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Finland’s Economy to Stagnate Next Year, LaehiTapiola Says

Finland’s economy will stagnate next year as the debt crisis in the euro zone hurts exports from the region’s northernmost nation, LaehiTapiola said.

Economic expansion won’t resume until the third quarter of 2013, resulting in zero growth for the year as a whole, the Espoo, Finland-based bank and insurer said in a report released today. That compares with a June forecast for 0.5 percent growth. The economy may shrink more than 0.5 percent this year, LaehiTapiola said on Sept. 27.

In 2014, Finland’s gross domestic product will grow 1.5 percent, the company said. Unemployment will reach 8.5 percent next year, it said.

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