Yes but you need a social ID that is given specifically for that purpose and you need to be present here in Iceland to get it. Fairly standard I would guess.
"social ID" = "kennitalia" ?!?
Yes. "Kennitala" is your birthday example 12 Month example 05 and year example 93 than 4 extra digits ending with the decate you were born so standard kt =120593-2549
So I show up in some official place in Rejkjavik and request a kennitala (as a foreigner) for opening a bank account and they will issue one and put it into the database with certain properties that will allow me to use it for opening an account with one of your banks?
As i was given one by birth i have little knowledge on how foreigners acquire KT. here is a article i found on the matte