Finland Capital Helsinki Currency Euro (EUR) Language Finnish Population 5.23 million EU status member GDP 2006 $196.2 billion Employment 93% Exports $84.72 billion f.o.b. (2006 est.) Imports $71.69 billion f.o.b. (2006 est.)

Setting up business Number of days to start business 14 Cost (% of income per capita) 1.1% Nonwage labor cost (% of salary) 24.6% Total tax rate (% profits) 47.9%

Finland

A high-tech and extremely sophisticated society, with good access to the expanding markets of Scandinavia and the Baltic States – a total market of some 80 million people – and excellent trade connections with Russia, Finland has a great deal to offer. Particularly well known for high-tech and mobile communications, it is also amongst the most business-friendly countries in the world, according to a recent World Economic Forum (WEF) report on global competitiveness, in which it ranked second out of 125 countries.

Stable and growing fast

According to Augusto Lopez-Claros, Chief Economist and Head of the World Economic Forum’s Global Competitiveness Network, “Finland is very well managed at the macroeconomic level, at a time when many other industrialized countries are struggling in this area.” The figures reinforce this analysis: a GDP growth rate of 4.9% in 2006 and the continued inflow of FDI into the country shows that many of the world’s leading companies share this view. In addition, Finland is an extremely attractive location for businesses looking for a cutting-edge but costeffective base for their European operations: office rent in Helsinki is about half that of Paris, and just a third of London rates.

A high-tech future

“The private sector shows a high proclivity for adopting new technologies and nurturing a culture of innovation, placing Finland very firmly among those countries closest to the high-tech frontier,” according to the WEF report. To give just a few examples, Finland has one of the highest broadband penetration rates in the world, and some of the cheapest connection rates in Europe. It is estimated that Finns use the least physical cash per capita of anyone in the world, having turned to higher-tech alternatives.

An appetite for cutting-edge technology in the marketplace has naturally attracted cutting-edge investors In 2006, Google established its first office in Finland: other high-tech investors in the country include Siemens and Filtronic, along with world-wide success stories such as Finland’s own Nokia. In 2002, some 20% of Finland’s exports came from the high-tech sector. Mobile and mobile convergence technologies are particularly strong sectors. As both technology and the demand for it continue to develop at an everincreasing pace, the importance of the ICT sector is bound to increase.

Combining technologies

Finland leads the field in research in many areas; in addition to its ITC and high-tech clusters, environmental research is a major growth area. There are also world-leading medical research clusters, with particular strengths in biotech and human genome research. Five biotech science parks are located in Helsinki, Turku, Kuopio, Tampere and Oulu, and ensure close co-operation between industry, universities and medical institutes. Combining Finland’s traditional strengths across sectors leads to innovative solutions – for example, combining expertise in mobile telecommunications with medical research to provide highly sophisticated outpatient care.

Education

One of the greatest attractions for investors in Finland is the availability of a particularly well-educated and tech-savvy workforce. According to Lopez-Claros, “Finland is unsurpassed with regards to the quality of higher education available to citizens, which is so critical for adaptation in a fast-moving global economy.” Some 90% of the population speak English, making it an excellent base for countries looking to set up international business service centers.

Resources

In addition to the wealth of high-tech knowledge and expertise within the country, Finland also has extensive natural resources. Much of the country is forested, and there is a thriving forest products cluster engaged in managing and exporting forest goods. Mining, exploration and extraction are also important industries: gold, nickel, iron ore, platinum and diamonds are all mined in Finland.

AMCHAM Finland

Amcham Finland was founded in 2005 with 50 member companies. Less than a year later, it had a 100 members, and now has more than 140. The first membership satisfaction survey, carried out at the end of 2006, showed that members were extremely satisfied with the work of the association, in particular the events that it organized and the networking prospects that it offered. Amcham Finland is committed to furthering the development of economic and commercial relations between the United States and Finland. Its aims include:

• Furthering American commercial interests in Finland;
• Promoting and expanding American- Finnish business opportunities and bonds of friendship;
• Providing a business, networking and policy forum for members.

 

Contact Information

The American Chamber of Commerce in Finland
Vilhonkatu 6A
00100 Helsinki
Finland
Tel: +358 45 1335027
E-mail: amcham@amcham.fi
Website: www.amcham.fi

 

Useful websites

www.investinfinland.fi	Finnish investment agency
www.stat.fi	Statistics Finland
www.usembassy.fi	US Embassy in Finland
e.finland.fi	The technology and ICT markets in Finland
www.ek.fi	Confederation of Finnish Industries
www.valtioneuvosto.fi	The Finnish government
www.finnfacts.com	Business news, economic and business update
www.visitfinland.com	Tourist information

 

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