FX.co ★ Iceland Unemployment Rate at 4-Month Low

Iceland’s seasonally adjusted unemployment rate decreased to 3.7% in March 2025, down from 5.5% in February, marking its lowest level since November 2024. This improvement was due to a month-on-month drop of 4,200 in the number of unemployed individuals, which reduced the total to 8,700. Among these, 4,000 were men and 4,700 were women. The unemployment rate for young people, aged 16 to 24, declined to 12.5%, from a revised figure of 12.9% in February. At the same time, overall employment increased by 7,000, reaching 226,900 in March 2025, from a revised total of 219,900 the previous month. The labor force participation rate also improved, rising to 81.6% in March 2025 from a revised rate of 81.1% in February.