Macro - Country Economic Forecasts - Iceland

Macro - Country Economic Forecasts - Iceland

We forecast Iceland's economy will expand 3.2% in 2023 thanks to strong momentum. However, we see GDP growth slowing to 1.2% next year, due to monetary tightening and fiscal policy consolidation. We expect inflation to average 7.5% in 2023 and 3.3% in 2024.