Finland's economic situation remains difficult

Abstract

The Finnish economy is still in a difficult situation. During the forecast period, the return to growth will be very sluggish and much slower than in the rest of the euro area. Developments in Finland’s export markets now look weaker than previously forecast, and as a result foreign trade will give little stimulus to the economy in the immediate years ahead. During the forecast period, growth will depend on domestic demand. In 2016, the Finnish economy will grow 0.7%, followed by 1.0% in 2017. Risks to the forecast are predominantly on the downside and productivity development will be weak.