Act No. 106 on the Icelandic Regional Development Institute.

The present Act regulates the Icelandic Regional Development Institute, an independent state-owned agency falling under the authority of Minister of Transport and Local Government. It is divided in three sections: I. Functions and Administrative Structure; II. Operations; and III. Miscellaneous Provisions. The Institute's functions are to promote rural settlement and economic activity, with special emphasis on the creation of equal opportunities for all inhabitants to employment and habitation. It contributes to the preparation, organisation and financing of projects and the provision of loans with the aim of fostering regional settlement, promoting employment and supporting innovation in business and industry.