Tag: Bank of Finland
The Bank of Finland’s mid-term forecast: the economy is at rest
Despite the difficulties, the Finnish economy has endured so far, but not all the effects of rapid inflation and rising interest rates have been seen. In addition, the risks of the international economy have increased recently,” says Meri ObstbaumHead of forecasting at the Bank of Finland. In 2022, Finland’s economy grew by 2.1% thanks to […]
Bank of Finland: Finland’s economy in a dormant state
According to the central bank, it will take some time before the effects of inflation are fully felt in the economy.
Apartment prices have returned to the pre-pandemic level, says OP’s economist
Among Finland’s largest cities, prices fell the most in Oulu, Helsinki and Vantaa, and the least in Tampere and Turku. “As expected, the fall in apartment prices continued in January. The decline has now wiped out the gains made during the coronavirus pandemic, and the decline is likely to continue in the coming months. tweeted […]
Nordea: Housing prices in the Helsinki region are down 10% from last year’s peak
In the rest of the country, house prices are expected to drop seven percent from the peak in 2022. Expectations in the capital region and other regions differ mainly because the rise in interest rates is expected to discourage home buyers, especially in residential areas. loans are higher than the national average, such as in […]
Reserve Bank renovation well overdue
There is no doubt that the Coalition-stacked Reserve Bank needs a deep clean-up, hopefully including an updated, more democratic selection process, writes Lachlan Newland. TREASURER JIM CHALMERS have promised reform from the Reserve Bank of Australia (RBA). This is hardly surprising as every current board member is a coalition appointee. Politicians often talk about interest […]
469 counterfeit euro banknotes were found in Finland last year
The next most were 166 for 50-euro counterfeits and 37 for 10-euro counterfeits. “In 2022, the number of counterfeits found in circulation was low compared to previous years. Although there are few counterfeits in circulation, it is always good to pay attention to the banknote’s security factors when handling banknotes.” says the banknote expert Olli […]
The experts rejected Saariko’s idea of restoring the mortgage interest deduction
– The back and forth changes also confuse the tax system, he said. The mortgage interest tax deduction was completely removed at the beginning of this year after years of gradual phase-out. Last year, Finnish households were allowed to deduct a maximum of five percent of their interest in their taxes. Finance Minister Annika Saarikko […]
The Bank of Finland reiterates its concern about household debt amid rising interest rates
With the European Central Bank (ECB) announcing that it plans to continue tightening monetary policy to curb inflation this year, interest rates could rise to close to four percent by summer. Marja NykänenThe vice-chairman of the board of the Bank of Finland stated to Helsingin Sanomat on Thursday that household debt servicing costs have risen […]
Finland’s economy will sink into recession in 2023, says the Ministry of Finance, the Bank of Finland
However, the economy is not returning to the growth path that was expected before the Russian invasion of Ukraine. “We expect inflation to slow down clearly over the next year and consumption to recover in 2024,” Janne Huovarifinancial advisor at the Ministry of Finance, was quoted saying At Helsingin Sanomat’s press conference in Helsinki on […]
BoF: Finland’s economy is sinking into recession
Although according to the economic forecast of the Bank of Finland, the Finnish economy will grow by 1.9 percent for the whole year 2022, it warned of a slight recession, in which the GDP will shrink by 0.5 percent.
The Social Democrats propose a price ceiling for electricity, which surprises other parties
SDP estimates that the costs of the ceiling limit could be covered with the proceeds of the windfall tax imposed on the excess income of energy companies. The tax, which is being prepared by the Ministry of Finance, is expected to generate approximately EUR 0.5–1.3 billion in revenue starting in 2024. The proposal raised eyebrows […]
There are new signs of a slowdown in the Finnish real estate market
The Bank of Finland, meanwhile, published its latest data on mortgage withdrawals. revealing 1.3 billion euros of new mortgages were taken out in October, which means a drop of about one third from the previous year and in October at a new low since 2004. Juhana BrotherusChief Economist of the Finnish Mortage Society (Hypo), highlighted […]
Mortgages and house prices fall in October
The last time housing loans were raised at such a low level was in 2004, says the Central Bank of Finland.
