According to the OECD’s latest country report, Finland’s future depends on how well we manage to improve productivity and increase exports. To grow and maintain wellbeing, Finnish companies need to focus more on creating high-value products and services for global markets. That takes innovation, top-level expertise, and investment. There are risks ahead, but also real opportunities.
Where exactly does Finland’s growth potential lie? One clear strength is in the sustainable use of natural resources – raw materials and renewable energy. Finland has already identified clean transition investment plans worth around €300 billion. The biggest impact is expected from wind power, hydrogen projects, and battery technology facilities. The potential is huge, but that alone isn’t enough – we need skills and technology to turn resources into high-value exports.
Creating added value depends on technology and expertise.
Technology-driven growth companies offer another major opportunity. Finland’s startup ecosystem has scaled rapidly, with revenue growing from nearly nothing to €9 billion. The number of startups has increased from 177 to 1,932.
We also have deep expertise in several globally significant breakthrough technologies, giving Finland a strong position to build scalable new businesses.
Take health tech, for example: its export value is €2.57 billion and has been growing steadily for two decades. In semiconductors, Finland’s revenue is expected to triple from €1.6 billion, and the workforce to grow from 7,000 to 20,000 by 2035. In quantum technology, we have unique capabilities and are expecting strong growth. In 2023, the quantum sector’s revenue was €130 million. The goal of the national quantum strategy is to reach €3 billion by 2035.
The winners combine bits and atoms
Digital transformation is reshaping capital-intensive industries. The biggest winners will be companies that can combine the digital and physical worlds – bits and atoms. European companies are still catching up with their US counterparts in this. That’s why we need cutting-edge expertise and a bold willingness to reinvent. Clear national goals matter too, like raising Finland’s R&D investment to 4% of GDP by 2030.
A real concern for Finland is the trend in highly educated talent. We urgently need more skilled professionals, but the share of highly educated young adults is falling behind other OECD countries. Right now, only about 40% of young adults in Finland have a higher education degree. Without talent, we can’t build or grow research-driven businesses – and the economy as a whole risks missing out on growth. The Finnish tech industry’s target is that 70% of young adults should be highly educated by 2040 and that’s exactly the kind of ambitious goal we need.
To achieve sustainable growth, Finland must invest heavily in intangible capital: knowledge, skills, and innovation, and have the capability to turn ideas into commercial successes. That all comes down to skilled, ambitious people.
