Long-term (>6 months) current measurements from five moorings in the I
celand Basin have been analysed for the mean currents and the structur
e of the variable current components. The time-averaged flow at all fi
ve moorings had a strong baroclinic character. The mean circulation in
the upper layers with relatively warm Sub Polar Mode Water appears to
have a general north-eastward direction with maximum mean velocities
of 6 to 7 cm . s(-1). In the bottom layer south of Iceland, where the
cold Iceland-Scotland Overflow Water flows westwards along the topogra
phy in a Deep Northern Boundary Current, mean velocities of the order
of 10 to 20 cm . s(-1) have been observed. Over the deep slope of the
Hatton Bank, water enters the Iceland Basin in a branch of the Deep No
rthern Boundary Current which has a cyclonic rotation sense in the Ice
land Basin. The variable part of the current has been analysed by mean
s of principal-component analysis. The current variations in the centr
al Iceland Basin appear to have a mainly barotropic character while va
riations in the baroclinic flow of Iceland-Scotland Over-flow Water co
ntributed 10% or less to the total energy of the variable deep flow. O
ver the slope of the Hatton Bank the variable currents had a mainly ba
roclinic character with shear in both current speed and direction. Com
parison of the geostrophic velocity with the mean Eulerian velocity ha
s revealed that the sigma(T)heta=27.725 kg . m(-3) surface can be used
adequately as level of no-motion for the geostrophic modelling of the
flow along the Icelandic and Hatton slopes. The mean westward geostro
phic transport of ISOW south of Iceland relative to this reference sur
face amounted to 3.5 Sv, in agreement with existing independent estima
tes.