The minister of finance estimates that strong economic growth is a key reason that the state treasury had to raise the planned 2.2 billion euro tranche.Video of the finance minister Petteri Orphan comments in it that Finland gets to reduce its debt for the first time in 10 years, as well as the sustainability gap of the grim situation.
finance minister Petteri Orphan (ioc) got to the end of the year the good news. The national debt is responsible for managing the state treasury did not have to raise 2.2 billion euro tranche, which was planned for the year-end. The first Helsingin sanomat.
minister for the Orphan told the evening newspaper he was really pleased.
– in Practice it means that we have to pay the side for the first time in ten years. This is a reason to be cheerful, an Orphan, said.
State revenues exceed this year’s expenditure and Finland may reduce the state debt. A similar situation is not ten years, but debt has been forced to take billions of euros annually in 2008 after the financial crisis.
Loan back
the Exact reason for the positive surprise turn of events is not yet known. Orphan estimates a turnaround of the background to affect the big picture that the Finnish economy has grown strongly over the past three years. Also other individual facts is in the background. For example, the state-owned financing company Finnvera to pay sooner than expected back from the state the money they have borrowed and the housing finance and development agency, Ara loans are paid eur 600 million from front to back faster.
Now, the old loans will pay more than a new take.
All this background is, however, at the end of it, that our economy has grown and employment has improved in a significant way in the last three years, the Orphan look.
the Opposition trading barbs
Finland’s debt situation emerged also in the parliamentary plenary session, where the minister of an Orphan from the praise to the good development.
– We no longer live in our children’s tab, Orphan said.
chairman of the SDP Antti Rinne pointed out that the indebtedness of refraction tell you the fact that Finland’s economic situation would be in the longer term a sustainable level.
SDP Timo Magpie let loose government that it welcomes the fact that the state received this year, earlier than expected, cash flows of state funds, and thus didn’t need to take on additional debt.
the Next year the English took again the debt.
’t afford pants clips of ammo debate
Although the planned tranche, you don’t need to take, not an Orphan, now afford pants clips of ammo and equipment and plush to the election promises. Orphan point out that Finland is currently the economic peaks and this forward is to permit a lower growth time. It means that permanent increases in expenditure must cover the debt or by cutting elsewhere.
the finance ministry issued on Monday a new growth forecasts. The VM estimates that Finland’s economic growth will fade in the next year to 1.5%. In addition, the VM estimates that Finland’s sustainability gap to be nine billion.
the Finnish government carried out about four billion euros in cuts that the sustainability gap should decline to seven billion.
finance minister Petteri Orphan emphasize that this is not the book avokätisiin election promises. Hanna gråsten birth rate in the background
the fact that the sustainability gap estimate is significantly darker, due to an Orphan, according to two explanatory factors. The first of these is the dismal birth rate forecast by Statistics finland published 16. November. The Finnish birth rate continues according to the forecast of strong decline, the dependency ratio will weaken and Finland’s population will begin to decline in 2035.
When we our birth rate is so low, it means that in the coming years and decades our sustainability gap, we don’t grow, the Orphan said.
an Orphan, also changed the method of calculation, i.e. the longer the period disfigure contribute to the sustainability gap figure.
Orposta big endurance deficit can be overcome by making determined reforms to maintain economic growth and improve the employment rate.
– the Highest employment rate we can handle in the coming years, the sustainability gap, i.e. the welfare society services without debt, an Orphan, believes.
Updated at 19:28: Added the plenary raised in the comments.
