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Faxa Bay,inlet, c.40 mi (60 km) long and c.55 mi (90 km) wide, W Iceland, between the Snaefellsnes and Reykjanes peninsulas. Most of Iceland's population live around the bay; Reykjavík is on the southeast shore. Two narrow arms, Hvalfjörður and Borgarfjörður, extend inland. The inlet is rich in fish.
(Faxa Bay), a bay in the Atlantic Ocean, off the western coast of Iceland. The Faxafloi is 60 km long, 120 km wide at the mouth, and less than 50 m deep. The shores are low-lying and swampy. Reykjavík, the capital of Iceland, is located on the Faxaflói’s southern shore.