The territory of Iceland has a lot of volcanic activity. In 2010, the eruption of the Eyjafjallajökull volcano caused the largest air-travel-shut-down in Europe in recent decades. As an island, air transport is the most common way to arrive in the country, specifically Keflavik Airport. However, cruise ships also make their way to this destination. Before the impact of the coronavirus (COVID-19) pandemic, Iceland’s volume of international cruise tourism had reached nearly 200 thousand passengers.
Profile of visitors in Iceland
The United States was the main contributor to tourism in Iceland in 2022, accounting for nearly 460 thousand air travelers. Meanwhile, the United Kingdom and Germany were the main European nationalities among visitors in Iceland that year, totaling a combined figure of 362 thousand. For the most part, the Nordic country is a leisure destination: less than five percent of inbound travelers at Keflavik Airport visited for business, work, or other non-recreational purposes. Regarding age, most travelers to Iceland are young adults. In 2022, one-third were between 25 and 34 years old, while another 18 percent were between 35 and 44 years of age.How does tourism contribute to the Icelandic economy?
Right before the coronavirus (COVID-19) outbreak, the total tourism gross domestic product in Iceland amounted to over 700 million Icelandic króna – or 5.7 billion U.S. dollars. By 2021, this figure was at less than 440 million Icelandic króna, though having recovered from the first impact of the pandemic in the previous year. Moreover, approximately 17.7 thousand people were employed in the Icelandic tourism sector in 2021, representing around eight percent of the Nordic country's total workforce.
