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Thursday, 29 October 2026 Icelandic stories. Global audience.
Business & Politics

Iceland to create Digital Iceland agency for public IT services from January

The government will launch Digital Iceland, a new agency for digital public services and AI, in early 2027. IT operations from Umbru and the current project office will transfer to the new body.

Panoramic view of a city with snow-covered mountains behind
File photo.

The Icelandic government will launch a new agency, Digital Iceland (Stafrænt Ísland), dedicated to digital services and information technology for the public sector on 1 January 2027. The move was first reported by mbl.is, with details also published by Vísir and an official government announcement.

When it begins operations, Digital Iceland will take on the duties of the current project office for digital services. Additionally, information technology projects currently managed by Umbru, the Government Offices’ operating company, are scheduled to be transferred to the new agency within the first months of 2027, according to an announcement from the Government of Iceland.

The government has also said that Umbru’s present form will be dissolved and its remaining tasks reassigned to other parts of the Government. The position of director for Digital Iceland will be advertised this week.

According to the government, the purpose of Digital Iceland is to support the development of public service strategy and to strengthen digital services for the public, as well as state work with data and artificial intelligence. The aim is to increase the state’s ability to use data and new technology in serving citizens.

Sources