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The language, spoken and written is Icelandic. This language is the closest of all the Nordic languages to the Old Norse language (which was spoken throughout early Scandinavia) and has remained relatively unchanged since the twelfth century. Iceland is the most literate nation in the world, with literacy estimated at 99.9%. | The language, spoken and written is Icelandic. This language is the closest of all the Nordic languages to the Old Norse language (which was spoken throughout early Scandinavia) and has remained relatively unchanged since the twelfth century. Iceland is the most literate nation in the world, with literacy estimated at 99.9%. | ||