How tourism reshaped rural towns

How Tourism Is Reshaping Rural Icelandic Towns

Across Westfjords and West Iceland, small fishing villages and farmlands have transformed into vibrant traveler hubs. What was once a quiet coastline or a sleepy valley now hosts bustling cafés, community art galleries, and new hiking routes. Tourism has breathed fresh life into these rural towns, creating jobs and fostering cultural exchange.

Spotlight on Growth: Borgarfjörður and Beyond

In Borgarfjörður, just a short drive from Borgarnes, you’ll find the charming Hvítá Inn. This modern guesthouse combines cozy wood interiors with local artwork, making it a perfect base for exploring nearby hot springs and waterfalls. Further north, the Truck Inn at Hvítá welcomes road-trippers with rustic décor and hearty Icelandic breakfasts. In the scenic Westfjords, Ísafjörður Inn sits at the heart of an up-and-coming arts scene, while The Stykkishólmur Inn overlooks the bird-cliff–dotted horizon of Breiðafjörður bay.

Positive Impacts on Local Communities

• New restaurants serving farm-to-table cuisine, highlighting local lamb and fish.
• Guided tours by residents, from glacier hikes to traditional turf-house demonstrations.
• Pop-up markets selling handmade wool sweaters, crafts and preserves.
• Seasonal music and cultural festivals that celebrate Icelandic heritage.

When to Visit

• Summer (June–August): Long daylight hours, blooming lupine fields, ideal for hiking and paddling.
• Shoulder Seasons (May & September): Fewer crowds, great northern lights chances in late September.
• Winter (October–April): Snowy landscapes, glacier tours and ice-caving expeditions.

What to Pack

• Waterproof jacket and windproof layers
• Sturdy hiking boots and warm socks
• Swimsuit for geothermal pools
• Camera or smartphone for capturing waterfalls and wildlife
• Reusable water bottle and daypack

Recommended Stay Duration

Plan at least 5 to 7 nights if you want to explore multiple towns without rushing. Spend a couple of nights at Hvítá Inn or Truck Inn by the river, then head to Ísafjörður for three nights of fishing-village charm and Fjord adventures. Finish your journey in Stykkishólmur for coastal vistas and ferry trips to the Westman Islands.

Experience the Difference with Ourhotels.is

At Ourhotels.is, we partner with local entrepreneurs to ensure your stay benefits the community. Whether you choose the riverside tranquility of Hvítá Inn or the artistic vibe of Ísafjörður Inn, you’ll enjoy warm hospitality, locally sourced breakfasts, and insider tips on hidden gems.

Ready to explore the transformed landscapes and vibrant towns of Westfjords & West Iceland? Book your next adventure through Ourhotels.is and see firsthand how tourism is reshaping rural Iceland for the better.