Bay Borgarfjordur Eystri is the northernmost of the Eastfjords. Large and very colourful rhyolite intrusions decorate parts of the beautiful mountainous landscape, which is rich in half precious and semi precious stones. It is very tempting for collectors to visit this area, but the local authorities have forbidden stone collecting. A shop in the village Bakkagerdi sells them at reasonable prices.
Fishing, fish processing and tourism are the bases of livelihood, but the number of inhabitants is constantly deminishing, mainly because of the difficult communications in winter, lack of necessary services and few employment opportunities for educated people. The Icelanders are reasonably superstitious and believe in all kinds of hidden beings. Among them are the elves, whose queen occupies a rocky mound in the village.
Birdwatchers should use the birdwatching shelter down by the old harbour, anddrive to the new harbour on the opposite side of the bay to visit the colonies of puffins, fulmars and kittiwakes. Many marked hiking trails of one of the most popular hiking areas of Iceland lead between the mountains and coves in the nearby area. The distance from the capital is 770 km.