The cabinet concluded its budget negotiations on Tuesday evening. SFP Party President, Minister of Education Anders Adlercreutz is pleased with the end result, despite many difficult decisions.
“We are now putting into effect the adjustment measures agreed by the government in its spending limits discussions last spring. Despite the challenging economic situation, I am pleased that we were able to avoid new cuts, as well as amending a few of the adjustments in the right direction,” Adlercreutz says.
“Our state finances still face significant structural problems and issues with growing public spending. The EUR 12.2 billion deficit is huge, but without the measures decided on in the spring, it would have been EUR 4 bn higher.”
The focus of the budget negotiations was on finding growth opportunities.
“The government’s aim now is to strengthen the prerequisites for achieving the growth we need to safeguard our welfare. The employment measures implemented by the government, for example, are estimated to create 80,000 new jobs and strengthen the public economy by EUR 1.8 billion,” Adlercreutz specifies.
Adlercreutz also points out significant additional investments in education.
“From next autumn, primary school pupils will have three additional weekly lessons in their mother tongue, literature and mathematics. We are reforming funding for primary and secondary schooling with an investment of around EUR 100 million, which pleases me as Minister of Education,” Adlercreutz says.
The government has already previously committed to increasing research and development investment to 1.2 per cent of the GDP.
“Funding for R&D projects is now increasing by EUR 280 million to EUR 2.9 billion by 2025; that is a huge investment that is taking us closer to our target. The tax deductions the government has agreed on for investments into the green transition will come into effect shortly, and we are also shortening permit processes. This gives businesses more opportunities for investment and growth,” Adlercreutz says.
The government is also boosting growth opportunities through significant investments into infrastructure. EUR 484 million will go into new stretches of road and rail. EUR 50 million will be dedicated to the Coastal Railway, and significant sums to National Road 8 and other major arteries.
SFP’s influence is visible in many other aspects of the budget, as well.
“We managed to minimise the planned cuts to state funding for several NGOs. The third sector forms an important part of our civil society and carries out vital work,” Adlercreutz explains.
“I am also glad that we were able to secure funding to organisations that support exports and internationalisation. They play a significant role in promoting Finland’s growth and I am pleased that we can strengthen the funding allocated to the Finnish-Swedish Chamber of Commerce and Viexpo,” Adlercreutz concludes.
