## Iceland: Financial System Stability Assessment

_IMF Staff Country Reports, June 12, 2001_

## Source details

**Canonical URL:** [Iceland: Financial System Stability Assessment](https://www.imf.org/en/publications/cr/issues/2016/12/30/iceland-financial-system-stability-assessment-4099)

## Other formats

- [Markdown version](/en/publications/cr/issues/2016/12/30/iceland-financial-system-stability-assessment-4099/index.md)
- [Structured JSON version](/en/publications/cr/issues/2016/12/30/iceland-financial-system-stability-assessment-4099/index.json)
- [Bundle manifest](/en/publications/cr/issues/2016/12/30/iceland-financial-system-stability-assessment-4099/bundle-manifest.json)

## Bibliographic details
- Published: June 12, 2001
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781451819281.002

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### Summary findings
- Iceland has implemented a broad-based program of financial liberalization and market reforms.
- Iceland's conduct of monetary and financial policies is highly transparent, which contributes in an important way to the stability and efficiency of the financial system.
- Both macroprudential and microprudential indicators suggest that the system may be vulnerable to a macroeconomic shock.
- The Icelandic financial system is vulnerable to market risk and credit risk.
- The government intends to use the results of the assessment to strengthen their operations and enhance improvements to the regulatory framework.

### Vulnerabilities and risks
- Macroprudential indicators and microprudential indicators both point to potential vulnerability to a macroeconomic shock.
- Specific areas of vulnerability identified:
  - Market risk
  - Credit risk

### Policy intentions and recommendations
- Use the results of the assessment to:
  - Strengthen government operations.
  - Enhance improvements to the regulatory framework.

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## Content in this bundle

- **Iceland:  Financial System Stability Assessment - ISCR/01/83**
  - [Iceland:  Financial System Stability Assessment - ISCR/01/83 (Markdown version)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2001/_cr0185.pdf.md){rel="alternate" type="text/markdown"}
  - [Iceland:  Financial System Stability Assessment - ISCR/01/83 (PDF)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2001/_cr0185.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/cr/issues/2016/12/30/iceland-financial-system-stability-assessment-4099_