Iceland: 2007 Article IV Consultation: Staff Report; and Public Information Notice on the Executive Board Discussion

Author: International Monetary Fund

Volume/Issue: Volume 2007 Issue 295

Publication date: August 2007

ISBN: 9781451819359

$20.00

Add to Cart by clicking price of the language and format you'd like to purchase

Available Languages and Formats


English

Prices in red indicate formats that are not yet available but are forthcoming.

Topics covered in this book

This title contains information about the following subjects. Click on a subject if you would like to see other titles with the same subjects.

Banks and Banking , Exports and Imports , Inflation , Economics- Macroeconomics , ISCR , CR , anchor inflation expectation , debt , Last Article IV consultation , derivative , record current account deficit , inflation well , Eurobond carry trade , headline inflation , Loans , Fiscal stance , Private consumption , Inflation , Eastern Europe , Global

Also of interest

Peru

Grenada

Nepal

Republic of Congo : 2001 Article IV

Summary

This 2007 Article IV Consultation highlights that boom in private consumption in Iceland was facilitated by easing household credit conditions, tax cuts, rapidly rising housing and equity wealth, and an appreciating real exchange rate. As a result, the output gap peaked at over 5 percent in 2005, declining only modestly in 2006. Record current account deficits and credit downgrades early in 2007 caused little market disruption, in part reflecting a healthy financial sector. The exchange rate remained strong, and confidence in Icelandic banks stayed high.