Iceland is known for being an expensive destination for tourists, due to its remote location, high cost of living, and reliance on imported goods. Accommodation, food, and transportation can all be quite pricey, especially in the peak travel season. However, there are ways to reduce costs, such as staying in hostels or camping, cooking your own meals, and using public transportation or car rental services. Additionally, many of Iceland’s natural attractions, such as waterfalls, hot springs, and hiking trails, are free to access. Overall, while Iceland can be an expensive destination, it is possible to manage costs and plan a budget-friendly trip with some careful planning and research.