Iceland is approximately 103,000 sq km, while Australia is approximately 7,741,220 sq km, making Australia 7,416% larger than Iceland. Meanwhile, the population of Iceland is ~350,734 people (25.1 million more people live in Australia).
This to-scale map shows a size comparison of Iceland compared to Australia. For more details, see an in-depth quality of life comparison of Australia vs. Iceland using our country comparison tool.