What is the currency of Iceland?

The currency of Iceland is the Icelandic króna.

The Icelandic króna, with the international code ISK and common symbol kr, is Iceland’s official currency. Its Icelandic plural is krónur, while the English singular “króna” is commonly used when naming the currency. The króna is divided into 100 aurar, although the smallest subunit is no longer important in ordinary cash transactions.

Iceland’s currency history is tied to Denmark and the wider Scandinavian monetary system. Denmark’s krone was introduced in Iceland in 1874, and Iceland began issuing its own banknotes in 1885. The Icelandic króna became increasingly independent after the Scandinavian Monetary Union broke apart and Iceland gained sovereignty from Denmark.

The name is related to “crown,” as are the Swedish krona, Norwegian krone, and Danish krone. Those currencies are not interchangeable, however. Iceland’s króna has its own code, central bank, notes, coins, and exchange rate. Iceland’s cash denominations are notably large compared with many countries because prices are expressed in relatively high króna amounts.