Iceland has splendid volcanic craters and lava fields, superb glaciers, and hot springs. It’s national population is one of the smallest in the world.

In the 2008 financial crisis, many banks in Iceland went bankrupt. In the midst of political uncertainty and economic hardship Iceland decided to revive its economy by investing in services and tourism, beginning with its aviation sector. Last year passengers transiting Iceland’s airports increased from 5 million to 7 million.

New tourist itineraries have been created.  A walking tour through the world’s longest man-made ice tunnel opened in 2014. The following year, 22,000 tourists took the tour. Iceland attracts tourists with hot springs that measure 38 degree Celsius even when the air temperature is below zero.

The Blue Lagoon geothermal spa, one of the most popular attractions in Iceland, is planning an expansion. The Marriott group is about to build another 5-star hotel in Reykjavik and Kejlavik airport will be enlarged to 7,000m2.

The tourism sector grew 19.4% in 2015, much faster than Iceland’s 4.8% GDP growth, and faster than the fishery sector, which used to be Iceland’s biggest GDP contributor.

Iceland’s food industry has raced to keep up with the tourism sector. It’s a tough challenge because Iceland imports most of its food. Local producers supply only a small quantity of greenhouse fruits and vegetables.

Thanks to its smart development policies, Iceland has weathered the global financial crisis and has become a world tourism hub.