Faroe Islands

16 Aug Faroe Islands

The Faroe Islands are an associate member of the Nordic Council represented under the Danish delegation. While their open economy has traditionally been led by their fishing industry, the country is working hard to diversify. In 2020, around 90% of exports were fishery products. Linked to its largest industry, the country has recently pushed innovation in environmental sciences, climate change and fisheries management. The EU’s research and innovation program has funded projects with Faroese players linked to seafood supply chains and sustainable cultivation of seaweed.

Tourism, the country’s second-largest industry, has seen significant growth since the government reorganized its tourism board in 2012 and set aims to double overnight stays. The country saw 13% year-on-year growth in visitors in 2019. However, the COVID-19 pandemic had a strong effect on the economy with cases skyrocketing in August 2020, making it the country with the highest cases per capita in Europe. As the world pulls away from the crisis and cases drop, the island nation is expected to balance its economy at a similar fast pace as its Nordic counterparts.