Home › Travel Guides › Europe Travel Guide › Iceland › Doing business & staying in touch

Doing business & staying in touch

Businesspeople are expected to dress smartly. Local businesspeople are conservative but very friendly and most speak English. Previous appointments are not generally necessary, although visits between May and September should be planned in advance as many local businesspeople travel abroad at this time.

When meeting a business counterpart in Iceland, a handshake is the normal form of greeting. Although an Icelander's second language is generally Danish, a very high proportion of the population is fluent in English. Characteristically, Icelanders can be quite reserved but very direct. Visitors are often invited into homes (especially if on business) and bringing a gift for the host is the norm (a bottle of foreign wine is always welcomed). Instead of surnames, the majority of Icelanders use the system of patronymics. The first name of the father is used plus son (son) or daughter (dóttir) instead of a surname. Because of this, the telephone directory is listed by first name.

Standard office hours are Monday to Friday 0900-1700 (although many firms alter this to 0800-1600 during the summer).

Office hours: 

Mon-Fri 0800-1600 (summer) and 0900-1700 (winter).

Economy: 

Iceland made headlines around the world in October 2008 as the country found itself on the verge of economic collapse. Icelandic banks, which had lent hundreds of billions of pounds overseas, were hit hard by the global recession, and the Icelandic government had to step in and seize control of the country's biggest banks in a rescue operation that sent shockwaves around the island and beyond.

It's uncertain at this stage what the future holds for this small country. Until recently Icelanders enjoyed a per capita income that was amongst the highest in the world at US$38,000 (2007)/US$39,400 (2008 estimate). The country had been in a positive economic period; in 2007 economic growth was at 2.5% and unemployment at a very low 1%.

Iceland is short of raw materials and so relies heavily on foreign trade; exports of goods and services account for more than one-third of GNP. The largest proportion of these derives from fishing, Iceland's most important export (70% of its export earnings). The economy is therefore particularly susceptible to fluctuating fish prices and maintains a broad fisheries exclusion zone (320km/200 miles) to protect its earnings. The government remains opposed to EU membership, primarily because of concern about losing control over their fishing resources.

Aluminium smelters are playing an increasingly big part in Iceland's economy, and have polarized Icelanders in recent years. While some argue that the pristine nature of the interior should be preserved at all costs, others think it should be tapped to regenerate areas where traditional industries are no longer viable.
There are several large hotels in Reykjavík equipped for conferences and business meetings, while smaller conferences may be held at venues outside the capital. The new Icelandic National Concert and Conference Centre is due to open in autumn 2009 in Reykjavík. The complex will be located by the harbour and will include a cluster of conference and meeting halls (the largest of which will accommodate up to 750 delegates), as well as a luxury hotel and state-of-the-art concert hall.

GDP: 

US$19.5 billion(2007).

Main exports: 

Fish andfish products, aluminium, animal products, ferrosilicon and diatomite.

Main imports: 

Machinery and equipment, petroleum products, food and textiles.

Main trading partners: 

UK, Germany, Netherlands,Sweden and USA.

Staying in touch in Iceland

Mobile phone: 

Roaming agreements exist with many international companies. Coverage is good. Pre-paid GSM phonecards, which travellers can use with their own GSM phones, can be purchased at petrol stations around the country. GSM phones may also be rented at several locations.

Internet: 

Many Internet cafes can be found, especially in Reykjavík.

Post: 

There is an efficient airmail service to Europe.

Post office hours: 

Mon-Fri 0830-1630. The post office in Austurstræti (Reykjavík centre) is also open Sat 1000-1400 (Jun-Aug). Some offices open Mon-Fri 1000-1800.

Media: 

Icelandic National Broadcasting Service (RUV) is a public-service broadcaster owned by the state, which runs national radio and TV services. The RUV has to promote the Icelandic language, history and culture. There is guaranteed press freedom.

Press: 

• Dailies include Frettabladid,Morgunbladid and DV.
• Vidskiptabladidis abusiness paper.
• Baejarins besta provides West Fjords local news.
• Iceland Review (www.icelandreview.com) is an English-language magazine focusing on all aspects of Icelandic life, and also has news.

Television: 

• Stod 2 is the main private station but other ones include Syn and Skjar einn.
• The Icelandic National Broadcasting Service operates the public network Sjonvarpid.

Radio: 

• Bylgjan is the main private station.
• The Icelandic National Broadcasting Service operates two national networks and four regional stations of public radio.
• State Radio, FM 93.5 and FM 92.4, broadcasts a short news programme every weekday morning at 0730 from June to August. You can also listen to it by telephone (tel: 515 3690).

Recommended Sites:

Protect yourself from malaria
Before you travel, find out if your holiday destination is in a malaria zone.
(An educational initiative organised and funded by GlaxoSmithKline Travel Health. UK/MARK/0173/10 September 2010)
Travel insurance
For residents of over 150 countries. High levels of medical, evacuation, emergency & most adventure activities covered.