The Finnish economy is expected to grow, but the trade war may substantially slow down growth. In its forecast published on 30 April, the Ministry of Finance warns that general government finances remain weak, and that Finland has few buffers to reduce the impacts of a trade war.
The General Government Fiscal Plan guides the planning public finances. It covers central government, wellbeing services counties, municipalities, statutory earnings-related pension funds and other social security funds.
Finland is requesting that the EU activate the national escape clause in the EU’s fiscal policy rules in order to increase defence spending. The majority of EU Member States are likely to request activation of the escape clause.
Prime Minister Petteri Orpo’s Government has agreed on the General Government Fiscal Plan for 2026–2029. The decisions focus on reinforcing the conditions for economic growth and enhancing the security of Finland and the Finnish people. At the same time, the Government will ensure that public finances are sustainable. The growth package will be financed responsibly through measures to increase general government revenue and reduce expenditure.
The Government proposes that the President of the Republic appoint Dr Olli Rehn as Governor of the Bank of Finland. Dr Rehn’s second seven-year term would begin on 12 July.
Publications
State Budget 2025
The central government's appropriations in the budget proposal total EUR 88.8 billion. Revenue is estimated at EUR 76.6 billion. The budget proposal shows a deficit of EUR 12.1 billion.
The Ministry is tasked with establishing, overseeing and reforming the operating framework for public finances and public governance. Our vision is to establish a solid foundation for the economic prosperity and wellbeing of coming generations.
