Financial and Mortgage Portfolio Overview slide image

Financial and Mortgage Portfolio Overview

Highlights Tourism recovering swiftly from a two-year drought We forecast that 1.5-1.6 million tourists will visit Iceland in 2022 Number of foreign tourists, by month thousands After a turbulent two-year period the tourist sector appears poised for a swift recovery 300 636,000 tourists visited Iceland in 1H of 2022, the largest total for this period since 2019 Tourism operators are upbeat about the summer and autumn. This year's tourist numbers could come to 80-90% of the 2019 total 250 200 ISB Research expects 1.5-1.6 million tourists this year, about the same number as in the mid-2010s Tourist numbers are assumed to rise to 1.9 million in 2023 and 2.1 million in 2024 150 - Number of foreign tourists, by year thousands 2500 2000 1500 The slowdown in growth further ahead is due in part to a higher real exchange 100 1000 rate and the prospect of weaker growth in global demand Even though visitors were far fewer in 2021 than before the pandemic, stayed longer and spent more on average in Iceland than they did previously 50 500 Average revenues per tourist will likely continue to be somewhat higher than in the past decade Jan Feb 2019 ---2022 fcast Mar Apr May Jun Jul -2020 Aug Sep Oct Nov Dec 0 2021 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2023 fcast ⚫ 2024 fcast Sources: Icelandic Tourist Board, ÍSB Research. August-September 2022 σε
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