29.08.202505:27:59UTC+00Finnish GDP Contracts 0.4% in Q2

Finland's economy experienced a contraction of 0.4% on a quarter-on-quarter basis in the three months leading up to June 2025. This downturn follows an unchanged performance in the previous quarter and diverges from initial estimates of flat growth. Notably, this is the first contraction since the last quarter of 2023, primarily attributed to a decline in household consumption, which decreased by 1.3% following a 0.5% rise in the prior quarter. Additionally, net external demand exerted downward pressure on GDP. The export of goods and services saw a slight decrease of 0.2%, a significant drop from the 3.1% increase observed in the first quarter. Conversely, imports grew by 2.5%, reversing a previous decline of 0.9%. Government expenditure also saw a reduction, albeit a smaller one, falling by 1% compared to a 2% decrease in the earlier quarter. On a year-over-year comparison, the country's GDP remained stagnant, following a revised 1% increase in the previous period.