1886 in Iceland

Incumbents

• Monarch: Christian IX
• Minister for Iceland: Johannes Nellemann

Events

• 1 July – The national bank begins operations.
• A supplementary session of the Althing was first held in 1886.
• Staðarkirkja was constructed.
• Kirkjubólskirkja was constructed.

Births

• 18 May – Jakob Thorarensen, writer and poet.
• 14 September – Sigurður Nordal, writer and ambassador.