. Consequently, the net position with foreign entities stands at a positive 1.793 trillion krónur, equivalent to 40.2 percent of the Gross Domestic Product (GDP). This improvement is significantly attributed to a 6 percent increase in the value of foreign securities held by the nation, which increased by 74 billion krónur during the quarter.