The quick assessment raises concerns about a recession in Finland
Adjusted production in April-June grew by 1.7 percent from the previous quarter. The estimate raised concerns among many economists that the contraction of the national economy will continue in the fourth quarter and thereby slide into recession. The technical definition of a recession is negative GDP growth for two consecutive quarters. “That’s how it starts, […]
The Governor of the Bank of Finland warns of a serious economic disruption
Stagflation refers to slow economic growth and high unemployment as well as constantly rising consumer prices. In September, the ECB estimated that the euro area economy could contract by 0.9 percent in 2023 if Russia stops selling natural gas and oil transported by sea to Europe and Europe does not find alternative sources of supply. […]
The foreign trade statistics compiled by Customs tell about the state and development of the economy now and in the future
The purpose of the foreign trade statistics compiled by Customs is to meet the needs of society. In foreign trade statistics, companies can follow the development of foreign trade, get information about the market situation and use statistical information to develop their operations. In 2022, foreign trade statistics have been especially important when analyzing the […]
Bank of Finland: The war will “win” the Russian economy
The Russian economy will shrink by four percent this year and next, the Central Bank of Finland estimates.
The 12-month Euribor had the largest monthly increase on record in August
Helsingin Sanomat on Tuesday highlighted that the rate has experienced a larger monthly change only twice in its history, falling 0.914 points in March 2008. The 0.146 point change seen yesterday was also quite unprecedented, as larger daily changes have occurred only six times since early 1999. The total mortgage interest rate is determined by […]
Inflation in Finland is almost 8 percent in July
The general price level in Finland rose by 7.8 percent year-on-year in July. The last time Finland’s inflation was at the same level was in the 1980s. The latest increase follows a general inflationary trend that is being accelerated by the lasting economic effects of Russia’s invasion of Ukraine. On Monday, Statistics Finland published July’s […]
Minister of Finance: The savings campaign will not lower energy prices
The saving campaign planned by the government for autumn will not solve the energy crisis, warned the Minister of Economy Mika Lintilä (Center). The campaign targets households amid the energy crisis caused by Russia’s invasion of Ukraine. The minister told news agency STT that, unfortunately, next winter the biggest incentive to save electricity is the […]
Summer cottage loans down in Finland
In June, Finnish households took out new holiday home loans of approximately EUR 126 million, which is 16 percent less than in the corresponding month last year, according to the Bank of Finland. The Central Bank stated that during 2020 and 2021 there was a spike in cottage loans, which was sometimes related to the […]
Student loans for the fall semester can be withdrawn from August 1
Kela has sent the decisions on granting student loan guarantees for the coming academic year to 109,150 recipients of support and 1,200 recipients of adult education support. A decision on the loan guarantee will be sent to a student who has a support application, notification of change of circumstances or other pending matter when the […]
Governor of the Central Bank: Russia’s isolation affects especially the economy of Eastern Finland
According to the Governor of the Bank of Finland, Russia’s isolation from the West, which has been caused by the international outrage over its attack on Ukraine, especially affects the economy and future prospects of Eastern Finland. Olli Rehn. "The cruel and illegal war of aggression launched by Russia has greatly disrupted the European economy," […]
Finland will introduce a new tool to control household indebtedness in 2023
The maturity of the loans should also not exceed 25 years and the interest rate must be at least six percent in the calculation, with the exception of fixed-rate and long-term interest-protected loans. The recommendation is due to enter into force on 1 January 2023. Marja NykänenThe chairman of Fiva’s board said the recommendation is […]
YLE: Many real estate investors are taking a break in Finland
“In the old world, tenants took the apartment they happened to get. Now tenants can look at several apartments and choose the one that suits them best; The landlord has to do more work to rent out his apartment. ” Joonas Oravaan investor in several real estate portfolios, YLE summed up on Thursday. Finnish Broadcasting […]
Thursday’s newspapers: courage and perseverance, forest fire warnings, banned from parliament
