Regional Economic Prospects: recovery is slow and uneven
- News
In spring 2026, the development of Finnish regions is uncertain and varies by region. Some regions benefit from investments in the clean transition, energy, the data economy and the security and defence industry, but in many regions the weak economic trend, declining population and prolonged unemployment slow down development.
As a whole, the recovery is progressing cautiously and at different paces. Differences between the regions are increasing: areas relying on investments, expertise and international connections are growing stronger, while regions affected by structural change are emphasising adaptation and crisis resilience.
The future development of the regions depends decisively on the realisation of investments. Clean transition projects, energy and data centre investments and dual-use technologies offer significant growth potential, but timelines, funding, permit processes and infrastructure can slow down progress. If realised, the investments will significantly boost employment and the vitality of regions.
In spring 2026, the labour market situation is weak throughout the country. Unemployment, especially long-term and youth unemployment, has increased and there are fewer open jobs. At the same time, the shortage of experts persists in certain sectors, which highlights the challenges in matching skills and jobs, especially when investments are launched.