Icelandic food in general is based on fish and lamb, as well as owing much to Scandinavian and European influences. Fishing is Iceland's most important export, accounting for some 80 per cent of the country's Gross National Product. There is also a heavy emphasis on vegetables grown in greenhouses heated by the natural steam from geysers. There have been some welcome additions to the selection of eating places in Reykjavík and there is now a small but attractive choice of restaurants to cater for all pockets with new tourist menus. Bars have table and/or counter service, and will serve coffee as well as alcohol. Beer was prohibited in Iceland for 75 years and was finally legalised in March 1989. Alcohol is generally expensive (a small beer costs approximately US$8). In coffee shops you pay for the first cup then help yourself to subsequent cups. There is a wide selection of European spirits and wines.
National specialities:
• The salmon of Iceland is a great delicacy, served in many forms, one of the most popular being gravlax, a form of marinating.
• Hangikjot (smoked lamb).
• Harđfiskur (dried fish).
• Skyr (curds).
• Icelandic sild (herring marinated in various flavours).
• Slátur, for the more adventurous, literally means slaughter and is similar to Haggis.
• A delicacy not for the squeamish is rotten shark, cured by burying and washed down with a shot of Black Death Schnapps.
National drinks:
• Brennivin (a potent variation of aquavit made from potatoes) is a local drink.
Tipping: Service charges are included in most bills and extra tips are not expected.

There are plenty of nightclubs, bars, cafes and cinemas in Iceland, most of them in the capital. Reykjavík is renowned as one of Europe's hottest nightspots where the friendly pubs and nightlife scene lasts through the night. Icelandic nightlife is particularly vibrant from June to August when there is nearly 24 hours of perpetual daylight (Icelanders call this period the 'White Nights'). Leading theatres are the National Theatre and the Reykjavík City Theatre, closed in summer, but during the tourist season there is an attractive light entertainment show in English called 'Light Nights' with traditional Icelandic stories and folk songs. The Iceland Symphony Orchestra gives concerts every week. Iceland also has its own opera company, performing in the smallest (400 seat) and most northernmost opera house in the world. Performances run throughout the winter. Iceland has a vibrant music scene that has produced, amongst others, the internationally acclaimed artist Björk and, reportedly, Brad Pitt's favourite band, Sigur Rós. This has, in turn, attracted a number of British and American pop stars to Iceland, such as Damon Albarn from the British band Blur, who opened his own cafe, the Kaffibarinn, in Reykjavík.

Fluffy, earth-coloured Lopi wool blankets and coats, jackets, hats and handknits are synonymous with Iceland. Several local potters handthrow earthenware containers in natural colours. Crushed lava is a common addition to highly glazed ceramic pieces, which are popular as souvenirs. The duty free shop at Keflavík Airport sells all of these products. Laugavegur is Reykjavík's main shopping street. The shops along Skolavordustigur is good for art lovers. Kringlan is Reykjavík's world-class shopping mall. Bargain hunters should visit the indoor market in Reykjavík called Kolaportid, held every weekend 1100-1700. Great buys on handmade Icelandic jumpers, food and toys can be found. Shopping hours: Mon-Fri 1000-1800, Sat 1000-1400, with variations from shop to shop. Shopping malls are open Mon-Wed 1000-1830, Thur 1000-2100, Fri 1000-1900, Sat 1000-1600 and Sun 1300-1700. On the first Saturday of the month, shops open 1000-1800.