Weak domestic demand is slowing down economic growth

The Labour Institute for Economic Research LABORE published its spring economic forecast on 3 April. According to the forecast, the economy is expected to grow by 1.4% this year and 1.9% next year. The outlook for the current year appears less likely due to prolonged trade policy uncertainty.

The forecast is based on the assumption that the US administration will not implement the most damaging trade policy measures. Although there remains uncertainty regarding the scale and final form of tariffs under the Trump administration, early-year purchasing managers’ survey data point to a weakening international economic cycle, particularly in the United States.

The forecast for next year remains credible if domestic demand begins to recover towards the end of the year. (AI translation)

• Press Release in Finnish
• Publication in PDF-format