European Commission considers that the trend in Finland’s fiscal position poses risks
The European Commission takes the view that Finland is among the group of countries considered to be at risk of non-compliance with the Stability and Growth Pact. However, Finland is not required to submit a new budgetary plan to the Commission.
On Wednesday 16 November, the European Commission published its assessment of the draft budgetary plans of the euro area countries for next year. The Commission, in its opinions, assesses how the Member States are complying with the European Union’s fiscal rules.
Finland remained in the same category as previously in regard to its compliance with the Stability and Growth Pact. The Commission did not consider the risks to be serious enough for it to ask Finland to submit a new budgetary plan for next year.
“The Commission’s assessment is as expected. Although the Commission did not ask us for a new budgetary plan, the situation is still a significant cause for concern. In its interim review in the spring, the Government will assess the fiscal position. We will, I think, have to take corrective action if necessary, to ensure that Finland’s economy is brought back to a sustainable path,” says Minister of Finance Petteri Orpo.
The Eurogroup, consisting of the finance ministers of the euro countries, will discuss the Commission’s opinions on 5 December. In conjunction with this, the ministers plan to issue a statement on the euro area’s fiscal position.
Minister Orpo: Finland remains committed to the EU’s fiscal rules (press release 27 October)
European Commission requests further information on Finland’s draft budgetary plan (press release 25 October)
Finland submits its draft budgetary plan for 2017 to the European Union (press release 13 October)
Marketta Henriksson, Director, tel. +358 295 530 441, marketta.henriksson(at)vm.fi
Elisa Tarkiainen, Special Adviser, tel. +358 400 774 789, elisa.tarkiainen(at)vm.fi