The cost of living in Finland will rise, and this Thursday Helsingin sanomat newspaper interviews the Minister of Finance Annika Saarikko (Cen) government’s difficult decisions in this exceptional situation. The country’s consumer prices rose by seven per cent year-on-year in May as euro area inflation peaked. "The coming months will be difficult, ”the minister acknowledged, […]
Despite the downturn, there are no signs of a recession in Finland’s employment data
Statistics Finland on Tuesday reported The number of employed persons increased by 61,000 year-on-year to 2,641,000, while the number of unemployed decreased by 68,000 year-on-year to 227,000 in May. The trend in the employment rate was at a record high of 73.9 per cent and in the unemployment rate at 6.1 per cent. Juho KeskinenAn […]
Wednesday Magazines: Economic Forecast, NCP Harassment Scandal, Midsummer Congestion
Helsingin sanomat newspaperFinland’s largest circulation magazine reports on a press conference held by the leaders of the Coalition Party (NKP) on Tuesday after the MP. Wille Rydmandiffers from the party’s parliamentary delegation. This followed a revelation published in Helsingin Sanomat that she had been the subject of a police investigation into the behavior of several […]
Sanna Marin says she has no plans to run for president
Prime Minister Sanna Marin (SDP) told reporters on Sunday that she is not interested in running for president in the 2024 election. "I’ll tell you directly – I’m not available," he said. Yle’s opinion poll in 2019 showed that Marin was a favorite for Finland’s next president. His support for the post has since declined, […]
Student loans rise to record levels
In Finland, although tuition is free and study scholarships are granted by the government, many students still opt for student loans to cover extra living expenses. The total value of state-guaranteed student loans rose to about 5.5 billion euros in April, according to the Bank of Finland’s own statistics. Markus Aaltonenan Economist from the Bank […]
Demand for mortgages has fallen in Finland, according to a barometer
The Russian war in Ukraine has shaken consumer confidence in the economic situation. The barometer results also reflect widespread expectations of rising interest rates as a result of rising consumer prices. “Russia’s military action in Ukraine creates a climate of general insecurity in Europe”, Mariia SomerlaSenior expert in Finance Finland, said To Helsingin Sanomat. “Rising […]
Experts agree that the living standards of Finns are falling due to rising prices and interest rates
– All in all, it is a matter of taking three steps forward, and now it seems that we need to take one step back, he summed up. In May, Statistics Finland reported that inflation accelerated to 5.7 per cent in April, mainly due to higher energy prices and agricultural inputs due to the Russian […]
Thursday’s newspapers: Review of the Arms Act, Marin attends Bilderberg, pressure on consumers
Tampereen Aamulehti writes that with the Russian occupation, more and more participants in voluntary defense training began to enter Finland. The courses organized by the National Defense Training Association (MPK) became so popular that the queues already exist. Minister of Defense Antti Kaikkonen (Cen) told the newspaper that the upcoming change in the law will […]
Friday leaves: Dark horse, living dead and core news
Speculation around Finland’s 2024 presidential election is accelerating, and the media is increasingly reporting on potential candidates for the post. An Evening News According to the report, the Governor of the Bank of Finland Olli Rehn (Center) and the Minister of Foreign Affairs Pekka Haavisto (Greens) are still in mind when it comes to changing […]
Concerns about a cyber attack will increase cash withdrawals
According to an April survey commissioned by Nosto ATMs, part of the Norwegian Nokas Group, more than a third of Finns have already withdrawn or plan to withdraw extra cash due to the situation in Ukraine. Most have raised an average of € 500 aside and for use as needed. Almost half of the respondents […]
The Bank of Finland calls for more measures to curb household indebtedness
“Households need to assess their debt service capacity to ensure that it can withstand rising interest rates, rising everyday costs and potential uncertainty in the labor market.” advised Marja NykänenDeputy Governor of the Bank of Finland. The European Central Bank is likely to raise its reference rate this autumn at the latest. However, market expectations […]
The Bank of Finland calls for a reduction in household debt
Finland must minimize potential risks to the stability of its financial systems by taking additional measures to curb household indebtedness, the Bank of Finland said in a statement issued on Wednesday. Although the new measures proposed by the government to limit the duration of mortgages were necessary, they are not enough to properly address the […]
Helsinki May Day Crash Car owned by an official of the Ministry of Finance, a new candidate for election
