Fast Market Research recommends "Finland Business Forecast Report Q4 2013" from Business Monitor International, now available
Boston, MA -- (SBWIRE) -- 08/19/2013 -- We are seeing growing indications that the Finnish government, increasingly concerned with the weak economic growth outlook, is preparing to loosen its self-imposed budget targets and adopt increasing stimulatory measures such as reducing corporate taxes in an attempt to reignite economic activity. We believe such a development would prove positive for Finland's short-term political risk profile, improving cohesion in the policy-making process, while also potentially providing a boost to growth prospects.
We believe that Finland's fiscal situation remains one of the most robust in Europe, and do not expect it to suffer from a ratings downgrade in the near future, expecting it to remain one of just four remaining countries in the eurozone to be awarded AAA status from all three major ratings agencies.
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Major Forecast Changes
In light of our expectations for weaker domestic demand in the first half of 2013 combined with deteriorating external demand across the course of the year, we have downgraded our growth forecasts for Finland, and now expect headline real GDP to contract by 0.8% in 2013, from a previous forecast of 0.1 growth%.
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