The Act on the Central Bank of Iceland states that decisions on the application of the Bank’s monetary policy instruments shall be taken by the Monetary Policy Committee (MPC). It also states that the minutes of MPC meetings shall be made public and an account given of the Committee’s decisions and the premises on which they are based. On the basis of this statutory authority, the MPC publishes the minutes of each meeting two weeks after the announcement of each decision.

The Financial Stability Committee (FSN) of the Central Bank of Iceland takes decisions on the application of the Bank’s financial stability policy instruments. Financial stability means that the financial system is equipped to withstand shocks to the economy and financial markets, to intermediate credit and payments, and to diversify risks appropriately.

The Central Bank of Iceland will continue its programme of regular foreign currency purchases in the interbank market until 30 November 2026. The amount bought each week will be reduced from 12 million euros to 6 million, beginning on 16 October. The purchases, each in the amount of 3 million euros, will take place shortly after the market opening on Tuesdays and Thursdays.

The Monetary Policy Committee (MPC) of the Central Bank of Iceland has decided to keep the Bank’s interest rates unchanged. The Bank’s key interest rate – the rate on seven-day term deposits – will therefore remain 8.00%. All Committee members voted in favour of the decision.

A statement of the Monetary Policy Committee will be published, Wednesday 7 October, at 08:30 hrs. At 9:30 hrs., a press conference on the statement and the contents of the Monetary Bulletin will be held.

The Central Bank of Iceland has published a new version of the handbook for the QMM macroeconomic model, incorporating changes introduced in the fifth version of the model. The handbook, titled QMM - A quarterly macroeconomic model of the Icelandic economy, version 5.0, is included in the Bank's working paper series, as WP 102.

The Bank’s semi-annual Financial Stability report presents an overview of the position of the financial system, its strengths and potential weaknesses, and the macroeconomic and operational risks it may face. In addition, it explains how the Central Bank carries out the tasks necessary for the operation of a sound and effective financial system.

The Icelandic financial system is sound and is well prepared to withstand unforeseen shocks. The systemically important banks’ financial position is strong, and their access to market-based funding is good.

A state­ment of the Fin­an­cial Sta­bil­ity Com­mit­tee will be pub­lished at 8:30 to­mor­row, Wed­nes­day 23 September 2026. The Financial Stability report will be pub­lished at 8:35.