The Bank is predominantly funded by deposits but further diversification of the Bank´s funding base has been an important theme in recent years.


Íslandsbanki is one of the largest issuer of covered bonds in the domestic market. Domestically, the Bank is also a frequent issuer of unsecured listed securities.

The Bank’s Global Medium Term Note (“GMTN”) Programme is the Bank´s platform for funding in international markets. The inaugural bond issue under the GMTN programme was in December 2013.

Covered Bonds

Íslandsbanki has an ISK 170bn covered bond programme in place. The bonds are issued under Act 11/ 2008 on Covered Bonds. The issue is regulated by the Icelandic Financial Supervisory Authority which additionally appoints an independent inspector to monitor the issues.

Unse­cured Bonds

Íslandsbanki has published a base prospectus for a domestic bond programme. The Bank is able to issue a wide range of bonds under the prospectus.

Global Medium Term Notes - GMTN

Íslandsbanki has an USD 2.5bn Global Medium Term Note Programme (GMTN) in place. The Programme is registered at the Irish Stock Exchange and is rated by S&P, which have assigned the programme the same rating as the Bank.