04 March 2021

Working paper no. 85: Exchange rate pass-through, monetary policy, and real exchange rates: Iceland and the 2008 crisis

The Central Bank of Iceland has published a research paper where two aspects of exchange rate pass-through are analysed using Icelandic data. The results show that the pass-through declined around the time Iceland reformed its “flexible inflation targeting,” and that the coefficients are significantly higher for tradable than for nontradable goods. Authors are Sebastian Edwards and Luis Cabezas from the University of California.

02 March 2021

Current account surplus 22.1 b.kr. in Q4/2020 – net IIP positive by 1,039 b.kr.

In Q4/2020 the current account surplus measured 22.1 b.kr., as compared with a surplus of 2.9 b.kr. in the preceding quarter. The current account surplus for 2020 as a whole amounted to 30.9 b.kr., as compared with a surplus of 193.9 b.kr. in 2019. The net international investment position was positive by 1,039 b.kr., or 35.3% of GDP, and improved by 83 b.kr., or 2.8% of GDP, during the quarter.

26 February 2021

Central Bank to continue regular programme of foreign currency sales

From Monday, 1 March 2021 through the end of the month, the Central Bank of Iceland will sell 3 million euros per business day to market makers in the foreign exchange market, for a total of 69 million euros during the month.

25 February 2021

Information on the status of NOVIS

The Financial Supervisory Authority of the Central Bank of Iceland (FSA Iceland) makes reference to press releases dated 18 and 29 September and 23 October 2020, announcing a temporary ban on new sales of unit-linked insurance contracts. The ban was imposed by Národná banka Slovenska (National Bank of Slovakia, NBS) on NOVIS Insurance Company, NOVIS Versicherungsgesellschaft, NOVIS Compagnia di Assicurazioni, and NOVIS Poisťovňa a.s. (referred to collectively as NOVIS).

17 February 2021

Minutes of the Monetary Policy Committee meeting of 1-2 February 2021

In accordance with the Monetary Policy Committee Rules of Procedure, the minutes of the Committee's most recent meeting have been published on the Bank's website. The minutes are published two weeks after the announcement of the Committee‘s decision.