Summary:
Nordea has raised its GDP forecast and now expects Finland’s GDP to grow by 1.3% this year and 1.5% next year. According to Nordea’s economists, the outlook of the global economy has improved significantly starting from the end of 2016 and world trade has finally started picking up. Economic growth in Finland will expand from domestic consumption and housing construction to all demand categories, and economist Pasi Sorjonen expects also exports to start supporting growth this year thanks to the improved situation in world trade. Chief Economist Aki Kangasharju points out that the Finland is still facing challenges as labour market negotiations begin in the autumn and the economy demands reforms.
Business Finland to drive export – new opportunities sought all the way in Africa
Summary:
Innovation financing centre Tekes and provider of internationalisation services Finpro will be merged at the beginning of next year into Business Finland Oy which will provide services for promoting export, investments and tourism. The change will increase embassies’ responsibilities in promoting export as ambassadors will become Team Finland country managers. Minister for Foreign Trade and Development Kai Mykkänen would look for new investment opportunities in Eastern Africa where growth is quick and there is demand for clean energy and wastewater treatment in which Finnish businesses have know-how. Finland’s goal is to double SME exports by 2020.
Finland offers over 60-million euro aid package to countries suffering from famine
Summary:
Finland is offering a new, 61-million euro aid humanitarian aid package of which 20 million will go to countries in the Horn of Africa, Nigeria and Yemen all of which are suffering from famine. The aid offered by Finland will also emphasise Syria and its neighbouring countries where the humanitarian situation continues to be serious. Minister for Foreign Trade and Development Kai Mykkänen says Finland is prepared to offer another aid package in the autumn.
Media: MTV – Finland
Date: 27.3.2017
Journalist: Sanna Pietiläinen
Main source: Minister for Foreign Trade and Development Kai Mykkänen
Finnfund denies aggressive tax planning and says claims are irresponsible
Summary:
State-owned development aid fund Finnfund denies the claims made by the NGO Finnwatch last week that the fund had invested Finnish development aid funds in the Dasos Timberland Fund I accused of tax avoidance. In a report to the Finnish Ministry for Foreign Affairs, Finnfund says the NGO’s report contains both factual errors and deliberate misinterpretations. According to Finnfund, paying taxes in developing countries is one of its goals as it promotes the strengthening of the public sector in these countries.
Media: Helsingin Sanomat
Date: 23.3.2017
Journalist: Jukka Hiiro
Main source: –
Minister for Foreign Affairs Soini: Pressure for discussion and seeking alternatives in Russia
Summary:
Minister for Foreign Affairs Timo Soini estimates that the extensive protests against President Vladimir Putin organised in Russia on Sunday 26 March indicate that civil society works in Russia. He says the protests show there is pressure for discussion and seeking alternatives in the Russian society and that civil society wants to be heard better. Mr Soini says there is no need to overdramatise the apprehension of opposition leader Alexei Navalny as the protests were organised without permission and those apprehended will probably be let go fairly soon.
Media: Iltalehti
Date: 27.3.2017
Journalist: Mika Koskinen
Main source: Minister for Foreign Affairs Timo Soini
Danske Bank improves forecast for Finland’s economic growth
Summary:
Danske Bank estimates that Finland’s GDP will grow by 1.5% this year and next year. Earlier the bank predicted a growth of 1.3%. According to Danske Bank, indicators suggest that economic activity in Finland will continue to be lively. Danske Bank’s Chief Economist Pasi Kuoppamäki says the bank expects optimistic consumers to increase consumption also this year thanks to income tax breaks and improvements in the employment situation. The focus of growth will, however, move from private consumption to export and industrial investments in the future.
Media: Taloussanomat / Ilta-Sanomat
Date: 21.3.2017
Journalist: –
Main source: Danske Bank’s Chief Economist Pasi Kuoppamäki
Tiilikainen: EU’s LULUCF proposal would restrict the use of wood too much – “Forests cannot be just a passive lump”
Summary:
Minister of Agriculture and the Environment Kimmo Tiilikainen thinks the European Commission’s proposal on the LULUCF sector is too focused on a climate viewpoint. Forest policy is also based on the need to produce material for the industry. Forests are a source of employment and are important for environmental diversity and social well-being. He suggests that wood-based products should have their own category in carbon sink calculations. Current comparison levels may create restrictions to bioeconomy and do not encourage long-term use of wood. Forests should be an active instrument of climate policy, he says.
WTO Director-General targeted by Trump: Free trade does not destroy jobs, technological development does
Summary:
US President Donald Trump’s statements on trade policy have targeted the WTO and caused concern with their protectionist stance. However, Roberto Azevêdo, Director-General of the WTO, is not concerned because there are no signs of any massive increase in protectionism. In Finland, Trump’s policies cause concern. Minister for Foreign Trade and Development Kai Mykkänen believes it is possible that the United States will assume more protectionist policies in the short term, which would harm the Finnish economy dependent on exports. However, Mr Mykkänen expects the United States to return to free trade sooner or later because the country has been a clear winner in the liberation of world trade and US companies are among the most global in the world.