The Ministry of Finance has confirmed that one of its officials owns a car that collided with nine vehicles on May Day in Helsinki. Three men, including the driver, were injured in Saturday’s crash series, while a video from the scene shows the car barely overtaking several pedestrians at high speed. By Monday afternoon, police […]
Economists advise households to prepare for an interest rate of 1.5 to 2.0 percent
Reijo HeiskanenOP Financial Group Chief Economist and Jan von GerichNordea’s chief analyst told the Finnish News Agency on Monday that they expect the interest rate to rise to 1.5 per cent in the next year or two, but warned that forecasting is currently difficult due to accelerating inflation. “I personally thought it could be in […]
According to the EU standard, with relatively modest inflation, Finland is no longer so expensive
When the single currency, the euro, was introduced more than 20 years ago, the purchasing power of the Finnish people was the weakest in the EU, along with Spain, Portugal and Greece. Since then, relative purchasing power has improved as prices have risen less here than elsewhere, economists say. Since the turn of the millennium, […]
Niinistö received top scores in a survey on Ukraine’s crisis
President Sauli Niinistö has overtaken other Finnish political leaders when dealing with the crisis in Ukraine, according to a study conducted by the newsgroup Uutissuomalainen. The respondents gave Niinistö a grade of 8.9 on the Finnish school rating scale (4-10). Minister of Defense Antti Kaikkonen (Cen) had a second-best score of 7.8. prime minister Sanna […]
The Finnish supervisory authority keeps the mortgage ceiling at 85 per cent
The government said it was refining its recommendation that lenders exercise restraint in relation to the borrower’s income when granting large and longer-than-usual loans in the second quarter. “Borrowers should estimate the amount of credit to be granted so that the applicant will be able to repay its debt even if interest rates on loans […]
Yle’s presidential election: Rehn Finland’s new favorite
Governor of the Bank of Finland Olli Rehn has risen to the top of the poll as the most likely winner of Finland’s next presidential election in a survey conducted by Taloustutkimus. Foreign minister Pekka Haavisto (green) and the Prime Minister Sanna Marin (SDP) ranked second and third in the survey. The results of the […]
HS: Rehn, Governor of the Bank of Finland, demands a ban on NATO’s energy imports to Russia
The Governor of the Bank of Finland, Olli Rehn, has demanded that Finland join NATO with a similar arrangement as its northern neighbor, Norway. He also said that the European Union should prepare to ban energy imports from Russia, even if it causes problems for Germany and Eastern European countries. Rehn commented on the issue […]
Lintilä: Food prices may double in Finland due to Russia’s war in Ukraine
“If people currently spend 11 percent of their salary or income on food, it will rise to more than 20 percent,” he predicted. While a doubling of consumer prices is possible, it is not the most likely consequence of the crisis Csaba Jansik, senior researcher at the Natural Resources Center (Luke). He recalled that food […]
Lintilä: Ukraine’s war could almost double food prices in Finland
Finns must prepare for the wartime pricing of products and services, Minister of Economic Affairs Mika Lintilä (Cen) said in an interview with Yle on Saturday. He warned that the price of a regular grocery cart could nearly double, due in part to the consequences of a sharp rise in fuel and fertilizers. "The price […]
BoF predictions arise as the war continues
The Finnish economy is expected to grow by 0.5-2 per cent in 2022, according to the Bank of Finland’s revised forecast. The bank had previously forecast 2.6 percent growth this year. The bank said in a statement that the war in Ukraine would have far-reaching implications for politics and the economy across the continent. “There […]
Rehn: Finland can bear the cost of sanctions because basic human values are under threat
“Russia is blatantly violating international agreements.” According to Rehn, the European Central Bank and the national monetary authorities, including the Bank of Finland, will implement without delay all sanctions imposed by the EU and national governments within its competence. Juha KilponenDirector of Monetary Policy and Research at the Bank of Finland, told me Helsingin Sanomat […]
HS: Mortgage rates are expected to rise significantly in the coming years
“The situation has been quite favorable in recent years from the perspective of mortgage borrowers. Euribor rates have been in the negative range, which has basically meant that the base rate has been zero in most loan agreements. Mortgage borrowers have practically only paid margins, “he explained to the newspaper. The interest rate on a […]
Finns continued to take out mortgages briskly in November
The housing loan stock was almost EUR 107 billion, of which loans to be purchased were about EUR 8.5 billion. The average interest rate on loans was 0.76 per cent in November. The average interest rate on rental loans was 0.91 percent. The Bank of Finland emphasized that the average interest rate has risen slightly […]
