The objective of the Ministry of Finance’s budget proposal is to promote economic growth. However, the economic situation is so difficult that the proposed procedures will not liven up the domestic market, and the measures are not adequate to truly increase purchasing power.

When energy and vehicle taxes are tightened more than planned, it results in purchasing power being reduced and private consumption tightened even further. In addition to cutting purchasing power, the tightening directly increases commerce’s expenses as commerce is already paying the highest possible electricity tax.

Actions promoting employment seem to only be based on public investments and administration. The incidence problem of the labour market cannot be solved by expanding public employment and business administration.

The Ministry of Finance also seems to repeat the same old formula: not letting the market choose those who will succeed, but using office arrangements to decide the branches of the future. Extra financing to Finnish Industry Investment Ltd, Tekes, Finpro and Team Finland demonstrates that commerce, services and other companies in the domestic market are not considered growing branches.

For further information, please contact:
Juhani Pekkala, Managing Director of Finnish Commerce Federation, +358 (0)9 1728 5111, +358 0400 419 560, juhani.pekkala(a)kauppa.fi

The Finnish Commerce Federation represents commerce - the largest sector of economic life. Commerce employs around 300,000 persons in Finland. The Federation has around 7,000 member companies and represents both retail and wholesale commerce in industry policy and labour market lobbying. www.kauppa.fi