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At the beginning of 2026, over 394,300 people lived in Iceland. Considering the gender distribution, there were slightly more men than women living in the country during the last 10 years.

Increasing average age

The average age in Iceland increased over the past 10 years. Whereas it was 36.9 years in 2012, it had increased to 38.5 in 2022. People between 20 and 39 years of age made up the largest age group in Iceland in 2022.

High degree of urbanization

Even though Iceland has a small number of inhabitants compared to other European countries, it has a high degree of urbanization. Around 65 percent of Iceland's inhabitants live in urban areas. Moreover, as of 2021, 236,500 of the country's inhabitants lived in the capital area.