Finland manages to attract more foreign companies despite pandemic

Finland has managed to attract a growing number of foreign companies during the pandemic despite leading politicians and economists stressing the country’s need for new investments, government organisation Business Finland has found.

Business Finland was set up in 2018, for innovation funding and trade, travel and investment promotion.

According to its database published on Tuesday, some 300 new foreign enterprises entered the country in 2020, the highest in three years. This also comes as a surprise given that preliminary data by the United Nations Conference on Trade and Development (UNCTAD) shows that global investment flows decreased by 42% last year.

Most of the new foreign investments were made in business services and in the ICT sector. Particularly benefitting from the pandemic were health technology, ICT, digital consumer services and logistics. 

The biggest direct investments came from Sweden, Norway, and the United Kingdom, showing that foreign companies are perceiving the Finnish business environment in a much more positive way then Finnish companies themselves. 

The current share of foreign-owned companies in Finland is still very low, at about one per cent.

(Pekka Vänttinen | EURACTIV.com)

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