Direct investment

Amounts are in millions (mkr)

Data on direct investment are collected to measure Iceland's foreign direct investment (FDI) transactions and positions with non-residents. The Central Bank also uses the data in its operations.

Statistical reporting on direct investment is carried out according to the standards defined by the Organization for Economic Co-operation and Development (OECD) in the OECD Benchmark Definition of Foreign Direct Investment - 4th Edition (BMD4). The BMD4 defines presentation, methodology, valuation, and terminology.

The compilation of data, calculation, and publication of the balance of payments is provided for in Chapter IX of the Act on the Central Bank of Iceland, No. 92/2019 (in Icelandic) and the Foreign Exchange Act, No. 70/2021 (in Icelandic). These Acts (and the respective regulations, Rules No. 861/2022 (in Icelandic) on general reporting obligations under the Foreign Exchange Act) contain provisions on resident entities’ disclosure requirements and on the obligation of Central Bank employees to observe confidentiality concerning the data compiled for statistical reporting.

Direct investment measures direct investment transactions and positions deriving from transactions between resident and non-resident entities in a direct investment relationship.

The Central Bank collects data directly from resident entities that are considered to be in a direct investment relationship with non-resident entities. Data from the Directorate of Internal Revenue and the Register of Annual Accounts are used as well. Other data are also considered if they are deemed reliable.

The latest figures are always preliminary and may change if new data is received from reporting entities.

The statistics observe a fixed revision schedule, where previously published figures are revised as new information is received. If new information of significance for the statistics is received, attempts are made to update the statistics as soon as possible. The revision schedule is shown in the table below.

A major review (benchmark revision) is also carried out every 5 years.