Economic growth remains subdued for now — the new government may continue its predecessors’ cycle-amplifying policy

Statistics Finland’s revision lowered GDP growth for 2018 to 1.7 percent. The beginning of 2019 presents a contradictory picture: the export order book is strong, but consumer confidence and private consumption have weakened. The Rinne government’s objectives — a 75 percent employment rate and a balanced public finances by 2023 — are open to multiple interpretations, and there is a risk that pro-cyclical fiscal policy will continue. (AI translation)

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