Finland: Economic activity continues to decline in September
November 13, 2020
Economic activity decreased 3.2% year-on-year in working-day adjusted terms in September, matching August’s drop. The reading marked the eighth consecutive contraction in monthly activity.
September’s fall was largely driven by a sharper contraction in secondary production over the previous month, although this was partly offset by a softer decrease in the services sector. Meanwhile, the primary sector—including the agriculture, forestry and fishing subsectors—swung from a sharp contraction in August to solid growth in September.
On a seasonally-adjusted monthly basis, economic activity decreased 0.8% in September, swinging from 0.3% growth in August. Meanwhile, the trend pointed slightly upwards, with the annual average variation of economic activity coming in at minus 0.8% in September compared to August’s minus 1.8%.
Moreover, preliminary data shows the Finnish economy emerged from recession in the third quarter, with GDP growing 2.6% in seasonally-adjusted quarter-on-quarter terms (Q2: -4.5% s.a qoq). However, activity continued to contract 4.0% in Q3 in year-on-year terms (Q2: -6.4% yoy). Detailed national accounts information will be released on 27 November.
Author: Marta Casanovas , Junior Economist