Planning of investments and budget authority for borrowing

The wellbeing services counties must prepare an annual investment plan for investments of the county corporation to be launched during the four financial years following the next financial year as well as for the financing of those investments. For example, an investment plan for 2025–2028 must be drawn up by the end of 2023.

The investment plan includes subsidiary investment plans for healthcare and social welfare services and rescue services. The plan must include information on the investments and on agreements corresponding to investments, such as rental agreements. It must also include information on planned transfers of premises and real estate properties and other long-term commodities.

The Government decides annually on granting budget authority for borrowing

The Government decides annually on granting wellbeing services counties budget authority for borrowing, in other words, authority to take out long-term loans to finance investments. 

The amount of the budget authority for borrowing will depend on the ratio of the county’s revenue and costs and the amount of its loans. The amount of loans will include the amount of loans in the previous financial statements as well as the withdrawals and amortisations of loans in accordance with the budget. 

As the ratio of a county’s revenues and costs improves, the maximum amount for loans and for the budget authority for borrowing will also increase.

The implementation of the investment can be spread over several years. However, the budget authority for borrowing for a single year must be sufficient to cover the entire amount of the investment being launched, and correspondingly, it is possible to draw down a loan to finance such an investment covered by the budget authority over several years. The aim is to prevent situation in which it would not be possible to draw down a new loan, but it would not be possible to interrupt the implementation of the investment.

Counties can request a review of a budget authority for borrowing 

The Government can decided to amend a budget authority for borrowing if the investment is necessary to the continuity of the provision of services in the county or to secure statutory services and there is no other financing available to cover the investment. 

Preparations for amending a budget authority usually begin on the initiative of the county.

A preparation group will be appointed to prepare the decision to amend the budget authority. The working group will include representatives of the wellbeing services county and the ministries providing guidance to the counties. 

The task of the preparation group is to assess the possibilities for amending the budget authority, the extent of the required budget authority and the conditions to be set for the county. The conditions may relate, for example, to the content of the investments or to ensuring that the county is able to service the debt.


Pasi Leppänen, Senior Ministerial Adviser, tel. 02955 30564, pasi.leppanen(at)
Ville Salonen, Senior Ministerial Adviser, tel. 02955 30388, ville.salonen(at)