Cost competitiveness is key in replacing lost trade with Russia
Obstbaum, Meri; Pönkä, Harri; Nippala, Veera (21.06.2022)
JulkaisusarjaBank of Finland. Bulletin
JulkaisijaBank of Finland
Julkaisun pysyvä osoite onhttps://urn.fi/URN:NBN:fi:bof-202207081327
Finland’s cost competitiveness has strengthened in recent years, but it has yet to fully recover to the level attained before the 2008 financial crisis. Based on current projections, cost competitiveness will improve slightly in 2022 and remain almost unchanged in the immediate years ahead. Finland’s more favourable structure of exports and imports relative to its peers will help in maintaining cost competitiveness in the face of rising costs caused by Russia’s invasion of Ukraine. Maintaining cost competitiveness is highly important now and in the coming years as Finnish companies wind down their trade with Russia and look for new markets for their products and services. In the short term, cost competitiveness will be supported by Finland’s terms of trade.
The accessible version https://www.bofbulletin.fi/en/2022/2/cost-competitiveness-is-key-in-replacing-lost-trade-with-russia/