The employment rate in Finland will rise to 73 per cent
According to the latest data, the trend in the Finnish employment rate rose to 72.8 per cent in November Labor Force Survey Statistics Finland, while the unemployment rate fell to 6.9 per cent. There were 62,000 more employed in Finland last month than in November 2020 and 24,000 fewer unemployed. In total, 2.6 million people […]
The Bank of Finland downgraded the economic outlook due to Covid
The Bank of Finland has revised its economic forecast for 2021-2024 and estimates that growth will slow in the coming years. According to the central bank, Finland’s gross domestic product will be 3.5 per cent this year, before falling to 2.6 per cent next year and 1.5 and 1.3 per cent over the next two […]
Monday newspapers: Emergency brake time, presidential election, playing ponies
Evening paper Iltalehti tells about it that Pasi PohjolaThe director of strategy of the Ministry of Social Affairs and Health says that the key criteria have already been met in order for the government to introduce new strict measures to combat the spread of the coronavirus, the so-called "emergency brake". "Yes, the key criteria have […]
The popularity of high-interest consumer loans increased in Finland in October
The drawdown hit at the same time as the government’s temporary interest rate cap on consumer credit expired. The average interest rate on new unsecured consumer credit, excluding vehicle loans, thus rose by 0.55 percentage points from the previous month to 8.34%. The popularity of unsecured consumer loans grew, especially in non-bank institutions, whose average […]
Wednesday’s newspapers: Presidential competition, vaxx opponents and telecommuting in the woods
Finnish President Sauli Niinistö is about halfway through his second term, which led the media to speculate on who is Finalnd’s next head of state. According to a survey or residents Helsingin sanomat newspaper, Governor of the Bank of Finland Olli Rehn (Cen) is the best choice for Finland’s next president. Other popular choices for […]
Bank of Finland: Finland’s competitiveness may weaken after the crisis
Finland’s competitiveness improved significantly in 2016–2017, but came to a halt in the two years before the pandemic, in 2018 and 2019. The increases in unit labor costs observed at the beginning of this year are largely due to the increase in employers’ social security contributions and, according to the Bank of Finland, the end […]
The Bank of Finland’s economist warns of a decline in cost competitiveness
Finland may lose its competitive advantage compared to other neighboring regions after the coronavirus crisis, warns an article published by the Bank of Finland on Wednesday. According to an adviser to the Bank of Finland Lauri Kajanoja, the price of labor in Finland rose in 2019-2021 relative to the euro area average. If the price […]
Minister of Culture: State should treat gambling Monopoly revenues like alcohol profits
Minister of Science and Culture Antti Kurvinen (Cen) has proposed that revenues from the state-owned gambling Monopoly, Veikkaus, be transferred to the state budget. On Saturday Kurvinen said that the betting agency’s income is declining, and without a change so will the income of Charities and other groups that benefit from its profits. Veikkaus revenues […]
The number of job vacancies rose to an unprecedented level in Finland in June
Similar records were also set in April and May. The numbers are confusing according to it Sami Pakarinen, Director of the Confederation of Finnish Industries (EK). “If we look at how many job vacancies there are relative to unemployed job seekers, we’re actually very close to the peak seen at the end of the previous […]
The employment rate in Finland rose to 72.4 per cent in June
The number of unemployed increased by 7,000 to 220,000. YLE on Tuesday pointed out that news of a healthy increase in employment took off in the wings of several companies and released solid second-quarter figures. The Bank of Finland, for its part, has estimated that household savings have increased by about nine billion euros as […]
Finnish banks strive to stay involved in mortgage applications
He said that Nordea has been hiring new mortgage advisers since last year and has arranged what it calls super-housing weekends, during which the advisers negotiate mortgages with about a thousand applicants. “Despite the measures, we are currently receiving so many applications that congestion has occurred and our meetings in the coming days are full,” […]
The Finnish economy is expected to grow rapidly after the epidemic, the central bank says
As Covid vaccinations progress and restrictions on the epidemic are lifted, increased consumer spending will drive the country’s economy – at least for some time, according to the Bank of Finland. On Tuesday, the central bank released its forecast for 2021-2023, saying the economy will grow by 2.9 percent this year and by three percentage […]
