Bakkagerði is a small village in Borgarfjörður Eystri on Iceland’s remote east coast, surrounded by steep mountains, narrow valleys, and the North Atlantic. The village serves as the main settlement and service center for the fjord, with a small harbor and colorful houses scattered beneath the surrounding peaks. Its isolated location gives Bakkagerði a strong connection to the landscape and to traditional rural life. The area is also known for Álfaborg, a distinctive rocky hill beside the village that is closely associated with Icelandic folklore and local stories about hidden people.

Bakkagerði has a strong cultural identity rooted in fishing, farming, folklore, and the artistic work of local residents. The village is sometimes called the home of the elf queen because Álfaborg is traditionally regarded as a dwelling place of the hidden people. The small church at Bakkagerði contains an altarpiece painted by local artist Kjarval, who spent part of his childhood in the region and later became one of Iceland’s best-known painters. His connection with Borgarfjörður Eystri remains an important part of the area’s cultural heritage.

The mountains around Bakkagerði provide access to numerous hiking routes, including trails through the Dyrfjöll mountain range and along the colorful rhyolite landscapes of the Víknaslóðir hiking area. Álfaborg offers a short walk with views across the village and fjord, while the nearby Hafnarhólmi harbor is known for its seabird colonies, particularly Atlantic puffins during the nesting season. The coastline contains cliffs, coves, and small inlets, and the surrounding mountains display layers of volcanic rock shaped by erosion. The remote setting makes the area particularly suited to walking and wildlife observation.

Food in Bakkagerði reflects the coastal setting, with fish and other locally sourced ingredients forming part of traditional East Iceland cuisine. The village also hosts Bræðslan, a well-known summer music festival held in an old fish-processing building, bringing visitors to the remote settlement for concerts and cultural events. Bakkagerði’s artistic character is further reflected in murals and other local artworks found around the village. Its combination of fishing heritage, folklore, mountain trails, seabird colonies, and strong local arts traditions gives this small settlement a distinctive place in East Iceland.