Simply short : Growth in Finland’s economy close to zero this year

Abstract

Prices have risen sharply and mortgage costs are taking a larger slice of household income. Consumption for the full year 2023 will be down slightly from last year, although household purchasing power has already started gradually to pick up. With the rise in interest rates, business investment is decreasing and residential construction slowing significantly. Inflation is nevertheless steadily falling, which will strengthen household purchasing power and consumption. Although the Finnish economy will not grow this year, there will be a return to growth in 2024. Employment remains a bright spot in the economy.