Out of a population numbering more than 300.000, half live in the capital Reykjavík and its neighbouring towns in the southwest. Keflavík International Airport is located about 50 km from the capital. The highland interior is uninhabited (and uninhabitable), and most centres of population are situated on the coast.
Iceland was settled by Nordic people in the 9th century – tradition says that the first permanent settler was Ingólfur Arnarson, a Norwegian Viking who made his home where Reykjavík now stands. The Icelanders still speak the language of the Vikings, although modern Icelandic has undergone changes of pronunciation and, of course, of vocabulary! Iceland is alone in upholding another Norse tradtion, i.e. the custom of using patronymics rather than surnames; and Icelander´s christian name is followed by his or her father´s name and the suffix -son or -dóttir, e.g. Guðrún Pétursdóttir (Guðrún, daughter of Pétur). Members of a family can therefore have many different “surnames”, which sometimes causes confusion to foreigners!
In 930, the Icelandic settlers founded one of the world´s first republican governments; the Old Commonwealth Age, described in the classic Icelandic Sagas, lasted until 1262, when Iceland lost its independence, and in 1944 the present republic was founded. The country is governed by the Althing (parliament), whose 63 members are elected every four years. four-yearly elections are also held for the presidency; President Ólafur Ragnar Grímsson was elected in June 1996 to succeed Vigdís Finnbogadóttir, and was re-elected in June 2000. The head of state plays no part in day-to-day politics.