Turnover increased in most of the main industries in Iceland in January and February of 2026 compared with the same months in 2025. Turnover increased most in vehicle sales, information technology (with significant growth in data centres) and fishing, aquaculture and fish processing. On the other hand, there was considerable contraction in manufacture of basic metals while turnover remained unchanged in the tourism industry. Turnover growth exceeded inflation in around one half of all industries as inflation for the period was 5.2%.
Turnover in the technology sector (excl. pharmaceutical production) amounted to roughly 105 billion ISK and increased by 12% during the period of January to February 2026. Considerable growth was in information technology where the greatest proportional increase was in information service activities (data processing, hosting, etc.) or nearly 111%. Computer programming grew by 12% and service activities related to information technology by nearly 9%. Contraction of nearly 2% was however in manufacture of computer, electronic and optical products.
Turnover in the tourism industry remained unchanged at nearly 121 billion ISK. Most areas of the sector experienced declines, although renting and leasing of cars was a bright spot with 55% growth along with 7% turnover increase in physical well-being activities. In food and beverage activities turnover increased by nearly 4% and 2% in passenger transport by sea. Roughly 22% contraction was in passenger transport by land and 9% in passenger transport by air. In addition, turnover declined by 10% at travel agencies and modestly in accommodation by roughly 1%.
Turnover growth in retail trade was in line with inflation and increased by roughly 5%. Thereof, 8% growth was at supermarkets and grocery stores and 9% at pharmacies. Turnover in clothing and footwear stores increased by 3% while 2% contraction was in hardware stores. In wholesale trade turnover increased by only 2%. Significant growth was in wholesale and retail trade and repair of motor vehicles as turnover increased by 35%, with nearly 48% growth in sale of motor vehicles.
Turnover in real estate increased by nearly 7% and totalled 27 billion ISK. More growth was in construction, or 9%, where both specialised construction and construction of buildings grew by roughly 8%. Civil engineering grew by 25%, but that industry is generally small compared to the other two.
Turnover in the other main export industries, fisheries and metals manufacturing, varied in January and February. Considerable contraction of 23% was in manufacturing of base metals. This was despite higher aluminium price, but lower quantity exported (-24%) and strength in the local currency weighed against higher market prices. In fishing, aquaculture and fish processing turnover rose by nearly 17% where fisheries experienced 16% growth and aquaculture 25%.
About the data
Data for turnover according to VAT reports is preliminary. All numbers are in nominal terms unless otherwise specified. Inflation was 5.2% during the period of January-February 2025 to January-February 2026.
Due to undergoing analysis of data for the industry manufacture of basic pharmaceutical products and pharmaceutical preparations it is not possible to release numbers for that industry. Furthermore, data for high and medium high technology manufacturing (and knowledge intensive high technology services) and high and medium-high technology manufacturing along with total numbers (total and total excluding agriculture and forestry) excludes turnover from the pharmaceutical industry. This applies to data going back to 2008.
Revisions: At the time of our last press release for the period November-December 2025 VAT-turnover was estimated to have been 1,318.8 billion ISK (+3.7%). Following a review with more data available the turnover is estimated to have been 1,293.6 billion ISK (+1.8%).