Icelandic Prime Minister Katrín Jakobsdóttir showed a cool head after an interview she was doing was interrupted by an earthquake.

Ms Jakobsdóttir was taking part in the interview with Washington Post foreign affairs columnist David Ignatius when the earthquake struck at 1:43pm yesterday.

"Sorry, there was an earthquake right now," she said, after a loud noise could be heard and the camera shook slightly, before adding: "Well, this is Iceland".

Following the unusual interruption, Ms Jakobsdóttir took a moment to compose herself before ensuring Mr Igantius that both she and her house were fine. 

"I'm perfectly fine, the house is still strong," she said.

The Icelandic capital, Reykjavik, was shaken by the magnitude 5.6 earthquake, forcing parliament to briefly pause its session but inflicting no harm or injuries.

The tremor lasted several seconds, with the impact being felt across the north Atlantic island nation.

MPs in the Reykjavik parliament building froze during the quake, television images showed, and they stopped work for around 15 minutes.

Buildings shook in the capital and a loud throbbing sound could be heard, an AFP correspondent said.

Iceland's meteorological institute said the epicentre of the quake lay about 20 kilometres outside the capital near the Seltun geothermal area.

The region has been hit by several tremors since January.

"There were no reports of injuries or damage" from the earthquake, Iceland's civil protection agency said in a statement, but added that inspections will be carried out to make sure.

It's not the first time this year that a world leader has had an interview interrupted by an earthquake - back in May New Zealand Prime Minister Jacinda Ardern displayed a similarly cool head when a 5.6-magnitude earthquake struck during a live television appearance.