Household debt ceiling may affect housing prices in urban areas, experts tell HS
Brotherus pointed out to the newspaper that the impact on prices could ultimately be quite small, as institutional investors and high-income house buyers could offset the decline in demand caused by the roof. The ceiling can also curb housing production in remote urban areas and thus limit its impact on housing prices. “It wouldn’t be […]
Mortgages will grow again in April, the central bank says
According to the Bank of Finland, new household mortgages in Finland in April amounted to about EUR 1.9 billion, which is EUR 482 million more than in the corresponding month of the previous year. At the end of April, Finland’s housing loan stock was EUR 104 billion; according to the central bank, the loan stock […]
The indebtedness of Finnish households is a cause for concern for the Bank of Finland
In addition, the average size of new mortgages has increased during a coronavirus pandemic. “Household indebtedness is worrying from a national economic perspective, as households will have to cut consumption if debt service costs rise or the economic situation deteriorates.” Marja Nykänen, Deputy Governor of the Bank of Finland, was quoted said written by Helsingin […]
The Central Bank of Finland requires a household indebtedness limit
The continuing and growing debt of Finnish households threatens the country’s ability to survive future economic crises, the Bank of Finland announced on Tuesday. At the same time, according to the central bank, the country’s economy had survived the coronavirus crisis better than expected. That said the country "a strong stimulus for monetary and fiscal […]
In March, Finnish households took out EUR 2.1 billion in mortgages
In its report, the Bank of Finland announced that the stock of mortgage loans increased by 3.8 per cent to EUR 103.6 billion in March from the previous year. The stock of household deposits, on the other hand, rose by 8.2 per cent from the previous year to EUR 104.8 billion, but most deposits were […]
Otto ATMs offer 10 euro banknotes among the declining use of ATMs
General Otto-branded ATMs across Finland are starting to distribute 10 euro banknotes for the first time. The automation company, Automatia, announced the plans on Friday. Since Finland adopted the euro at the beginning of 2002, Otto ATMs only offered customers of different banks the opportunity to withdraw 20 and 50 euro banknotes. However, the use […]
Tuesday magazines: Restrictions, fewer babies, change in store
The partial closure measures introduced in Finland in March, such as distance learning, restrictions on leisure activities and the closure of restaurants, are intended to curb the coronavirus epidemic. Daily Helsingin Sanomat asks how much impact these measures are expected to have. Director of the Ministry of Social Affairs and Health Pasi Pohjola told HS […]
Monday’s newspapers: Presidential poll, warning about school holidays, refurbished electronics
Although the president Sauli Niinistö the second season is only halfway through, the daily Helsingin Sanomat examines voter support for a potential successor. According to HS order survey released on Monday, Governor of the Bank of Finland Olli Rehn (Cen) most often mentioned more than 1,000 voters who participated in the poll, followed by the […]
The amount of counterfeit money increased by a third last year
Last year, there were 1,496 counterfeit euro banknotes in circulation in Finland, compared with 980 in 2019, according to the Bank of Finland. The amount of counterfeit money found in Finland has grown steadily over the past five years, but is still small compared to other eurozone countries, the statement added. "The number of counterfeit […]
The Bank of Finland expects the economy to recover, but future growth to be rapid
“My main message is that we need to be able to live twice in decision-making and economic policy: both to prevent an acute health and economic crisis and, on the other hand, to solve long-term employment problems and the economy.” said Olli Rehn, Governor of the Bank of Finland. The National Monetary Authority estimates that […]
The Bank of Finland is improving its GDP forecast, still waiting for a recession
The Bank of Finland has improved its forecast for the Finnish economy by almost one percentage point of GDP, it announced on Tuesday – but still expects post-crisis growth to be slow. The bank had announced in September that it was expected to reduce GDP by 4.7% next year. It has now changed to 3.8 […]
Finnish brokerage: Sales of second-hand homes increased by 23% in November
The growth was even more dramatic, at more than 23 percent when looking only at property sales in old condominiums. “The hole created last spring in the sales figures for second-hand homes has now been filled,” he noted Risto Kyhälä, CEO of Real Estate World. “We have achieved sales that were not completed last spring, […]
